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NINETY-SIXTH DAY


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MORNING SESSION


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Senate Chamber, Olympia, Friday, April 14, 1995

      The Senate was called to order at 9:00 a.m. by President Pritchard. The Secretary called the roll and announced to the President that all Senators were present except Senators Cal Anderson, Bauer, Deccio, Heavey, McCaslin, McDonald, Oke, Pelz and Strannigan. On motion of Senator Loveland, Senators Cal Anderson and Bauer were excused. On motion of Senator Ann Anderson, Senators Deccio. McCaslin, Oke and Strannigan were excused.

      The Sergeant at Arms Color Guard, consisting of Pages Jamie Kaiser and Sprague Culp, presented the Colors. Reverend Tammy Leiter, pastor of the Westminster Presbyterian Church of Olympia, offered the prayer.


MOTION


      On motion of Senator Spanel, the reading of the Journal of the previous day was dispensed with and it was approved.


REPORTS OF STANDING COMMITTEES

April 13, 1995

SB 6062             Prime Sponsor, Senator Quigley: Making welfare work. Reported by Committee on Ways and Means


      MAJORITY Recommendation: That Second Substitute Senate Bill No. 6062 be substituted therefor, and the second substitute bill do pass. Signed by Senators Loveland, Vice Chair; Bauer, Drew, Fraser, Gaspard, Hargrove, Hochstatter, McDonald, Moyer, Quigley, Sheldon, Snyder, Spanel, Strannigan, West, Winsley and Wojahn.


      Passed to Committee on Rules for second reading.


April 13, 1995

ESHB 1046        Prime Sponsor, House Committee on Health Care: Amending the health services act of 1993. Reported by Committee on Ways and Means


      MAJORITY Recommendation: Do pass as amended by Committee on Health and Long-Term Care. Signed by Senators Rinehart, Chair; Loveland, Vice Chair; Drew, Fraser, Gaspard, Hochstatter, Long, McDonald, Moyer, Pelz, Sheldon, Snyder, Spanel, Strannigan, Winsley and Wojahn.


      Passed to Committee on Rules for second reading.


April 13, 1995

ESHB 1589        Prime Sponsor, House Committee on Health Care: Providing health care quality assurance. Reported by Committee on Ways and Means


      MAJORITY Recommendation: Do pass as amended by Committee on Health and Long-Term Care. Signed by Senators Rinehart, Chair; Loveland, Vice Chair; Bauer, Drew, Fraser, Gaspard, Hargrove, Hochstatter, Long, Moyer, Pelz, Quigley, Snyder, Spanel, Sutherland, West and Wojahn.


      Passed to Committee on Rules for second reading.


April 13, 1995

E2SHB 2010      Prime Sponsor, House Committee on Appropriations: Revising corrections provisions. Reported by Committee on Ways and Means


      MAJORITY recommendation: Do pass as amended. Signed by Senators Rinehart, Chair; Loveland, Vice Chair; Bauer, Drew, Finkbeiner, Fraser, Hargrove, Hochstatter, Johnson, Long, McDonald, Moyer, Pelz, Quigley, Spanel, Strannigan, Sutherland, West, Winsley and Wojahn.


      Passed to Committee on Rules for second reading.


MESSAGES FROM THE HOUSE

April 13, 1995

MR. PRESIDENT:

      The House has passed:

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 2087,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 2090, and the same are herewith transmitted.

TIMOTHY A. MARTIN, Chief Clerk


April 13, 1995

MR. PRESIDENT:

      The House has passed:

      SENATE BILL NO. 5755,

      SUBSTITUTE SENATE JOINT RESOLUTION NO. 8210, and the same are herewith transmitted.

TIMOTHY A. MARTIN, Chief Clerk


April 13, 1995

MR. PRESIDENT:

      The Speaker has signed:

      SENATE BILL NO. 5060,

      SENATE BILL NO. 5108,

      SUBSTITUTE SENATE BILL NO. 5308,

      SUBSTITUTE SENATE BILL NO. 5780,

      SENATE BILL NO. 5848,

      SENATE BILL NO. 5895, and the same are herewith transmitted.

TIMOTHY A. MARTIN, Chief Clerk


April 13, 1995

MR. PRESIDENT:

      The Speaker has signed:

      HOUSE BILL NO. 1189,

      HOUSE BILL NO. 1190,

      SUBSTITUTE HOUSE BILL NO. 1192,

      HOUSE BILL NO. 1310,

      HOUSE BILL NO. 1311,

      HOUSE BILL NO. 1362,

      HOUSE BILL NO. 1407,

      HOUSE BILL NO. 1450,

      HOUSE BILL NO. 1790.

      SUBSTITUTE HOUSE BILL NO. 1853,

      HOUSE BILL NO. 1866,

      HOUSE BILL NO. 1893,

      HOUSE BILL NO. 2063, and the same are herewith transmitted.

TIMOTHY A. MARTIN, Chief Clerk


April 13, 1995

MR. PRESIDENT:

      The Speaker has signed SUBSTITUTE HOUSE BILL NO. 1178, and the same is herewith transmitted.

TIMOTHY A. MARTIN, Chief Clerk


April 13, 1995

MR. PRESIDENT:

      The House concurred in the Senate amendment(s) to SUBSTITUTE HOUSE BILL NO. 1248, and passed the bill as amended by the Senate.

TIMOTHY A. MARTIN, Chief Clerk


SIGNED BY THE PRESIDENT

      The President signed:

      SENATE BILL NO. 5755,

      SUBSTITUTE SENATE BILL NO. 5992,

      SUBSTITUTE SENATE JOINT RESOLUTION NO. 8210.


SIGNED BY THE PRESIDENT

      The President signed:

      SUBSTITUTE HOUSE BILL NO. 1178,

      HOUSE BILL NO. 1189,

      HOUSE BILL NO. 1190,

      SUBSTITUTE HOUSE BILL NO. 1192,

      HOUSE BILL NO. 1310,

      HOUSE BILL NO. 1311,

      HOUSE BILL NO. 1362,

      HOUSE BILL NO. 1407,

      HOUSE BILL NO. 1450,

      HOUSE BILL NO. 1790,

      SUBSTITUTE HOUSE BILL NO. 1853,

      HOUSE BILL NO. 1866,

      HOUSE BILL NO. 1893,

      HOUSE BILL NO. 2063.


INTRODUCTION AND FIRST READING OF HOUSE BILLS

 

ESHB 2087        by House Committee on Appropriations (originally sponsored by Representative Brumsickle)

 

Clarifying the use of in-service continuing education and college credits for compensation allocations under the teachers' salary schedule.

 

Referred to Committee on Ways and Means.

 

ESHB 2090        by House Committee on Transportation (originally sponsored by Representatives K. Schmidt, R. Fisher, Mitchell, Scott, Robertson, Hatfield, Skinner, Tokuda, Buck, Elliot, Ogden, Cairnes, Romero, Brown, Quall, Chopp, Patterson, Hankins and Blanton)

 

Revising taxation of gasohol.


MOTION


      On motion of Senator Spanel, the rules were suspended, Engrossed Substitute House Bill No. 2090 was advanced to second reading and placed on the second reading calendar.


SECOND READING

GUBERNATORIAL APPOINTMENT


MOTION


      On motion of Senator McAuliffe, Gubernatorial Appointment No. 9063, Don Simmonson, as a member of the Board of Trustees for the State School for the Blind, was confirmed.


APPOINTMENT OF DON SIMMONSON


      The Secretary called the roll. The appointment was confirmed by the following vote: Yeas, 40; Nays, 0; Absent, 3; Excused, 6.

      Voting yea: Senators Anderson, A., Cantu, Drew, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, Morton, Moyer, Newhouse, Owen, Palmer, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 40.

      Absent: Senators Heavey, McDonald and Pelz - 3.

      Excused: Senators Anderson, C., Bauer, Deccio, McCaslin, Oke and Strannigan - 6.

  

SECOND READING


      SUBSTITUTE HOUSE BILL NO. 1401, by House Committee on Education (originally sponsored by Representatives Brumsickle, Cole, Carlson, G. Fisher, Mastin, Poulsen, Elliot, Quall, Clements, Smith, Chandler, Patterson, Costa, Mielke, Campbell, Mulliken, Honeyford, Talcott, Cooke, Thompson, L. Thomas, Mitchell, Kremen, Scott, Wolfe, Boldt, Conway and McMorris)

 

Allowing disclosure of juvenile records to affected school districts.


      The bill was read the second time.


MOTIONS


      Senator McAuliffe moved that the following Committee on Education amendment be adopted:

      Strike everything after the enacting clause and insert the following:

      "Sec. 1. RCW 13.40.215 and 1994 c 129 s 6 and 1994 c 78 s 1 are each reenacted and amended to read as follows:

      (1)(a) Except as provided in subsection (2) of this section, at the earliest possible date, and in no event later than thirty days before discharge, parole, or any other authorized leave or release, or before transfer to a community residential facility, the secretary shall send written notice of the discharge, parole, authorized leave or release, or transfer of a juvenile found to have committed a violent offense, a sex offense, or stalking, to the following:

      (i) The chief of police of the city, if any, in which the juvenile will reside; ((and))

      (ii) The sheriff of the county in which the juvenile will reside; and

      (iii) The approved private schools and the common school district board of directors of the district in which the juvenile intends to reside or the approved private school or public school district in which the juvenile last attended school, whichever is appropriate, except when it has been determined by the department that the juvenile is twenty-one years old; is not required to return to school under chapter 28A.225 RCW; or will be in the community for less than seven consecutive days on approved leave and will not be attending school during that time.

      (b) The same notice as required by (a) of this subsection shall be sent to the following, if such notice has been requested in writing about a specific juvenile:

      (i) The victim of the offense for which the juvenile was found to have committed or the victim's next of kin if the crime was a homicide;

      (ii) Any witnesses who testified against the juvenile in any court proceedings involving the offense; and

      (iii) Any person specified in writing by the prosecuting attorney.

Information regarding victims, next of kin, or witnesses requesting the notice, information regarding any other person specified in writing by the prosecuting attorney to receive the notice, and the notice are confidential and shall not be available to the juvenile. The notice to the chief of police or the sheriff shall include the identity of the juvenile, the residence where the juvenile will reside, the identity of the person, if any, responsible for supervising the juvenile, and the time period of any authorized leave.

      (c) The thirty-day notice requirements contained in this subsection shall not apply to emergency medical furloughs.

      (d) The existence of the notice requirements in this subsection will not require any extension of the release date in the event the release plan changes after notification.

      (2)(a) If a juvenile found to have committed a violent offense, a sex offense, or stalking escapes from a facility of the department, the secretary shall immediately notify, by the most reasonable and expedient means available, the chief of police of the city and the sheriff of the county in which the juvenile resided immediately before the juvenile's arrest. If previously requested, the secretary shall also notify the witnesses and the victim of the offense which the juvenile was found to have committed or the victim's next of kin if the crime was a homicide. If the juvenile is recaptured, the secretary shall send notice to the persons designated in this subsection as soon as possible but in no event later than two working days after the department learns of such recapture.

      (b) The secretary may authorize a leave, for a juvenile found to have committed a violent offense, a sex offense, or stalking, which shall not exceed forty-eight hours plus travel time, to meet an emergency situation such as a death or critical illness of a member of the juvenile's family. The secretary may authorize a leave, which shall not exceed the time medically necessary, to obtain medical care not available in a juvenile facility maintained by the department. Prior to the commencement of an emergency or medical leave, the secretary shall give notice of the leave to the appropriate law enforcement agency in the jurisdiction in which the juvenile will be during the leave period. The notice shall include the identity of the juvenile, the time period of the leave, the residence of the juvenile during the leave, and the identity of the person responsible for supervising the juvenile during the leave. If previously requested, the department shall also notify the witnesses and victim of the offense which the juvenile was found to have committed or the victim's next of kin if the offense was a homicide.

      In case of an emergency or medical leave the secretary may waive all or any portion of the requirements for leaves pursuant to RCW 13.40.205 (2)(a), (3), (4), and (5).

      (3) If the victim, the victim's next of kin, or any witness is under the age of sixteen, the notice required by this section shall be sent to the parents or legal guardian of the child.

      (4) The secretary shall send the notices required by this chapter to the last address provided to the department by the requesting party. The requesting party shall furnish the department with a current address.

      (5) Upon discharge, parole, or other authorized leave or release, a convicted juvenile sex offender shall not attend a public elementary, middle, or high school that is attended by a victim of the sex offender. The parents or legal guardians of the convicted juvenile sex offender shall be responsible for transportation or other costs associated with or required by the sex offender's change in school that otherwise would be paid by a school district. Upon discharge, parole, or other authorized leave or release of a convicted juvenile sex offender, the secretary shall send written notice of the discharge, parole, or other authorized leave or release and the requirements of this subsection to the common school district board of directors of the district in which the sex offender intends to reside or the district in which the sex offender last attended school, whichever is appropriate.

      (6) For purposes of this section the following terms have the following meanings:

      (a) "Violent offense" means a violent offense under RCW 9.94A.030;

      (b) "Sex offense" means a sex offense under RCW 9.94A.030;

      (c) "Stalking" means the crime of stalking as defined in RCW 9A.46.110;

      (d) "Next of kin" means a person's spouse, parents, siblings, and children.

      Sec. 2. RCW 13.50.050 and 1992 c 188 s 7 are each amended to read as follows:

      (1) This section governs records relating to the commission of juvenile offenses, including records relating to diversions.

      (2) The official juvenile court file of any alleged or proven juvenile offender shall be open to public inspection, unless sealed pursuant to subsection (11) of this section.

      (3) All records other than the official juvenile court file are confidential and may be released only as provided in this section, RCW 13.50.010, 13.40.215, and 4.24.550.

      (4) Except as otherwise provided in this section and RCW 13.50.010, records retained or produced by any juvenile justice or care agency may be released to other participants in the juvenile justice or care system ((only)) when an investigation or case involving the juvenile in question is being pursued by the other participant or when that other participant is assigned the responsibility for supervising the juvenile.

      (5) Except as provided in RCW 4.24.550, information not in an official juvenile court file concerning a juvenile or a juvenile's family may be released to the public only when that information could not reasonably be expected to identify the juvenile or the juvenile's family.

      (6) Notwithstanding any other provision of this chapter, the release, to the juvenile or his or her attorney, of law enforcement and prosecuting attorneys' records pertaining to investigation, diversion, and prosecution of juvenile offenses shall be governed by the rules of discovery and other rules of law applicable in adult criminal investigations and prosecutions.

      (7) The juvenile court and the prosecutor may set up and maintain a central record-keeping system which may receive information on all alleged juvenile offenders against whom a complaint has been filed pursuant to RCW 13.40.070 whether or not their cases are currently pending before the court. The central record-keeping system may be computerized. If a complaint has been referred to a diversion unit, the diversion unit shall promptly report to the juvenile court or the prosecuting attorney when the juvenile has agreed to diversion. An offense shall not be reported as criminal history in any central record-keeping system without notification by the diversion unit of the date on which the offender agreed to diversion.

      (8) Upon request of the victim of a crime or the victim's immediate family, the identity of an alleged or proven juvenile offender alleged or found to have committed a crime against the victim and the identity of the alleged or proven juvenile offender's parent, guardian, or custodian and the circumstance of the alleged or proven crime shall be released to the victim of the crime or the victim's immediate family.

      (9) Subject to the rules of discovery applicable in adult criminal prosecutions, the juvenile offense records of an adult criminal defendant or witness in an adult criminal proceeding shall be released upon request to prosecution and defense counsel after a charge has actually been filed. The juvenile offense records of any adult convicted of a crime and placed under the supervision of the adult corrections system shall be released upon request to the adult corrections system.

      (10) In any case in which an information has been filed pursuant to RCW 13.40.100 or a complaint has been filed with the prosecutor and referred for diversion pursuant to RCW 13.40.070, the person the subject of the information or complaint may file a motion with the court to have the court vacate its order and findings, if any, and, subject to subsection (24) of this section, order the sealing of the official juvenile court file, the social file, and records of the court and of any other agency in the case.

      (11) The court shall grant the motion to seal records made pursuant to subsection (10) of this section if it finds that:

      (a) Two years have elapsed from the later of: (i) Final discharge of the person from the supervision of any agency charged with supervising juvenile offenders; or (ii) from the entry of a court order relating to the commission of a juvenile offense or a criminal offense;

      (b) No proceeding is pending against the moving party seeking the conviction of a juvenile offense or a criminal offense; and

      (c) No proceeding is pending seeking the formation of a diversion agreement with that person.

      (12) The person making a motion pursuant to subsection (10) of this section shall give reasonable notice of the motion to the prosecution and to any person or agency whose files are sought to be sealed.

      (13) If the court grants the motion to seal made pursuant to subsection (10) of this section, it shall, subject to subsection (24) of this section, order sealed the official juvenile court file, the social file, and other records relating to the case as are named in the order. Thereafter, the proceedings in the case shall be treated as if they never occurred, and the subject of the records may reply accordingly to any inquiry about the events, records of which are sealed. Any agency shall reply to any inquiry concerning confidential or sealed records that records are confidential, and no information can be given about the existence or nonexistence of records concerning an individual.

      (14) Inspection of the files and records included in the order to seal may thereafter be permitted only by order of the court upon motion made by the person who is the subject of the information or complaint, except as otherwise provided in RCW 13.50.010(8) and subsection (24) of this section.

      (15) Any adjudication of a juvenile offense or a crime subsequent to sealing has the effect of nullifying the sealing order. Any conviction for any adult felony subsequent to the sealing has the effect of nullifying the sealing order for the purposes of chapter 9.94A RCW for any juvenile adjudication of guilt for a class A offense or a sex offense as defined in RCW 9.94A.030.

      (16) In any case in which an information has been filed pursuant to RCW 13.40.100 or a complaint has been filed with the prosecutor and referred for diversion pursuant to RCW 13.40.070, the person who is the subject of the information or complaint may file a motion with the court to have the court vacate its order and findings, if any, and, subject to subsection (24) of this section, order the destruction of the official juvenile court file, the social file, and records of the court and of any other agency in the case.

      (17) The court may grant the motion to destroy records made pursuant to subsection (16) of this section if it finds:

      (a) The person making the motion is at least twenty-three years of age;

      (b) The person has not subsequently been convicted of a felony;

      (c) No proceeding is pending against that person seeking the conviction of a criminal offense; and

      (d) The person has never been found guilty of a serious offense.

      (18) A person eighteen years of age or older whose criminal history consists of only one referral for diversion may request that the court order the records in that case destroyed. The request shall be granted, subject to subsection (24) of this section, if the court finds that two years have elapsed since completion of the diversion agreement.

      (19) If the court grants the motion to destroy records made pursuant to subsection (16) or (18) of this section, it shall, subject to subsection (24) of this section, order the official juvenile court file, the social file, and any other records named in the order to be destroyed.

      (20) The person making the motion pursuant to subsection (16) or (18) of this section shall give reasonable notice of the motion to the prosecuting attorney and to any agency whose records are sought to be destroyed.

      (21) Any juvenile to whom the provisions of this section may apply shall be given written notice of his or her rights under this section at the time of his or her disposition hearing or during the diversion process.

      (22) Nothing in this section may be construed to prevent a crime victim or a member of the victim's family from divulging the identity of the alleged or proven juvenile offender or his or her family when necessary in a civil proceeding.

      (23) Any juvenile justice or care agency may, subject to the limitations in subsection (24) of this section and subparagraphs (a) and (b) of this subsection, develop procedures for the routine destruction of records relating to juvenile offenses and diversions.

      (a) Records may be routinely destroyed only when the person the subject of the information or complaint has attained twenty-three years of age or older, or is eighteen years of age or older and his or her criminal history consists entirely of one diversion agreement and two years have passed since completion of the agreement.

      (b) The court may not routinely destroy the official juvenile court file or recordings or transcripts of any proceedings.

      (24) No identifying information held by the Washington state patrol in accordance with chapter 43.43 RCW is subject to destruction or sealing under this section. For the purposes of this subsection, identifying information includes photographs, fingerprints, palmprints, soleprints, toeprints and any other data that identifies a person by physical characteristics, name, birthdate or address, but does not include information regarding criminal activity, arrest, charging, diversion, conviction or other information about a person's treatment by the criminal justice system or about the person's behavior.

      (25) Information identifying child victims under age eighteen who are victims of sexual assaults by juvenile offenders is confidential and not subject to release to the press or public without the permission of the child victim or the child's legal guardian. Identifying information includes the child victim's name, addresses, location, photographs, and in cases in which the child victim is a relative of the alleged perpetrator, identification of the relationship between the child and the alleged perpetrator. Information identifying a child victim of sexual assault may be released to law enforcement, prosecutors, judges, defense attorneys, or private or governmental agencies that provide services to the child victim of sexual assault.

      Sec. 3. RCW 13.50.100 and 1990 c 246 s 9 are each amended to read as follows:

      (1) This section governs records not covered by RCW 13.50.050.

      (2) Records covered by this section shall be confidential and shall be released only pursuant to this section and RCW 13.50.010.

      (3) Records retained or produced by any juvenile justice or care agency may be released to other participants in the juvenile justice or care system ((only)) when an investigation or case involving the juvenile in question is being pursued by the other participant or when that other participant is assigned the responsibility of supervising the juvenile. Records covered under this section and maintained by the juvenile courts which relate to the official actions of the agency may be entered in the state-wide juvenile court information system.

      (4) A juvenile, his or her parents, the juvenile's attorney and the juvenile's parent's attorney, shall, upon request, be given access to all records and information collected or retained by a juvenile justice or care agency which pertain to the juvenile except:

      (a) If it is determined by the agency that release of this information is likely to cause severe psychological or physical harm to the juvenile or his or her parents the agency may withhold the information subject to other order of the court: PROVIDED, That if the court determines that limited release of the information is appropriate, the court may specify terms and conditions for the release of the information; or

      (b) If the information or record has been obtained by a juvenile justice or care agency in connection with the provision of counseling, psychological, psychiatric, or medical services to the juvenile, and the juvenile has a legal right to receive those services without the consent of any person or agency, then the information or record may not be disclosed to the juvenile's parents without the informed consent of the juvenile; or

      (c) That the department of social and health services may delete the name and identifying information regarding persons or organizations who have reported suspected child abuse or neglect.

      (5) A juvenile or his or her parent denied access to any records following an agency determination under subsection (4) of this section may file a motion in juvenile court requesting access to the records. The court shall grant the motion unless it finds access may not be permitted according to the standards found in subsections (4) (a) and (b) of this section.

      (6) The person making a motion under subsection (5) of this section shall give reasonable notice of the motion to all parties to the original action and to any agency whose records will be affected by the motion.

      (7) Subject to the rules of discovery in civil cases, any party to a proceeding seeking a declaration of dependency or a termination of the parent-child relationship and any party's counsel and the guardian ad litem of any party, shall have access to the records of any natural or adoptive child of the parent, subject to the limitations in subsection (4) of this section.

      (8) Information concerning a juvenile or a juvenile's family contained in records covered by this section may be released to the public only when that information could not reasonably be expected to identify the juvenile or the juvenile's family.

      NEW SECTION. Sec. 4. A new section is added to chapter 13.50 RCW to read as follows:

      (1) Each juvenile justice or care agency shall use the handbook developed under section 8 of this act to develop a policy regarding the disclosure of juvenile information as allowed by federal and state law. The agency shall implement the policy developed. The policy shall include, but not be limited to the following:

      (a) What information may be shared;

      (b) The conditions for sharing the information;

      (c) The method for providing the information;

      (d) Which individuals, by position, at the juvenile justice or care agency are permitted to receive the information;

      (e) Which individuals, by position, at the juvenile justice or care agency are responsible for providing reasonable safeguards to protect the confidentiality of the information, including limiting the use and disclosure of the information to persons necessary to provide appropriate services for the juvenile who is the subject of the information, and to provide a safe environment for the juvenile and others; and

      (f) Whether disclosure of juvenile records requires parental notification.

      (2) Any juvenile justice or care agency or agency employee who discloses information in compliance with federal and state law is immune from civil liability for damages, unless it is shown that the agency or agency employee acted with gross negligence or in bad faith.

      Sec. 5. RCW 28A.225.330 and 1994 c 304 s 2 are each amended to read as follows:

      (1) When enrolling a student who has attended school in another school district, the school enrolling the student may request the parent and the student to briefly indicate in writing whether or not the student has:

      (a) Any history of placement in special educational programs;

      (b) Any past, current, or pending disciplinary action;

      (c) Any history of violent behavior;

      (d) Any unpaid fines or fees imposed by other schools; and

      (e) Any health conditions affecting the student's educational needs.

      (2) The school enrolling the student shall request the school the student previously attended to send the student's permanent record including records of disciplinary action. If the student has not paid a fine or fee under RCW 28A.635.060, the school may withhold the student's official transcript, but shall transmit information about the student's academic performance, special placement, and records of disciplinary action. If the official transcript is not sent due to unpaid fees or fines, the enrolling school shall notify both the student and parent or guardian that the official transcript will not be sent until the obligation is met, and failure to have an official transcript may result in exclusion from extracurricular activities or failure to graduate.

      (3) If information is requested under subsection (2) of this section, the information shall be transmitted within two school days after receiving the request and the records shall be sent as soon as possible.

      (4) Any school district or district employee who releases the information in compliance with federal and state law is immune from civil liability for damages unless it is shown that the school district or district employee acted with gross negligence or in bad faith.

      NEW SECTION. Sec. 6. A new section is added to chapter 28A.320 RCW to read as follows:

      (1) Each school district shall use the handbook developed under section 8 of this act to develop a policy regarding the disclosure of juvenile information as allowed by federal and state law. The school district shall implement the policy developed. The policy shall include, but not be limited to the following:

      (a) What information may be shared;

      (b) The conditions for sharing the information;

      (c) The method for providing the information;

      (d) Which individuals, by position, within the school district may receive the information;

      (e) Which individuals, by position, within the school district are responsible for providing reasonable safeguards to protect the confidentiality of the information, including limiting the use and disclosure of the information to persons necessary to provide appropriate educational and support services for the juvenile who is the subject of the information, and to provide a safe environment for the juvenile, other students, and staff; and

      (f) Whether disclosure of juvenile records requires parental notification.

      (2) Any school district or district employee who discloses information in compliance with federal and state law is immune from civil liability for damages unless it is shown that the school district or district employee acted with gross negligence or in bad faith.

      NEW SECTION. Sec. 7. A new section is added to chapter 28A.195 RCW to read as follows:

      Any approved private school or employee of an approved private school who discloses student record information in compliance with federal and state law governing public schools is immune from civil liability for damages, unless it is shown that the approved private school or the employee of an approved private school acted with gross negligence or in bad faith.

      NEW SECTION. Sec. 8. A new section is added to chapter 28A.300 RCW to read as follows:

      By July 1, 1996, the superintendent of public instruction, the department of social and health services, and the office of the attorney general shall jointly develop and publish a handbook on the current laws and policies governing the disclosure of information related to juveniles among and within juvenile justice or care agencies as defined by RCW 13.50.010. The handbook shall be jointly reviewed every two years and updated as needed.

      The handbook shall neither discourage nor promote disclosure of information, but shall be designed to assist agency personnel in complying with applicable state and federal law. The handbook shall provide model policies that individual juvenile justice or care agencies may use in drafting a policy for the entity. The handbook shall also address each of the following:

      (1) What constitutes juvenile records;

      (2) Which laws govern disclosure of juvenile records;

      (3) Who maintains juvenile records;

      (4) Who can obtain juvenile records;

      (5) How juvenile records can be obtained; and

      (6) Whether disclosure of juvenile records requires parental notification.

      NEW SECTION. Sec. 9. 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."


      On motion of Senator McAuliffe, the following amendments by Senators McAuliffe and Hargrove to the Committee on Education striking amendment were considered simultaneously and were adopted:

      Beginning on page 3, after line 34, strike all material down to and including "faith." on page 10, line 10.

      Beginning on page 11, after line 4, strike all material down to and including "affected." on page 12, line 26.

      The President declared the question before the Senate to be the adoption of the Committee on Education striking amendment, as amended, to Substitute House Bill No. 1401.

      Debate ensued.

      The committee amendment, as amended, was adopted.


MOTIONS


      On motion of Senator McAuliffe, the following title amendments were considered simultaneously and were adopted:

      On page 1, line 2 of the title, after "agencies;" strike the remainder of the title and insert "amending RCW 13.50.050, 13.50.100, and 28A.225.330; reenacting and amending RCW 13.40.215; adding a new section to chapter 13.50 RCW; adding a new section to chapter 28A.320 RCW; adding a new section to chapter 28A.195 RCW; and adding a new section to chapter 28A.300 RCW."

      On page 12, beginning on line 31 of the title amendment, after "insert" strike the remainder of the title amendment and insert "amending RCW 28A.225.330; and reenacting and amending RCW 13.40.215."

      On motion of Senator McAuliffe, the rules were suspended, Substitute House Bill No. 1401, as amended by the Senate, was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      Debate ensued.


MOTION


      On motion of Senator Hochstatter, Senators Ann Anderson and Newhouse were excused.

      The President declared the question before the Senate to be the roll call on the final passage of Substitute House Bill No. 1401, as amended by the Senate.


ROLL CALL


      The Secretary called the roll on the final passage of Substitute House Bill No. 1401, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 38; Nays, 6; Absent, 0; Excused, 5.

      Voting yea: Senators Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Johnson, Kohl, Long, Loveland, McAuliffe, McDonald, Morton, Moyer, Oke, Owen, Palmer, Pelz, Prince, Quigley, Rasmussen, Rinehart, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 38.

      Voting nay: Senators Cantu, Hochstatter, Prentice, Roach, Schow and Sellar - 6.

      Excused: Senators Anderson, A., Anderson, C., Bauer, McCaslin and Newhouse - 5.

      SUBSTITUTE HOUSE BILL NO. 1401, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


      There being no objection, the Senate resumed consideration of House Bill No. 1534, deferred on second reading April 7, 1995, after the amendment by Senators Roach, McDonald, Cantu and Johnson on page 7, after line 33, and the title amendment were adopted.


MOTION


      On motion of Senator Pelz, the rules were suspended, House Bill No. 1534, as amended by the Senate, was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      The President declared the question before the Senate to be the roll call on the final passage of House Bill No. 1534, as amended by the Senate.


ROLL CALL


      The Secretary called the roll on the final passage of House Bill No. 1534, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 45; Nays, 1; Absent, 0; Excused, 3.

      Voting yea: Senators Anderson, A., Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 45.

      Voting nay: Senator Gaspard - 1.

      Excused: Senators Anderson, C., Bauer and McCaslin - 3.

      HOUSE BILL NO. 1534, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


SECOND READING


      SUBSTITUTE HOUSE BILL NO. 1677, by House Committee on Education (originally sponsored by Representatives Koster, Campbell, Radcliff, Sheldon, Brumsickle, Stevens, McMahan, Smith, Clements, McMorris, Sherstad and Robertson)

 

Requiring school districts to obtain an appraisal before purchasing real property.


      The bill was read the second time.


MOTION


      On motion of Senator McAuliffe, the rules were suspended, Substitute House Bill No. 1677 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      The President declared the question before the Senate to be the roll call on the final passage of Substitute House Bill No. 1677.


ROLL CALL


      The Secretary called the roll on the final passage of Substitute House Bill No. 1677 and the bill passed the Senate by the following vote: Yeas, 40; Nays, 6; Absent, 0; Excused, 3.

      Voting yea: Senators Anderson, A., Drew, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Loveland, McAuliffe, McDonald, Moyer, Newhouse, Oke, Owen, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 40.

      Voting nay: Senators Cantu, Deccio, Long, Morton, Palmer and Sellar - 6.

      Excused: Senators Anderson, C., Bauer and McCaslin - 3.

      SUBSTITUTE HOUSE BILL NO. 1677, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


MOTION


      On motion of Senator Schow, the following resolution was adopted:


SENATE RESOLUTION 1995-8634


By Senator Schow and Johnson


      WHEREAS, The Washington Legislature wishes to encourage students to achieve excellence in their chosen fields of endeavor; and

      WHEREAS, The Federal Way High School speech and debate teams have garnered over two hundred and forty trophies and awards during the course of twenty competitive speech tournaments across the state during this academic year; and

      WHEREAS, The young people involved in this extracurricular program have devoted extensive hours over and beyond their normal studies to prepare for public speaking by keeping current on political and social events taking place in all locations of the globe; and

      WHEREAS, Success in competitive speech tournaments requires an unusually high degree of motivation, organizational ability, analytical skill, poise, and the capacity to learn from experience; and

      WHEREAS, Three Federal Way High School students, Matthew Case, Noah Down, and Angela Chung have distinguished themselves from their peers and competitors by their outstanding record of success; and

      WHEREAS, By their merits, these students have qualified for the National Forensic League Tournament to be held in Ft. Lauderdale, Florida, the week of June 17th, 1995; and

      WHEREAS, Federal Way High School speech coach, Lois Gorny, has excelled at fostering in her students the skills necessary to compete successfully at the highest levels of speech competition; and

      WHEREAS, The families of these talented young people have nurtured and supported the individual interests and special talents of their children;

      NOW, THEREFORE, BE IT RESOLVED, That the Washington State Senate recognize and congratulate these students for achieving the high honor of qualifying for the National Forensic League Tournament and acknowledge the fine example these students have set in the pursuit of excellence; and

      BE IT FURTHER RESOLVED, That these students, their coach, and families be commended for their hard work, dedication, and success; and

      BE IT FURTHER RESOLVED, That the Secretary of the Senate immediately transmit copies of this resolution to Federal Way High School Principal, Mr. Tim Sherry, and to the coach of the Federal Way High School speech and debate teams, Ms. Lois Gorny, and to the families of Matthew Case, Noah Down, and Angela Chung.


INTRODUCTION OF SPECIAL GUESTS


      The President welcomed and introduced the Federal Way High School speech and debate teams and their coach, Lois Gorny, who were seated in the gallery.


PERSONAL PRIVILEGE


      Senator West: "Mr. President, I would like to rise to a point of personal privilege. In light of the upcoming week-end, I feel that I owe the Senate--the folks here--an explanation and a clarification of remarks I made several weeks ago. You may recall, in a heated debate, I suggested that the Senator from the thirty-ninth district might still believe in the Easter Bunny. Some might have taken that as a disparaging remark, and actually it was a compliment, because I didn't mean to suggest that there wasn't an Easter Bunny and I wouldn't want anybody to be mislead and think there is not an Easter Bunny and so, in fact, that was a compliment to the Senator from the thirty-ninth district and I wanted to make sure that everyone understood that at this time."


PERSONAL PRIVILEGE


      Senator Quigley: "Rising to a point of personal privilege, I would like to thank Senator West for his apology, although I think it is in order because I have told him clearly that I do not believe in the Easter Bunny, although I still am in doubt about Santa Clause. Thank you."


PERSONAL PRIVILEGE


      Senator McAuliffe: "A point of personal privilege. I am the Easter Bunny and I will be delivering my eggs right now."

 

MOTION


      On motion of Senator Kohl, the following resolution was adopted:


SENATE RESOLUTION 1995-8630


By Senators Bauer,Wood, Smith, McDonald, Haugen, Roach, McAuliffe, Palmer, Heavey, Rinehart, Prentice, Sheldon, Long, Kohl, Morton, Rasmussen, Oke, West, A. Anderson, Drew, Fairley, Loveland, Deccio, Fraser, Schow, Snyder, Gaspard, Owen, Winsley, Franklin, Wojahn, Pelz, Cantu, Spanel, Hargrove, Quigley, Sutherland, Sellar, McCaslin, Moyer, Finkbeiner, Swecker, Newhouse, Johnson, Prince, C. Anderson, Strannigan, Hale and Hochstatter


      WHEREAS, The Washington State Legislature established the Washington Scholars Program in 1981 to recognize selected seniors from Washington public and private high schools for their academic achievements, leadership abilities, and community service contributions; and

      WHEREAS, The Legislature wishes to encourage these talented students to attend institutions of higher education in the state of Washington; and

      WHEREAS, Three graduating seniors are selected from each of the state's forty-nine legislative districts by a review committee comprised of distinguished secondary and postsecondary educators; and

      WHEREAS, The students chosen for this special recognition as Washington Scholars have distinguished themselves by their energy and diversity as student leaders; as skilled participants in the arts, athletics, debate, and other activities; and through valuable service to their communities; and

      WHEREAS, The families of these students have nurtured and supported the individual interests and special talents of their children; and

      WHEREAS, The state of Washington benefits from the accomplishments of these caring and gifted individuals, not only as students, but as citizens of our communities and our state;

      NOW, THEREFORE, BE IT RESOLVED, That the Senate commend the families of these students for their encouragement and support; and

      BE IT FURTHER RESOLVED, That the Washington Scholars be recognized and congratulated for their hard work, dedication, and maturity in achieving this noteworthy accomplishment; and

      BE IT FURTHER RESOLVED, That the Secretary of the Senate immediately transmit copies of this resolution to all of the Washington Scholars from each of the forty-nine legislative districts.


      Senators Kohl and McAuliffe spoke to Senate Resolution 1995-8630.


INTRODUCTION OF SPECIAL GUESTS


      The President welcomed and introduced the Washington Scholars and their parents, who were seated in the gallery.


MOTION


      On motion of Senator Spanel, the Senate returned to the sixth order of business.

 

SECOND READING


      ENGROSSED HOUSE BILL NO. 2033, by Representatives D. Schmidt and Scott

 

Providing an exemption to the Washington clean air act for fire training.


      The bill was read the second time.


MOTIONS


      On motion of Senator Fraser, the following Committee on Ecology and Parks amendment was adopted:

      On page 4, after line 15, insert the following:

      "(6) Subsection (5) of this section shall expire on the earlier of the following dates: (a) July 1, 1998; or (b) the date upon which the North Bend fire training center is fully operational for aircraft crash rescue fire training activities."

      On motion of Senator Fraser, the rules were suspended, Engrossed House Bill No. 2033, as amended by the Senate, was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      Debate ensued.

      The President declared the question before the Senate to be the roll call on the final passage of Engrossed House Bill No. 2033, as amended by the Senate.


ROLL CALL


      The Secretary called the roll on the final passage of Engrossed House Bill No. 2033, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 38; Nays, 9; Absent, 0; Excused, 2.

      Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Finkbeiner, Fraser, Gaspard, Hale, Hargrove, Haugen, Hochstatter, Johnson, Long, Loveland, McAuliffe, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Prentice, Prince, Rasmussen, Rinehart, Roach, Sellar, Sheldon, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley and Wood - 38.

      Voting nay: Senators Fairley, Franklin, Heavey, Kohl, Pelz, Quigley, Schow, Smith and Wojahn - 9.

      Excused: Senators Anderson, C. and McCaslin - 2.

      ENGROSSED HOUSE BILL NO. 2033, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


MOTION


      At 9:56 a.m., on motion of Senator Spanel, the Senate was declared to be at ease.


      The Senate was called to order at 11:35 a.m. by President Pritchard.


SECOND READING


      SENATE BILL NO. 6062, by Senators Quigley, Moyer, Fairley, Wood, Wojahn and Winsley

 

Making welfare work.


MOTIONS


      On motion of Senator Quigley, Second Substitute Senate Bill No. 6062 was substituted for Senate Bill No. 6062 and the substitute bill was placed on second reading and read the second time.

      Senator Hochstatter moved that the following amendment be adopted:

      On page 23, line 1, after "(3)" insert "If an additional child is born after ten months from the date of application, the benefit increase shall be limited to fifty percent of the full amount for that child. The birth of subsequent additional children does not entitle the recipient to any additional financial assistance.

      (4)"

      Renumber the remaining subsections consecutively and correct any internal references accordingly.

      Debate ensued.

      The President declared the question before the Senate to be the adoption of the amendment by Senator Hochstatter on page 23, line 1, to Second Substitute Senate Bill No. 6062.

      The motion by Senator Hochstatter carried and the amendment was adopted on a rising vote, the President voting 'aye.'


MOTION


      Senator Swecker moved that the following amendment by Senators Swecker, Ann Anderson and Owen be adopted:

      On page 23, beginning on line 30, strike all of sections 501 through 541 and insert the following:

      "Sec. 501. RCW 7.21.030 and 1989 c 373 s 3 are each amended to read as follows:

      (1) The court may initiate a proceeding to impose a remedial sanction on its own motion or on the motion of a person aggrieved by a contempt of court in the proceeding to which the contempt is related. Except as provided in RCW 7.21.050, the court, after notice and hearing, may impose a remedial sanction authorized by this chapter.

      (2) If the court finds that the person has failed or refused to perform an act that is yet within the person's power to perform, the court may find the person in contempt of court and impose one or more of the following remedial sanctions:

      (a) Imprisonment if the contempt of court is of a type defined in RCW 7.21.010(1) (b) through (d). The imprisonment may extend only so long as it serves a coercive purpose.

      (b) A forfeiture not to exceed two thousand dollars for each day the contempt of court continues.

      (c) An order designed to ensure compliance with a prior order of the court.

      (d) Any other remedial sanction other than the sanctions specified in (a) through (c) of this subsection if the court expressly finds that those sanctions would be ineffectual to terminate a continuing contempt of court.

      (e) An order suspending a license for willful noncompliance with a child support order.

      (3) The court may, in addition to the remedial sanctions set forth in subsection (2) of this section, order a person found in contempt of court to pay a party for any losses suffered by the party as a result of the contempt and any costs incurred in connection with the contempt proceeding, including reasonable attorney's fees."

      Renumber the remaining sections consecutively, reletter subpart headings consecutively, and correct the table of contents and any internal references accordingly.

      Debate ensued.

      Senator Wojahn demanded a roll call and the demand was sustained.

      The President declared the question before the Senate to be the roll call on the adoption of the amendment by Senators Swecker, Ann Anderson and Owen on page 23, beginning on line 30, to Second Substitute Senate Bill No. 6062.


ROLL CALL


      The Secretary called the roll and the amendment was not adopted by the following vote: Yeas, 22; Nays, 26; Absent, 0; Excused, 1.

      Voting yea: Senators Anderson, A., Cantu, Finkbeiner, Hale, Hargrove, Hochstatter, Johnson, Long, McCaslin, McDonald, Morton, Newhouse, Oke, Owen, Palmer, Prince, Roach, Schow, Sellar, Strannigan, Swecker and West - 22.

      Voting nay: Senators Bauer, Deccio, Drew, Fairley, Franklin, Fraser, Gaspard, Haugen, Heavey, Kohl, Loveland, McAuliffe, Moyer, Pelz, Prentice, Quigley, Rasmussen, Rinehart, Sheldon, Smith, Snyder, Spanel, Sutherland, Winsley, Wojahn and Wood - 26.

      Excused: Senator Anderson, C. - 1.


MOTION


      Senator Heavey moved that the following amendment be adopted:

      On page 52, line 9 after "section." insert the following:

      "NEW SECTION. Sec 542. A new section is added to chapter 26.20 RCW to read as follows:

      A person is guilty of predatory nonsupport if:

      (1) he or she is determined to be a parent for a second time under chapter 26.26 RCW;

      (2) the second or subsequent child is receiving public assistance under chapters 74.04, 74.09 or 74.12 RCW;

      (3) he or she fails to pay an obligation of support ordered under Title 26 RCW or chapters 74.04, 74.20 or 74.20A RCW; and

      (4) the second or subsequent child's other natural parent was, at the time of conception, under the age of 18.

      A violation of this section is a gross misdemeanor. Any subsequent violation of this section by a person previously convicted of a violation of this section is a class C felony under chapter 9A.20 RCW."

      Renumber the remaining sections consecutively and correct internal references accordingly.

      Debate ensued.

      The President declared the question before the Senate to be the adoption of the amendment by Senator Heavey on page 52, line 9, to Second Substitute Senate Bill No. 6062.



      The motion by Senator Heavey carried and the amendment was adopted.


MOTION


      Senator Cantu moved that the following amendment by Senators Cantu and Haugen be adopted:

      On page 52, beginning on line 10, strike "C." through "ZONING" and all of sections 542 through 547

      Renumber and reletter the remaining subpart headings and sections consecutively, correct any internal references accordingly, and correct the table of contents.

      Debate ensued.

      The President declared the question before the Senate to be the adoption of the amendment by Senators Cantu and Haugen on page 52, beginning on line 10, to Second Substitute Senate Bill No. 6062.

      The motion by Senator Cantu failed and the amendment was not adopted.


MOTION


      Senator Cantu moved that the following amendment be adopted:

      On page 60, after line 15, insert the following:

      "NEW SECTION. Sec. 701. The following acts or parts of acts are each repealed:

      (1) RCW 35.63.185 and 1994 c 273 s 14;

      (2) RCW 35A.63.215 and 1994 c 273 s 16; and

      (3) RCW 36.70A.450 and 1994 c 273 s 17."

      Renumber the remaining sections consecutively and correct any internal references accordingly.

      Debate ensued.

      The President declared the question before the Senate to be the adoption of the amendment by Senator Cantu on page 60, after line 15, to Second Substitute Senate Bill No. 6062.

      The motion by Senator Cantu failed and the amendment was not adopted.


MOTION


      On motion of Senator Quigley, the rules were suspended, Engrossed Second Substitute Senate Bill No. 6062 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      Debate ensued.

      The President declared the question before the Senate to be the roll call on the final passage of Engrossed Second Substitute Senate Bill No. 6062.


ROLL CALL


      The Secretary called the roll on the final passage of Engrossed Second Substitute Senate Bill No. 6062 and the bill passed the Senate by the following vote: Yeas, 41; Nays, 7; Absent, 0; Excused, 1.

      Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Haugen, Heavey, Hochstatter, Johnson, Long, Loveland, McAuliffe, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Prince, Quigley, Rasmussen, Roach, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 41.

      Voting nay: Senators Hargrove, Kohl, McCaslin, Pelz, Prentice, Rinehart and Schow - 7.

      Excused: Senator Anderson, C. - 1.

      ENGROSSED SECOND SUBSTITUTE SENATE BILL NO. 6062, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


PERSONAL PRIVILEGE


      Senator McCaslin: "A point of personal privilege. I wish to apologize to the body; I had an amendment for cranberry sauce, but I didn't get it in in time."

MOTION


      At 12:46 p.m., on motion of Senator Spanel, the Senate recessed until 1:15 p.m.


      The Senate was called to order at 1:35 p.m. by President Pritchard.


SECOND READING

GUBERNATORIAL APPOINTMENT


MOTION


      On motion of Senator Rinehart, Gubernatorial Appointment No. 9129, Matthew J. Coyle, as a member of the Tax Appeals Board, was confirmed.


MOTIONS


      On motion of Senator Kohl, Senator Fairley was excused.

      On motion of Senator Ann Anderson, Senators McCaslin and Winsley were excused.


APPOINTMENT OF MATTHEW J. COYLE


      The Secretary called the roll. The appointment was confirmed by the following vote: Yeas, 44; Nays, 0; Absent, 1; Excused, 4.

      Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Wojahn and Wood - 44.

      Absent: Senator Roach - 1.

      Excused: Senators Anderson, C., Fairley, McCaslin and Winsley - 4.


SECOND READING


      SUBSTITUTE HOUSE BILL NO. 1432, by House Committee on Finance (originally sponsored by Representatives Brumsickle and Reams)

 

Providing for notice statements regarding county financial matters.


      The bill was read the second time.


MOTION


      On motion of Senator Haugen, the rules were suspended, Substitute House Bill No. 1432 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.


MOTION


      On motion of Senator Loveland, Senator Bauer was excused.

      The President declared the question before the Senate to be the roll call on the final passage of Substitute House Bill No. 1432.


ROLL CALL


      The Secretary called the roll on the final passage of Substitute House Bill No. 1432 and the bill passed the Senate by the following vote: Yeas, 44; Nays, 0; Absent, 1; Excused, 4.

      Voting yea: Senators Anderson, A., Cantu, Deccio, Drew, Finkbeiner, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 44.

      Absent: Senator Franklin - 1.

      Excused: Senators Anderson, C., Bauer, Fairley and McCaslin - 4.

      SUBSTITUTE HOUSE BILL NO. 1432, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


SECOND READING


      ENGROSSED HOUSE BILL NO. 2057, by Representatives Appelwick and Foreman

 

Changing judicial retirement eligibility.


      The bill was read the second time.


MOTIONS


      On motion of Senator Loveland, the following Committee on Ways and Means amendment was adopted:

      Strike everything after the enacting clause and insert the following:

      "Sec. 1. RCW 2.10.100 and 1988 c 109 s 3 are each amended to read as follows:

      Retirement of a member for service shall be made by the retirement board as follows:

      (1) Any judge who, on August 9, 1971 or within one year thereafter, shall have completed as a judge the years of actual service required under chapter 2.12 RCW and who shall elect to become a member of this system, shall in all respects be deemed qualified to retire under this retirement system upon ((his)) the member's written request.

      (2) Any member who has completed fifteen or more years of service may be retired upon ((his)) the member's written request but shall not be eligible to receive a retirement allowance until the member attains the age of sixty years.

      (3) Any member who attains the age of seventy-five years shall be retired at the end of the calendar year in which ((he)) the member attains such age.

      (4) Any judge who involuntarily leaves service or who is appointed to a position as a federal judge or federal magistrate at any time after having served an aggregate of twelve years shall be eligible to a partial retirement allowance computed according to RCW 2.10.110 and shall receive this allowance upon the attainment of the age of sixty years and fifteen years after the beginning of ((his)) the member's judicial service."

      On motion of Senator Loveland, the following title amendment was adopted:

      On page 1, line 1 of the title, after "eligibility;" strike the remainder of the title and insert "and amending RCW 2.10.100."


MOTION


      On motion of Senator Loveland, the rules were suspended, Engrossed House Bill No. 2057, as amended by the Senate, was advanced to third reading, the second reading considered the third and the bill was placed on final passage.


MOTION


      On motion of Senator Prentice, Senator Franklin was excused.

      The President declared the question before the Senate to be the roll call on the final passage of Engrossed House Bill No. 2057, as amended by the Senate.


ROLL CALL


      The Secretary called the roll on the final passage of Engrossed House Bill No. 2057, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 45; Nays, 1; Absent, 1; Excused, 2.

      Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Oke, Owen, Palmer, Pelz, Prentice, Prince, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 45.

      Voting nay: Senator Newhouse - 1.

      Absent: Senator Quigley - 1.

      Excused: Senators Anderson, C. and Franklin - 2.

      ENGROSSED HOUSE BILL NO. 2057, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


SECOND READING


      HOUSE BILL NO. 1359, by Representatives Van Luven and G. Fisher (by request of Department of Revenue)

 

Affecting the administration and collection of the cigarette tax.


      The bill was read the second time.


MOTION


      Senator McDonald moved that the following amendments by Senators McDonald and Snyder be considered simultaneously and be adopted:

      On page 13, line 17, before "The" insert "(1)"

      On page 13, after line 18, insert the following:

      "(2)(a) The department shall convene the cigarette tax and revenue loss advisory committee. The advisory committee shall consist of the following members:

      (i) Two members recommended by the Washington state association of neighborhood stores, appointed by the speaker of the house of representatives and the majority leader of the senate;

      (ii) One member recommended by the Korean-American grocers association, appointed by the speaker of the house of representatives and the majority leader of the senate;

      (iii) One wholesaler of tobacco products, appointed by the speaker of the house of representatives and the majority leader of the senate;

      (iv) One distributor of tobacco products, appointed by the speaker of the house of representatives and the majority leader of the senate;

      (v) The director of the department of revenue or the director's designee;

      (vi) A representative of the Washington state liquor control board;

      (vii) Four representatives of the senate committee on ways and means;

      (viii) Four representatives of the house of representatives committee on finance; and

      (ix) The governor or the governor's designee.

      (b) Nonlegislative members may receive reimbursement from the governor's office for travel under RCW 43.03.050 and 43.03.060. Legislative members may be reimbursed under RCW 41.04.300.

      (c)(i) The advisory committee shall review, analyze, and report all cigarette tax losses determined from the best evidence and analytical techniques available to have been experienced by the state of Washington due to cross border sales, Indian sales, casual and organized bootlegging or smuggling, and sales on military reservations. This report must cover the period from January 1, 1992, through December 1, 1995. This report must be made to the appropriate committees of the legislature by January 15, 1996.

      (ii) The report must quantify cigarette tax losses attributable to each of the categories enumerated in (c)(i) of this subsection by year and the total loss of revenue experienced by the state in each year. In a year during which the cigarette tax was increased, the losses must be broken down to reveal revenue losses during the year before the increase and revenue losses during the year after the increase.

      (iii) The report must state the sources of information used to make estimates of revenue loss in each year and the methodology used to convert such information into estimates of revenue lost. If assumptions are required to be made in developing these estimates, the assumptions must be clearly stated and justified in the report. If a determination is made not to utilize certain available information that might be probative of revenue losses, the omission must be noted and the rationale for its omission clearly stated.

      (iv) In addition to establishing from the best information available the amount of cigarette revenue lost in each year, the report must include an enumeration and analysis of the underlying reasons for such losses, and a narrative summary accurately and objectively setting forth the findings embodied in the report.

      (d) The advisory committee may utilize the staff of the department, the Washington state liquor control board, the senate committee on ways and means, and the house of representatives committee on finance for the purpose of carrying out this subsection."

      Debate ensued.

      The President declared the question before the Senate to be the adoption of the amendments by Senators McDonald and Snyder on page 13, lines 17 and 18, to House Bill No. 1359.

      The motion by Senator McDonald carried and the amendments were adopted.


MOTION


      On motion of Senator Loveland, the rules were suspended, House Bill No. 1359, as amended by the Senate, was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      The President declared the question before the Senate to be the roll call on the final passage of House Bill No. 1359, as amended by the Senate..


ROLL CALL


      The Secretary called the roll on the final passage of House Bill No. 1359, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 47; Nays, 0; Absent, 0; Excused, 2.

      Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 47.

      Excused: Senators Anderson, C. and Franklin - 2.

      HOUSE BILL NO. 1359, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


SECOND READING


      HOUSE BILL NO. 1436, by Representatives Dyer and B. Thomas

 

Supplementing emergency services resulting from the impact of tourism in small communities.


      The bill was read the second time.


MOTIONS


      On motion of Senator Drew, the following Committee on Ways and Means amendment was adopted:

      On page 1, strike everything after the enacting clause and insert the following:

      "NEW SECTION. Sec. 1. A new section is added to chapter 67.28 RCW to read as follows:

      (1) The legislative body of any city with a population of less than two thousand that is located in a county with a population of at least one million is authorized to levy and collect a special excise tax not to exceed two percent on the sale of or charge made for the furnishing of lodging by a hotel, rooming house, tourist court, motel, trailer camp, and the granting of any similar license to use real property, as distinguished from the renting or leasing of real property, except that no tax shall be levied on a premises having fewer than forty lodging units. For the purposes of this tax, it shall be presumed that the occupancy of real property for a continuous period of one month or more constitutes a rental or lease of real property and not a mere license to use or to enjoy the same.

      (2) The tax authorized in subsection (1) of this section is in addition to any other tax authorized by law.

      (3) Any seller, as defined in RCW 82.08.010, who is required to collect any tax under this section shall pay over such tax to the city as provided in RCW 67.28.200. The deduction from state taxes under RCW 67.28.190 does not apply to the tax imposed under this section.

      (4) All taxes levied and collected under this section shall be credited to a special fund in the treasury of the city. Such taxes shall only be used to mitigate the impacts of tourism or flooding."

      On motion of Senator Drew, the following title amendment was adopted:

      On page 1, line 1 of the title, after "lodging;" strike the remainder of the title and insert "and adding a new section to chapter 67.28 RCW."


MOTION


      On motion of Senator Drew, the rules were suspended, House Bill No. 1436, as amended by the Senate, was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      Debate ensued.

      The President declared the question before the Senate to be the roll call on the final passage of House Bill No. 1436, as amended by the Senate.


ROLL CALL


      The Secretary called the roll on the final passage of House Bill No. 1436, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 26; Nays, 21; Absent, 0; Excused, 2.

      Voting yea: Senators Bauer, Drew, Fairley, Finkbeiner, Fraser, Gaspard, Hargrove, Haugen, Heavey, Kohl, Loveland, McAuliffe, Oke, Owen, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Sellar, Sheldon, Smith, Snyder, Spanel and Wojahn - 26.

      Voting nay: Senators Anderson, A., Cantu, Deccio, Hale, Hochstatter, Johnson, Long, McCaslin, McDonald, Morton, Moyer, Newhouse, Palmer, Roach, Schow, Strannigan, Sutherland, Swecker, West, Winsley and Wood - 21.

      Excused: Senators Anderson, C. and Franklin - 2.

      HOUSE BILL NO. 1436, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


SECOND READING


      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1810, by House Committee on Agriculture and Ecology (originally sponsored by Representatives Chandler, Honeyford, Thompson and L. Thomas)

 

Creating a legislative task force to review the model toxics control act.


      The bill was read the second time.


MOTION


      Senator Fraser moved that the following Committee on Ways and Means amendment be adopted:

      Strike everything after the enacting clause and insert the following:

      "NEW SECTION. Sec. 1. (1) The department of ecology shall establish a policy advisory committee to provide advice to the legislature and the department on administrative and legislative actions to more effectively implement the model toxics control act, chapter 70.105D RCW. The committee shall consist of the following members:

      (a) Four legislative members selected as provided in subsection (2) of this section;

      (b) Four representatives of citizen and environmental organizations;

      (c) Four representatives of business, including two representatives of small business and two representatives of large business;

      (d) One representative of counties;

      (e) One representative of cities;

      (f) One representative of ports;

      (g) One member of the scientific advisory board created under RCW 70.105D.030(4);

      (h) One representative of an environmental consulting firm engaged in the remediation of contaminated sites;

      (i) Not more than three additional members selected by the department from recommendations provided by the committee; and

      (j) The directors of the departments of ecology and health or their designees.

      (2) The president of the senate and the speaker of the house of representatives may each appoint one member from each major caucus in the senate and the house of representatives, respectively, to serve as members of the committee.

      (3) In making appointments under subsection (1) (b), (c), (d), (e), (f), (g), and (h) of this section, the department shall select from the lists of recommendations submitted by recognized regional or state-wide organizations representing the interests of that category.

      (4) The initial meeting of the committee shall be scheduled no later than August 1, 1995. At the initial meeting the members shall select a presiding officer and adopt procedures for carrying out their duties under sections 2 and 3 of this act. In conducting its review the committee shall, wherever possible, operate on a consensus basis and, when consensus is not possible to achieve, the committee should encourage the development of recommendations that are broadly supported within the committee. Where consensus is not achieved, other views within the committee shall be included in any reports required by sections 2 and 3 this act.

      (5) The committee may divide itself into subcommittees. The committee should seek input from people who are interested in its work and who will, in the committee's view, bring experience or technical or interdisciplinary insight to a thoughtful consideration of the issues before the committee.

      (6) The department shall provide staffing and other assistance to the committee, including facilitators from within or outside of state government if requested. Such assistance shall include information in response to reasonable requests from the committee, provided that the information is not protected by attorney-client privilege.

      (7) Legislative members of the committee shall be reimbursed for travel expenses as provided in RCW 44.04.120. If other members would not be able to participate in the committee's activities because of travel expenses or other financial limitations on the ability to participate fully, the department shall certify the members as entitled to reimbursement for travel expenses as provided in RCW 43.03.050 and 43.03.060.

      (8) At the initial meeting attended by a committee member, the member shall identify the nature of his or her interest in the outcome of matters before the committee. This information shall include the type of organization to which the member belongs and the general nature of the membership and/or business interest of that organization. Thereafter, a committee member shall disclose any potential conflicts of interest or bias that subsequently arise or of which the committee member subsequently becomes aware. A member shall refrain from participating in any matter that the member for any reason cannot act fairly, objectively, and in the public interest with regard to that matter.

      NEW SECTION. Sec. 2. (1) The policy advisory committee shall review, provide advice, and develop recommendations on the following subjects, at a minimum:

      (a) Clean-up standards and clean-up levels, including the use of site-specific risk assessment;

      (b) Policies, rules, and procedures, including the use of cost, current and future land use, and other criteria in the selection of clean-up remedies;

      (c) How the department carries out the clean-up program in practice, including training, and accountability for clean-up decisions and their implementation;

      (d) Improving the clean-up process to provide additional incentives to potentially liable parties to fully and expeditiously fund cleanups;

      (e) The need for adoption of and recommended levels for ecologically based clean-up standards; and

      (f) A review of the effectiveness of independent cleanups.

      (2) The committee shall begin meeting no later than August 1, 1995, to review the model toxics control act and its implementation to date. The committee is encouraged to submit recommendations on policies of state-wide or regional significance to the department at any point during its review. The committee shall submit a preliminary report not later than December 15, 1995, to the appropriate legislative committees, that identifies priority questions and issues that the committee intends to address. The preliminary report shall identify the schedule and approach planned for analyzing these priority issues. The committee shall develop a procedure to allow other interested parties to propose additional questions and issues for review. Any questions and issues the committee chooses to address shall be of regional or state-wide significance. It is not the intent that this committee become engaged in site-specific clean-up decisions at pilot projects or any other sites.

      (3) The committee shall submit a final report to the department and the appropriate legislative committees not later than December 15, 1996, on the priority issues it has identified for review. In addition to action recommendations, the final report may identify issues and priorities for further study, including a recommendation as to whether the committee should continue in existence.

      (4) The department shall assist the committee's review under this section by preparing case studies of a variety of site cleanups involving differing contaminants, quantities of contaminants, media affected, populations exposed, present and future land and resource uses, and other factors. The committee shall seek input from the affected community, potentially liable persons involved in the cleanup and other participants in the clean-up process at the site and include this input in the information included on the case study. The case studies, along with the other information gathered in the review, shall be used by the committee to provide advice and develop recommendations on the questions and issues addressed by the committee.

      NEW SECTION. Sec. 3. (1) Not later than October 1, 1995, the policy advisory committee shall select two pilot projects from a list of proposed pilot project sites provided by the department. The purpose of the pilot projects is to evaluate alternative methods for accomplishing faster, less-expensive, and an equally protective degree of cleanup at complex sites, within the framework provided by the model toxics control act and the rules adopted under the model toxics control act. Pilot projects shall comply with the model toxics control act and the rules adopted under the model toxics control act. Public participation in the clean-up process for these sites shall be as provided in such rules. In order to be eligible for a pilot project, a site shall be conducting remedial actions under an order, agreed order, or consent decree under the model toxics control act and there shall not be significant opposition from the public potentially affected by the site. In addition, the following criteria shall be used by the department and the committee when recommending and selecting a site as a pilot project site:

      (a) The presence of multiple parties at the site and the willingness of these persons to participate in a pilot project;

      (b) The source of contamination at the site. Sites contaminated as a result of current or past industrial activities shall be given a preference over other sites;

      (c) The stage of cleanup at the site. Sites that are in the process of preparing or for which there is recently completed a remedial investigation/feasibility study shall be given preference over other sites; and

      (d) The degree of community support for selecting a site as a pilot project site. To determine the degree of community support, the department shall first consult with interested community and environmental groups. Thereafter, before proposing a site as a pilot project the department shall issue a public notice identifying the site and seeking public comment on the potential for the site to be a pilot project site.

      (2) In the pilot projects the department shall include with the remedial investigation/feasibility study required under the model toxics control act any additional or alternative risk assessments or other analyses that potentially liable persons may wish to prepare at their expense for the purpose of exploration of improved methods to accomplish cleanup under the model toxics control act. The department shall provide technical assistance to identify an appropriate scope for such supplemental analyses, so that the analyses may prove useful in considering improvements to existing practices, policies, rules, and procedures. The department may establish a reasonable schedule for the preparation of any supplemental analyses. The preparation and evaluation of any supplemental analyses shall not result in a delay in remedial actions at the pilot sites. The analyses shall be included in the remedial investigation/feasibility study regardless of whether the department fully concurred in their scope. The department may simultaneously prepare or commission its own supplemental analyses at its own expense, as distinct from department-conducted or department-commissioned or contracted technical review of supplemental analyses prepared by potentially liable persons, which shall remain subject to cost recovery under the model toxics control act.

      (3) In consultation with the potentially liable persons and affected public for each site, the department's site managers shall to the fullest extent possible use the administrative principles set forth, for both the clean-up process and for clean-up standards, as well as other flexible tools available in the rules adopted under the model toxics control act.

      (4) In order to avoid misunderstanding and promote constructive dialogue, the public participation plan for each site shall be designed or revised to educate and involve the public on the nature of the pilot project, the specific issues being explored at the site, and the purpose and scope of any alternative or supplemental analyses.

      (5) The department shall prepare a report on each pilot project highlighting any policy issues raised as a result of the pilot project and providing a copy of the remedial investigation/feasibility study and any supplemental analyses and public comments received for each pilot project to the policy advisory committee. The report shall be submitted to the committee within ninety days after the comment period ends on the remedial investigation/feasibility study for that site. The department shall also keep the committee informed about decisions made regarding the pilot project sites and progress made in implementation of cleanup at these sites. The intent is for the committee to use the information acquired from the pilot projects to supplement other information used in developing policy recommendations under section 2 of this act. The department shall submit a status report to the policy advisory committee no later than March 31, 1996, including an estimated schedule for reporting on each pilot project.

      (6) Nothing in this act shall be construed to prevent or limit the department from fully employing all procedures and standards available under the model toxics control act or the rules adopted to implement the model toxics control act with respect to any site, whether or not it is being considered as a possible pilot project under this section.

      NEW SECTION. Sec. 4. If specific funding for the purposes of this act, referencing this act by bill number, is not provided by June 30, 1995, in the omnibus appropriations act, this act is null and void.

      NEW SECTION. Sec. 5. This act shall expire January 15, 1997."

      Debate ensued.

      The President declared the question before the Senate to be the adoption of the Committee on Ways and Means striking amendment to Engrossed Substitute House Bill No. 1810.

      The motion by Senator Fraser carried and the committee striking amendment was adopted.


MOTIONS


      On motion of Senator Fraser, the following title amendment was adopted:

      On page 1, line 2 of the title, after "act;" strike the remainder of the title and insert "creating new sections; and providing an expiration date."

      On motion of Senator Fraser, the rules were suspended, Engrossed Substitute House Bill No. 1810, as amended by the Senate, was advanced to third reading, the second reading considered the third and the bill was placed on final passage.


POINT OF INQUIRY


      Senator Strannigan: "Senator Fraser, does this, in any way, affect the stringency of the regulations in the Model Toxics Control Act?"       Senator Fraser: "The pilot projects that might be selected would have to live within the existing laws and regulations pertaining to cleanup."

      Senator Strannigan: "And are any two projects specified in the bill?"

      Senator Fraser: "The bill does not select or imply any particular project. There are criteria in the study proposal relating to candidates that would be selected by the Department of Ecology and then finally selected with the advice of the advisory committee."

      The President declared the question before the Senate to be the roll call on the final passage of Engrossed Substitute House Bill No. 1810, as amended by the Senate.


ROLL CALL


      The Secretary called the roll on the final passage of Engrossed Substitute House Bill No. 1810, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 47; Nays, 0; Absent, 0; Excused, 2.

      Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 47.

      Excused: Senators Anderson, C. and Franklin - 2.

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1810, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


SECOND READING


      SUBSTITUTE HOUSE BILL NO. 1658, by House Committee on Agriculture and Ecology (originally sponsored by Representatives Pennington, Hatfield, Morris, Basich, Boldt, Chandler and Benton)

 

Providing that filled or altered wetlands shall not be considered or treated as wetlands.


      The bill was read the second time.


MOTIONS


      On motion of Senator Fraser, the following Committee on Ecology and Parks amendment was adopted:

      Strike everything after the enacting clause and insert the following:

      "NEW SECTION. Sec. 1. A new section is added to chapter 75.20 RCW to read as follows:

      The department may not require mitigation for adverse impacts on fish life or habitat that occurred at the time a wetland was filled, if the wetland was filled under the provisions of RCW 75.20.300."

      On motion of Senator Fraser, the following title amendment was adopted:

      On page 1, line 1 of the title, after "wetlands;" strike the remainder of the title and insert "and adding a new section to chapter 75.20 RCW."


MOTION


      On motion of Senator Fraser, the rules were suspended, Substitute House Bill No. 1658, as amended by the Senate, was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      The President declared the question before the Senate to be the roll call on the final passage of Substitute House Bill No. 1658, as amended by the Senate.


ROLL CALL


      The Secretary called the roll on the final passage of Substitute House Bill No. 1658, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 48; Nays, 0; Absent, 0; Excused, 1.

      Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 48.

      Excused: Senator Anderson, C. - 1.

      SUBSTITUTE HOUSE BILL NO. 1658, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


SECOND READING


      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1518, by House Committee on Education (originally sponsored by Representatives Thompson, Lambert, Talcott, Brumsickle, Elliot, Radcliff, D. Schmidt, Pelesky, Padden, Veloria, Dickerson, McMahan, Quall, Johnson, Basich and Mason)

 

Authorizing clock hours for teachers participating in internships.


      The bill was read the second time.


MOTIONS


      On motion of Senator McAuliffe, the following Committee on Education amendment was adopted:

      Strike everything after the enacting clause and insert the following:

      "NEW SECTION. Sec. 1. The legislature finds that if students are to succeed in an increasingly competitive economy, they will need to be taught by teachers who are aware of the technological innovations and changes that are occurring throughout business, industry, and government. Having teachers who are more aware of these changes will lead to improvements in curriculum and instruction, thereby making public schools more relevant to the future career and personal needs of our students.

      Sec. 2. RCW 28A.415.020 and 1990 c 33 s 415 are each amended to read as follows:

      (1) Certificated personnel shall receive for each ten clock hours of approved in-service training attended the equivalent of a one credit college quarter course on the salary schedule developed by the legislative evaluation and accountability program committee.

      (2) Certificated personnel shall receive for each ten clock hours of approved continuing education earned, as continuing education is defined by rule adopted by the state board of education, the equivalent of a one credit college quarter course on the salary schedule developed by the legislative evaluation and accountability program committee.

      (3) Certificated personnel shall receive for each forty clock hours of participation in an approved internship with a business, an industry, or government, as an internship is defined by rule of the state board of education in accordance with section 3 of this act, the equivalent of a one credit college quarter course on the salary schedule developed by the legislative evaluation and accountability program committee.

      (4) An approved in-service training program shall be a program approved by a school district board of directors, which meet standards adopted by the state board of education, and the development of said program has been participated in by an in-service training task force whose membership is the same as provided under RCW 28A.415.040, or a program offered by an education agency approved to provide in-service for the purposes of continuing education as provided for under rules adopted by the state board of education, or both.

      (((4))) (5) Clock hours eligible for application to the salary schedule developed by the legislative evaluation and accountability program committee as described in subsections (1) and (2) of this section, shall be those hours acquired after August 31, 1987. Clock hours eligible for application to the salary schedule as described in subsection (3) of this section shall be those hours acquired after December 31, 1995.

      NEW SECTION. Sec. 3. A new section is added to chapter 28A.415 RCW to read as follows:

      The state board of education shall establish rules for awarding clock hours for participation of certificated personnel in internships with business, industry, or government. To receive clock hours for an internship, the individual must demonstrate that the internship will provide beneficial skills and knowledge in an area directly related to his or her current assignment, or to his or her assignment for the following school year. An individual may not receive more than the equivalent of two college quarter credits for internships during a calendar-year period. The total number of credits for internships that an individual may earn to advance on the salary schedule developed by the legislative evaluation and accountability program committee or its successor agency is limited to the equivalent of fifteen college quarter credits.

      NEW SECTION. Sec. 4. The legislative office on performance audit and fiscal analysis shall conduct an evaluation, by December 15, 1997, of internship credits granted to teachers to advance on the salary schedule as provided in section 2 of this act. This evaluation shall compare the efficacy of internship, in-service, and academic credits as recognized in the state salary allocation schedule in the omnibus appropriations act, in improving teacher effectiveness and productivity."

      On motion of Senator McAuliffe, the following title amendment was adopted:

      On page 1, line 1 of the title, after "teachers;" strike the remainder of the title and insert "amending RCW 28A.415.020; adding a new section to chapter 28A.415 RCW; and creating new sections."


MOTION


      On motion of Senator McAuliffe, the rules were suspended, Engrossed Substitute House Bill No. 1518, as amended by the Senate, was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      The President declared the question before the Senate to be the roll call on the final passage of Engrossed Substitute House Bill No. 1518, as amended by the Senate.


ROLL CALL


      The Secretary called the roll on the final passage of Engrossed Substitute House Bill No. 1518, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 48; Nays, 0; Absent, 0; Excused, 1.

      Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 48.

      Excused: Senator Anderson, C. - 1.

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1518, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


SECOND READING


      SUBSTITUTE HOUSE BILL NO. 1673, by House Committee on Finance (originally sponsored by Representatives Dickerson, Mason, Morris, Chappell, Wolfe, Kessler, Hatfield, Conway, Benton, Kremen, Cody and Mastin)

 

Expanding property tax deferrals for senior citizens and persons retired by reason of physical disability.


      The bill was read the second time.

MOTIONS


      On motion of Senator Spanel, the following amendment by Senators Spanel and Rinehart was adopted:

      On page 1, strike everything after the enacting clause and insert the following:

      "Sec. 1. RCW 84.38.020 and 1991 c 213 s 1 are each amended to read as follows:

      Unless a different meaning is plainly required by the context, the following words and phrases as hereinafter used in this chapter shall have the following meanings:

      (1) "Claimant" means a person who either elects or is required under RCW ((84.64.030 or)) 84.64.050 to defer payment of the special assessments and/or real property taxes accrued on the claimant's residence by filing a declaration to defer as provided by this chapter.

      When two or more individuals of a household file or seek to file a declaration to defer, they may determine between them as to who the claimant shall be.

      (2) "Department" means the state department of revenue.

      (3) "Equity value" means the amount by which the fair market value of a residence as determined from the records of the county assessor exceeds the total amount of any liens or other obligations against the property.

      (4) "Real property taxes" means ad valorem property taxes levied on a residence in this state in the preceding calendar year.

      (5) "Residence" has the meaning given in RCW 84.36.383, except that a residence includes any additional property up to a total of five acres that comprises the residential parcel if this larger parcel size is required under land use regulations.

      (6) "Special assessment" means the charge or obligation imposed by a city, town, county, or other municipal corporation upon property specially benefited by a local improvement, including assessments under chapters 35.44, 36.88, 36.94, 53.08, 54.16, 56.20, 57.16, 86.09, and 87.03 RCW and any other relevant chapter.

      (((5) "Real property taxes" means ad valorem property taxes levied on a residence in this state in the preceding calendar year.))

      Sec. 2. RCW 84.38.030 and 1991 c 213 s 2 are each amended to read as follows:

      A claimant may defer payment of special assessments and/or real property taxes on up to eighty percent of the amount of the claimant's equity value in the claimant's residence if the following conditions are met:

      (1) The claimant must meet all requirements for an exemption for the residence under RCW 84.36.381, other than the age and income limits under RCW 84.36.381 and the parcel size limit under RCW 84.36.383.

      (2) The claimant must be sixty years of age or older on December 31st of the year in which the deferral claim is filed, or must have been, at the time of filing, retired from regular gainful employment by reason of physical disability: PROVIDED, That any surviving spouse of a person who was receiving a deferral at the time of the person's death shall qualify if the surviving spouse is fifty-seven years of age or older and otherwise meets the requirements of this section.

      (3) The claimant must have a combined disposable income, as defined in RCW 84.36.383, of ((thirty)) thirty-four thousand dollars or less.

      (((3))) (4) The claimant must have owned, at the time of filing, the residence on which the special assessment and/or real property taxes have been imposed. For purposes of this subsection, a residence owned by a marital community or owned by cotenants shall be deemed to be owned by each spouse or cotenant. A claimant who has only a share ownership in cooperative housing, a life estate, a lease for life, or a revocable trust does not satisfy the ownership requirement.

      (((4))) (5) The claimant must have and keep in force fire and casualty insurance in sufficient amount to protect the interest of the state in the claimant's equity value: PROVIDED, That if the claimant fails to keep fire and casualty insurance in force to the extent of the state's interest in the claimant's equity value, the amount deferred shall not exceed one hundred percent of the claimant's equity value in the land or lot only.


      (((5))) (6) In the case of special assessment deferral, the claimant must have opted for payment of such special assessments on the installment method if such method was available."

      On motion of Senator Loveland, the following title amendment was adopted:

      On page 1, line 2 of the title, after ""disability;" strike the remainder of the title and insert "and amending RCW 84.38.020 and 84.38.030."


MOTION


      On motion of Senator Loveland, the rules were suspended, Substitute House Bill No. 1673, as amended by the Senate, was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      The President declared the question before the Senate to be the roll call on the final passage of Substitute House Bill No. 1673, as amended by the Senate.


ROLL CALL


      The Secretary called the roll on the final passage of Substitute House Bill No. 1673, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 47; Nays, 1; Absent, 0; Excused, 1.

      Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 47.

      Voting nay: Senator Fairley - 1.

      Excused: Senator Anderson, C. - 1.

      SUBSTITUTE HOUSE BILL NO. 1673, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


SECOND READING


      SUBSTITUTE HOUSE BILL NO. 1152, by House Committee on Law and Justice (originally sponsored by Representatives Pennington, Buck, Smith, Sherstad, Beeksma, Hargrove, Campbell, Chappell, Basich, Sheldon, Backlund, L. Thomas, Thompson, Foreman, Benton, McMorris, Robertson, Goldsmith, McMahan, Chandler, Clements, Mulliken, Johnson, D. Schmidt, B. Thomas, Delvin, Koster, Hymes, Skinner, Mielke and Padden)

 

Changing fees regarding concealed pistol licenses.


      The bill was read the second time.


MOTION


      Senator Smith moved that the following Committee on Law and Justice amendment be adopted:

      Strike everything after the enacting clause and insert the following:

      "Sec. 1. RCW 9.41.070 and 1994 sp.s. c 7 s 407 and 1994 c 190 s 2 are each reenacted and amended to read as follows:

      (1) The ((judge of a court of record, the)) chief of police of a municipality((,)) or the sheriff of a county((,)) shall within thirty days after the filing of an application of any person, issue a license to such person to carry a pistol concealed on his or her person within this state for ((four)) five years from date of issue, for the purposes of protection or while engaged in business, sport, or while traveling. However, if the applicant does not have a valid permanent Washington driver's license or Washington state identification card or has not been a resident of the state for the previous consecutive ninety days, the issuing authority shall have up to sixty days after the filing of the application to issue a license. The issuing authority shall not refuse to accept completed applications for concealed pistol licenses during regular business hours.

      The applicant's constitutional right to bear arms shall not be denied, unless ((he or she)):

      (a) He or she is ineligible to possess a firearm under the provisions of RCW 9.41.040 or 9.41.045;

      (b) The applicant's concealed pistol license is in a revoked status;

      (c) He or she is under twenty-one years of age;

      (((c))) (d) He or she is subject to a court order or injunction regarding firearms pursuant to RCW 9A.46.080, 10.14.080, 10.99.040, 10.99.045, 26.09.050, 26.09.060, 26.10.040, 26.10.115, 26.26.130, 26.26.137, 26.50.060, or 26.50.070;

      (((d))) (e) He or she is free on bond or personal recognizance pending trial, appeal, or sentencing for a serious offense;

      (((e))) (f) He or she has an outstanding warrant for his or her arrest from any court of competent jurisdiction for a felony or misdemeanor;

      (((f))) (g) He or she has been ordered to forfeit a firearm under RCW 9.41.098(1)(((d))) (e) within one year before filing an application to carry a pistol concealed on his or her person; or

      (((g))) (h)(i) He or she has been convicted of any crime against a child or other person listed in RCW 43.43.830(5).

      (ii) Except as provided in (((g))) (h)(iii) of this subsection, any person who becomes ineligible for a concealed pistol license as a result of a conviction for a crime listed in (((g))) (h)(i) of this subsection and then successfully completes all terms of his or her sentence, as evidenced by a certificate of discharge issued under RCW 9.94A.220 in the case of a sentence under chapter 9.94A RCW, and has not again been convicted of any crime and is not under indictment for any crime, may, one year or longer after such successful sentence completion, petition a court of record for a declaration that the person is no longer ineligible for a concealed pistol license under (((g))) (h)(i) of this subsection.

      (iii) No person convicted of a serious offense as defined in RCW 9.41.010 may have his or her right to possess firearms restored, unless the person has been granted relief from disabilities by the secretary of the treasury under 18 U.S.C. Sec. 925(c), or RCW 9.41.040 (3) or (4) applies.

      (2) The issuing authority shall check with the national crime information center, the Washington state patrol electronic data base, the department of social and health services electronic data base, and with other agencies or resources as appropriate, to determine whether the applicant is ineligible under RCW 9.41.040 or 9.41.045 to possess a ((pistol)) firearm and therefore ineligible for a concealed pistol license. This subsection applies whether the applicant is applying for a new concealed pistol license or to renew a concealed pistol license.

      (3) Any person whose firearms rights have been restricted and who has been granted relief from disabilities by the secretary of the treasury under 18 U.S.C. Sec. 925(c) or who is exempt under 18 U.S.C. Sec. 921(a)(20)(A) shall have his or her right to acquire, receive, transfer, ship, transport, carry, and possess firearms in accordance with Washington state law restored except as otherwise prohibited by this chapter.

      (4) The license application shall ((be in triplicate, in form to be prescribed by the department of licensing, and shall)) bear the full name, ((street)) residential address, telephone number at the option of the applicant, date and place of birth, race, gender, description, not more than two complete sets of fingerprints, and signature of the licensee, and the licensee's driver's license number or state identification card number if used for identification in applying for the license. A signed application for a concealed pistol license shall constitute a waiver of confidentiality and written request that the department of social and health services, mental health institutions, and other health care facilities release information relevant to the applicant's eligibility for a concealed pistol license to an inquiring court or law enforcement agency.

      The application for an original license shall include two complete sets of fingerprints to be forwarded to the Washington state patrol.

      The license and application shall contain a warning substantially as follows:

 

CAUTION: Although state and local laws do not differ, federal law and state law on the possession of firearms differ. If you are prohibited by federal law from possessing a firearm, you may be prosecuted in federal court. A state license is not a defense to a federal prosecution.


      The license ((application)) shall contain a description of the major differences between state and federal law and an explanation of the fact that local laws and ordinances on firearms are preempted by state law and must be consistent with state law. The application shall contain questions about the applicant's eligibility under RCW 9.41.040 to possess a pistol, the applicant's place of birth, and whether the applicant is a United States citizen((, and whether he or she has been required to register with the state or federal government and has an identification or registration number)). The applicant shall not be required to produce a birth certificate or other evidence of citizenship. A person who is not a citizen of the United States shall meet the additional requirements of RCW 9.41.170 and produce proof of compliance with RCW 9.41.170 upon application. The license shall be in triplicate and in a form to be prescribed by the department of licensing.

      The original thereof shall be delivered to the licensee, the duplicate shall within seven days be sent by registered mail to the director of licensing and the triplicate shall be preserved for six years, by the authority issuing the license.

      The department of licensing shall make available to law enforcement and corrections agencies, in an on-line format, all information received under this subsection.

      (5) The nonrefundable fee, paid upon application, for the original ((issuance of a four-year)) five-year license shall be ((fifty)) thirty-six dollars plus additional charges imposed by the federal bureau of investigation that are passed on to the applicant. No other state or local branch or unit of government may impose any additional charges on the applicant for the issuance of the license.

      The fee shall be distributed as follows:

      (a) Fifteen dollars shall be paid to the state general fund;

      (b) ((Ten)) Four dollars shall be paid to the agency taking the fingerprints of the person licensed;

      (c) ((Fifteen)) Fourteen dollars shall be paid to the issuing authority for the purpose of enforcing this chapter; and

      (d) ((Ten)) Three dollars to the firearms range account in the general fund.

      (6) The fee for the renewal of such license shall be ((fifty)) thirty-two dollars. No other branch or unit of government may impose any additional charges on the applicant for the renewal of the license.

      The renewal fee shall be distributed as follows:

      (a) ((Twenty)) Fifteen dollars shall be paid to the state general fund;

      (b) ((Twenty)) Fourteen dollars shall be paid to the issuing authority for the purpose of enforcing this chapter; and

      (c) ((Ten)) Three dollars to the firearms range account in the general fund.

      (7) The fee for replacement of lost or damaged licenses is ten dollars to be paid to the issuing authority.

      (8) Payment shall be by cash, check, or money order at the option of the applicant. Additional methods of payment may be allowed at the option of the issuing authority.

      (((8))) (9) A licensee may renew a license if the licensee applies for renewal within ninety days before or after the expiration date of the license. A license so renewed shall take effect on the expiration date of the prior license. A licensee renewing after the expiration date of the license must pay a late renewal penalty of ((twenty)) ten dollars in addition to the renewal fee specified in subsection (6) of this section. The fee shall be distributed as follows:

      (a) ((Ten)) Three dollars shall be deposited in the state wildlife fund and used exclusively for the printing and distribution of a pamphlet on the legal limits of the use of firearms, firearms safety, and the preemptive nature of state law. The pamphlet shall be given to each applicant for a license; and

      (b) ((Ten)) Seven dollars shall be paid to the issuing authority for the purpose of enforcing this chapter.

      (((9))) (10) Notwithstanding the requirements of subsections (1) through (((8))) (9) of this section, the chief of police of the municipality or the sheriff of the county of the applicant's residence may issue a temporary emergency license for good cause pending review under subsection (1) of this section.

      (((10))) (11) A political subdivision of the state shall not modify the requirements of this section or chapter, nor may a political subdivision ask the applicant to voluntarily submit any information not required by this section.

      (((11))) (12) A person who knowingly makes a false statement regarding citizenship or identity on an application for a concealed pistol license is guilty of false swearing under RCW 9A.72.040. In addition to any other penalty provided for by law, the concealed pistol license of a person who knowingly makes a false statement shall be revoked, and the person shall be permanently ineligible for a concealed pistol license.

      (((12))) (13) A person may apply for a concealed pistol license:

      (a) To the municipality or to the county in which the applicant resides if the applicant resides in a municipality;

      (b) To the county in which the applicant resides if the applicant resides in an unincorporated area; or

      (c) Anywhere in the state if the applicant is a nonresident."

      Debate ensued.

      The President declared the question before the Senate to be the adoption of the Committee on Law and Justice striking amendment to Substitute House Bill No. 1152.

      The motion by Senator Smith carried and the committee striking amendment was adopted.


MOTIONS


      On motion of Senator Smith, the following title amendment was adopted:

      On page 1, line 1 of the title, after "licenses;" strike the remainder of the title and insert "and reenacting and amending RCW 9.41.070."

      On motion of Senator Smith, the rules were suspended, Substitute House Bill No. 1152, as amended by the Senate, was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      The President declared the question before the Senate to be the roll call on the final passage of Substitute House Bill No. 1152, as amended by the Senate.


ROLL CALL


      The Secretary called the roll on the final passage of Substitute House Bill No. 1152, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 42; Nays, 6; Absent, 0; Excused, 1.

      Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Prince, Quigley, Rasmussen, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Strannigan, Sutherland, Swecker, West, Winsley and Wood - 42.

      Voting nay: Senators Fairley, Pelz, Prentice, Rinehart, Spanel and Wojahn - 6.

      Excused: Senator Anderson, C. - 1.

      SUBSTITUTE HOUSE BILL NO. 1152, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


SECOND READING


      HOUSE BILL NO. 1445, by Representatives Silver, Valle, Sommers, Ogden, Fuhrman and Kremen (by request of Legislative Budget Committee)

 

Streamlining hospital regulation and inspection.


      The bill was read the second time.


MOTIONS


      On motion of Senator Quigley, the following amendments by Senators Quigley and Moyer were considered simultaneously and were adopted:

      On page 1, line 16, after "organizations." insert "The department shall adopt standards that are at least equal to recognized applicable national standards pertaining to medical gas piping systems."

      On page 2, after line 16, insert the following:

      "Sec. 2. RCW 18.106.010 and 1983 c 124 s 1 are each amended to read as follows:

      Unless a different meaning is plainly required by the context, the following words and phrases as hereinafter used in this chapter shall have the following meaning:

      (1) "Advisory board" means the state advisory board of plumbers;

      (2) "Department" means the department of labor and industries;

      (3) "Director" means the director of department of labor and industries;

      (4) "Journeyman plumber" means any person who has been issued a certificate of competency by the department of labor and industries as provided in this chapter;

      (5) "Medical gas piping" means oxygen, nitrous oxide, high pressure nitrogen, medical compressed air, and medical vacuum systems;

      (6) "Specialty plumber" means anyone who has been issued a specialty certificate of competency limited to installation, maintenance, and repair of the plumbing of single family dwellings, duplexes, and apartment buildings which do not exceed three stories;

      (((6))) (7) "Plumbing" means that craft involved in installing, altering, repairing and renovating potable water systems ((and)), liquid waste systems, and medical gas piping systems within a building: PROVIDED, That installation in a water system of water softening or water treatment equipment shall not be within the meaning of plumbing as used in this chapter."

      Renumber the remaining sections, correct internal references, and correct the title.

      On motion of Senator Quigley, the rules were suspended, House Bill No. 1445, as amended by the Senate, was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      The President declared the question before the Senate to be the roll call on the final passage of House Bill No. 1445, as amended by the Senate.


ROLL CALL


      The Secretary called the roll on the final passage of House Bill No. 1445, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 48; Nays, 0; Absent, 0; Excused, 1.

      Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 48.

      Excused: Senator Anderson, C. - 1.

      HOUSE BILL NO. 1445, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


      There being no objection, the Senate resumed consideration of Engrossed Substitute House Bill No. 1010 and the pending striking amendment by Senators Sheldon and Hale, as amended, deferred on second reading April 13, 1995, after Senator Newhouse withdrew his motion to advance the bill to third reading and final passage.


MOTION


      On motion of Senator Snyder, the rules were suspended to permit an amendment to an amendment to the striking amendment by Senators Sheldon and Hale.


MOTION


      On motion of Senator Sheldon, the following amendment by Senators Sheldon and Hale was adopted to the amendment by Senator Hale on page 11, beginning on line 18, which was adopted April 13, 1995, to the striking amendment by Senators Sheldon and Hale:

      On page 1, line 9 of the Hale amendment to the striking amendment strike "fair-minded" and insert "reasonable"

      The President declared the question before the Senate to be the adoption of the striking amendment by Senators Sheldon and Hale, as amended, to Engrossed Substitute House Bill No. 1010.

      Debate ensued.


POINT OF INQUIRY


      Senator Hale: "Senator Sheldon, this striking amendment replaces the existing standard for judicial review of agency rules with the arbitrary and capricious standard. What is your intent in using this standard?"

      Senator Sheldon: "It is our intent in replacing the existing standard with the arbitrary and capricious standard to affirm the direction taken by the majority of our State Supreme Court in its 1992 decision Neah Bay Chamber of Commerce v. Department of Fisheries. That is, that when reviewing an agency rule, although a court should not substitute its judgment for that of the agency, it should engage in a thorough, probing, in-depth review to determine whether the agency reached its result through a process of reason and took a hard look at the rule before adopting it."

      The striking amendment, as amended, was adopted.


MOTIONS


      On motion of Senator Sheldon, the following title amendments were considered simultaneously and were adopted:

      On page 1, line 1 of the title, after "reform;" strike the remainder of the title and insert "amending RCW 43.21A.080, 43.70.040, 82.01.060, 46.01.110, 50.12.040, 76.09.040, 77.04.090, 48.02.060, 34.05.310, 34.05.320, 34.05.313, 34.05.325, 19.85.030, 19.85.040, 34.05.660, 42.40.010, 42.40.020, 42.40.030, 18.104.155, 49.17.180, 70.94.431, 70.105.080, 70.132.050, 70.138.040, 86.16.081, 90.03.600, 90.48.144, 90.58.210, 90.58.560, 90.76.080, 34.05.230, 34.05.330, 34.05.370, 34.05.570, 34.05.534, and 19.02.075; adding new sections to chapter 43.12 RCW; adding a new section to chapter 43.20A RCW; adding new sections to chapter 43.23 RCW; adding new sections to chapter 43.24 RCW; adding a new section to chapter 70.94 RCW; adding new sections to chapter 34.05 RCW; adding new sections to chapter 19.85 RCW; adding a new section to chapter 43.30 RCW; adding a new section to chapter 43.70 RCW; adding a new section to chapter 43.300 RCW; adding a new section to chapter 1.08 RCW; adding new sections to chapter 4.84 RCW; adding a new section to chapter 43.88 RCW; adding a new section to chapter 19.02 RCW; adding a new chapter to Title 43 RCW; creating new sections; repealing RCW 34.05.355 and 19.85.060; and prescribing penalties."

      On page 64, line 15 of the title amendment, after "48.02.060," insert "48.30.010, 48.44.050, 48.46.200,"

      On page 64, line 23 of the title amendment, before "adding a" insert "adding a new section to chapter 43.22 RCW;"

      On motion of Senator Sheldon, the rules were suspended, Engrossed Substitute House Bill No. 1010, as amended by the Senate, was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      Debate ensued.


POINT OF INQUIRY


      Senator Hale: "Senator Spanel, the United States Environmental Protection Agency is developing an unprecedented volume of rules to implement the federal Clean Air Act. Washington, also, has a complex state Clean Air Act, with provisions which may be construed as authority to develop regulations more stringent than, or in advance of, similar federal requirements. Is it the intention of the procedures required by Section 113 to provide a respite, so that federal requirements can be implemented and evaluated before the state imposes burdens sooner than, or more stringent than, the federal regulations?"

      Senator Sheldon: "Yes, it is the intent of this section that the Department of Ecology may adopt or amend an air quality regulation that imposes burdens sooner than, or more stringent than, similar federal requirements only after complying with the analysis outlined in this section."

      The President declared the question before the Senate to be the roll call on the final passage of Engrossed Substitute House Bill No. 1010, as amended by the Senate.


ROLL CALL


      The Secretary called the roll on the final passage of Engrossed Substitute House Bill No. 1010, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 38; Nays, 10; Absent, 0; Excused, 1.

      Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Finkbeiner, Gaspard, Hale, Hargrove, Haugen, Hochstatter, Johnson, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Strannigan, Swecker, West, Winsley and Wood - 38.

      Voting nay: Senators Fairley, Franklin, Fraser, Heavey, Kohl, Pelz, Prentice, Spanel, Sutherland and Wojahn - 10.

      Excused: Senator Anderson, C. - 1.

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1010, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


SECOND READING


      SECOND SUBSTITUTE HOUSE BILL NO. 1524, by House Committee on Appropriations (originally sponsored by Representatives Chandler, Mastin and McMorris)

 

Changing weights and measures regulations.


      The bill was read the second time.


MOTION


      Senator Rasmussen moved that the following Committee on Ways and Means amendment not be adopted:

      Strike everything after the enacting clause and insert the following:

      "Sec. 1. RCW 19.94.010 and 1992 c 237 s 3 are each amended to read as follows:

      (1) Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter and to any rules adopted pursuant to this chapter.

      (a) "City" means a first class city with a population of over fifty thousand persons.

      (b) "City sealer" means the person duly authorized by a city to enforce and administer the weights and measures program within such city and any duly appointed deputy sealer acting under the instructions and at the direction of the city sealer.

      (c) "Commodity in package form" means a commodity put up or packaged in any manner in advance of sale in units suitable for either wholesale or retail sale, exclusive, however, of an auxiliary shipping container enclosing packages that individually conform to the requirements of this chapter. An individual item or lot of any commodity not in packaged form, but on which there is marked a selling price based on established price per unit of weight or of measure, shall be construed to be a commodity in package form.

      (d) "Consumer package" or "package of consumer commodity" means a commodity in package form that is customarily produced or distributed for sale through retail sales agencies or instrumentalities for consumption by persons, or used by persons for the purpose of personal care or in the performance of services ordinarily rendered in or about a household or in connection with personal possessions.

      (e) "Cord" means the measurement of wood intended for fuel or pulp purposes that is contained in a space of one hundred twenty-eight cubic feet, when the wood is ranked and well stowed.

      (f) "Department" means the department of agriculture of the state of Washington.

      (g) "Director" means the director of the department or duly authorized representative acting under the instructions and at the direction of the director.

      (h) "Fish" means any waterbreathing animal, including shellfish, such as, but not limited to, lobster, clam, crab, or other mollusca that is prepared, processed, sold, or intended for sale.

      (i) "Net weight" means the weight of a commodity excluding any materials, substances, or items not considered to be part of such commodity. Materials, substances, or items not considered to be part of a commodity shall include, but are not limited to, containers, conveyances, bags, wrappers, packaging materials, labels, individual piece coverings, decorative accompaniments, and coupons.

      (j) "Nonconsumer package" or "package of nonconsumer commodity" means a commodity in package form other than a consumer package and particularly a package designed solely for industrial or institutional use or for wholesale distribution only.

      (k) "Meat" means and shall include all animal flesh, carcasses, or parts of animals, and shall also include fish, shellfish, game, poultry, and meat food products of every kind and character, whether fresh, frozen, cooked, cured, or processed.

      (l) "Official seal of approval" means the uniform seal or certificate issued by the director or city sealer which indicates that a weights and measures standard or a weighing or measuring instrument or device conforms with the specifications, tolerances, and other technical requirements adopted in RCW 19.94.195.

      (m) "Person" means any individual, receiver, administrator, executor, assignee, trustee in bankruptcy, trust, estate, firm, copartnership, joint venture, club, company, business trust, corporation, association, society, or any group of individuals acting as a unit, whether mutual, cooperative, fraternal, nonprofit, or otherwise.

      (n) "Poultry" means all fowl, domestic or wild, that is prepared, processed, sold, or intended or offered for sale.

      (o) "Service agent" means a person who for hire, award, commission, or any other payment of any kind, installs, tests, inspects, checks, adjusts, repairs, reconditions, or systematically standardizes the graduations of a weighing or measuring instrument or device.

      (p) "Ton" means a unit of two thousand pounds avoirdupois weight.

      (q) "Weighing or measuring instrument or device" means any equipment or apparatus used commercially to establish the size, quantity, capacity, count, extent, area, heaviness, or measurement of quantities, things, produce, or articles for distribution or consumption, that are purchased, offered or submitted for sale, hire, or award on the basis of weight, measure or count, including any accessory attached to or used in connection with a weighing or measuring instrument or device when such accessory is so designed or installed that its operation affects, or may effect, the accuracy or indication of the device. This definition shall be strictly limited to those weighing or measuring instruments or devices governed by Handbook 44 as adopted under RCW 19.94.195.

      (r) "Weight" means net weight as defined in this section.

      (s) "Weights and measures" means the recognized standards or units of measure used to indicate the size, quantity, capacity, count, extent, area, heaviness, or measurement of any consumable commodity.

      (t) "Secondary weights and measures standard" means ((any object)) the physical standards that are traceable to the primary standards through comparisons, used by the director, a city sealer, or a service agent that under specified conditions defines or represents a recognized weight or measure during the inspection, adjustment, testing, or systematic standardization of the graduations of any weighing or measuring instrument or device.

      (2) The director shall prescribe by rule other definitions as may be necessary for the implementation of this chapter.

      Sec. 2. RCW 19.94.160 and 1992 c 237 s 5 are each amended to read as follows:

      Weights and measures standards that are in conformity with the standards of the United States as have been supplied to the state by the federal government or otherwise obtained by the state for use as state weights and measures standards, shall, when the same shall have been certified as such by the national institute of standards and technology or any successor organization, be the ((state)) primary standards of weight and measure. The state weights and measures standards shall be kept in a place designated by the director and shall ((not be removed from such designated place except for repairs or for certification. These state weights and measures standards shall be submitted at least once every ten years to the national institute of standards and technology or any successor organization for certification)) be maintained in such calibration as prescribed by the national institute of standards and technology or any successor organization.

      Sec. 3. RCW 19.94.165 and 1992 c 237 s 6 are each amended to read as follows:

      (1) Unless otherwise provided by ((the department, all weighing or measuring instruments or devices used for commercial purposes within this state shall be inspected and tested for accuracy by the director or city sealer at least once every two years)) law, the director or city sealer, shall have the power to inspect and test all weighing or measuring instruments or devices to ascertain if they are correct. It shall be the duty of the director or city sealer, as often as they deem necessary, to inspect and test for accuracy all weighing or measuring instruments or devices used for commercial purposes within this state and, if found to be correct, the director or city sealer shall issue an official seal of approval for each such instrument or device.

      (2) ((Beginning fiscal year 1993, the schedule of inspection and testing shall be staggered so as one-half of the weighing or measuring instruments or devices under the jurisdiction of the inspecting and testing authority are approved in odd fiscal years and the remaining one-half are inspected and tested in even fiscal years.

      (3))) The department may provide, as needed, uniform, official seals of approval to city sealers for the purposes expressed in this section.

      NEW SECTION. Sec. 4. A new section is added to chapter 19.94 RCW to read as follows:

      (1) No person shall operate a weighing or measuring instrument or device for commercial purposes within this state without annually registering the instrument or device with the department unless the instrument or device is within a city that has a city sealer and a program for testing and inspecting weighing and measuring instruments and devices. If the commercial use is within a city having a city sealer and a program for testing and inspecting weighing or measuring instruments and devices, the instrument or device may be registered with the city.

      (2) A city with such a sealer and program may establish an annual fee for registering the commercial use of such an instrument or device with the city. The annual fee shall not exceed the fee established in RCW 19.94.175 for registering the use of a similar instrument or device with the department.

      (3) Any person applying with the department for registration of an instrument or device used commercially shall make such application through the master licensing system. The application shall be accompanied by the fees established in RCW 19.94.175. A separate application must be submitted for each business location. Application for weighing or measuring device registration shall be made upon a form prescribed by the department and shall contain such information as the department may require. The fees required by RCW 19.94.175 are in addition to any other fee or license required by law.

      (4) The registration fee that must accompany an application for a new license or annual renewal shall be based upon the number and type of weighing or measuring devices at each business location.

      (5) Device registrations shall expire on the master license expiration date unless the registration is revoked or suspended prior to that date. The master license shall be displayed in a conspicuous place in the location for which it was issued.

      (6) The department may, during normal business hours, compare the number of devices listed on the master license with the number of devices at the business location to determine that appropriate registration fees have been paid.

      Sec. 5. RCW 19.94.175 and 1992 c 237 s 7 are each amended to read as follows:

      (((1) The department shall establish reasonable, biennial inspection and testing fees for each type or class of weighing or measuring instrument or device required to be inspected and tested under this chapter. These inspection and testing fees shall be equitably prorated within each such type or class and shall be limited to those amounts necessary for the department to cover, to the extent possible, the direct costs associated with the inspection and testing of each type or class of weighing or measuring instrument or device.

      (2) Prior to the establishment and each amendment of the fees authorized under this chapter, a weights and measures fee task force shall be convened under the direction of the department. The task force shall be composed of a representative from the department who shall serve as chair and one representative from each of the following: City sealers, service agents, service stations, grocery stores, retailers, food processors/dealers, oil heat dealers, the agricultural community, and liquid propane dealers. The task force shall recommend the appropriate level of fees to be assessed by the department pursuant to subsection (1) of this section, based upon the level necessary to cover the direct costs of administering and enforcing the provisions of this chapter and to the extent possible be consistent with fees reasonably and customarily charged in the private sector for similar services.

      (3) The fees authorized under this chapter may be billed only after the director or a city sealer has issued an official seal of approval for a weighing or measuring instrument or device or a weight or measure standard.

      (4) All fees shall become due and payable thirty days after billing by the department or a city sealer. A late penalty of one and one-half percent per month may be assessed on the unpaid balance more than thirty days in arrears.)) (1) The following annual registration fees shall be charged for weighing or measuring instruments or devices required to be inspected and tested under this chapter:

      (a)                Weighing devices:

      (i)                 Small scales "zero to four hundred pounds capacity". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 6.00

      (ii)                Intermediate scales "four hundred one pounds to five thousand pounds capacity". . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 25.00

      (iii)              Large scales "over five thousand pounds capacity". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 52.50

      (iv)               Large scales with supplemental devices. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 62.50

      (v)                Railroad track scales. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $800.00

      (b)                Liquid fuel metering devices:

      (i)                 Motor fuel meters with flows of less than twenty gallons per minute. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 6.00

      (ii)                Motor fuel meters with flows of more than twenty but not more than one hundred fifty gallons per minute. . . . . . . .$ 20.00

      (iii)              Motor fuel meters with flows over one hundred fifty gallons per minute. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 25.00

      (c)                Liquid petroleum gas meters:

      (i)                 With one inch diameter or smaller dispensers. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 25.00

      (ii)                With greater than one inch diameter dispensers. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 37.50

      (d)                Fabric meters. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 6.00

      (e)                Cordage meters. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 6.00

      (f)                Mass flow meters. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 17.50

      (g)                Taxi meters. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 6.00

      (((5))) (2) Fees upon weighing or measuring instruments or devices within the jurisdiction of the city that are collected under this section by city sealers shall be deposited into the general fund, or other account, of the city as directed by the governing body of the city. ((On the thirtieth day of each month, city sealers shall, pursuant to procedures established and upon forms provided by the director, remit to the department for administrative costs ten percent of the total fees collected.

      (6))) (3) With the exception of subsection (((7))) (4) of this section and section 6 of this act, no person shall be required to pay more than the established ((inspection and testing)) annual registration fee adopted under this section for any weighing or measuring instrument or device ((in any two-year period)) when the same has been found to be correct.

      (((7) Whenever a special request is made by the owner for the inspection and testing of a weighing or measuring instrument or device, the fee prescribed by the director for such a weighing or measuring instrument or device shall be paid by the owner.))

      (4) The department or a city sealer may establish reasonable inspection and testing fees for each type or class of weighing or measuring instrument or device specially requested to be inspected or tested by the device owner. These inspection and testing fees shall be limited to those amounts necessary for the department or city sealer to cover the direct costs associated with such inspection and testing. The fees established under this subsection shall not be set so as to compete with service agents normally engaged in such services.

      NEW SECTION. Sec. 6. A new section is added to chapter 19.94 RCW to read as follows:

      (1) The department or a city sealer may charge the reinspection and testing fees listed in subsection (2) of this section for each type or class of weighing or measuring instrument or device required to be inspected and tested under this chapter when such a device has been found to be incorrect. Investigations for cause shall not be construed as reinspections under this section.

      (2)(a)           Weighing devices:

      (i)                 Small scales "zero to four hundred pounds capacity". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 12.00

      (ii)                Intermediate scales "four hundred one pounds to five thousand pounds capacity". . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 50.00

      (iii)              Large scales "over five thousand pounds capacity". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$105.00

      (iv)               Large scales with supplemental devices. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $125.00

      (v)                Railroad track scales. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $800.00

      (b)                Liquid fuel metering devices:

      (i)                 Motor fuel meters with flows of less than twenty gallons per minute. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 12.00

      (ii)                Motor fuel meters with flows of more than twenty but not more than one hundred fifty gallons per minute. . . . . . . .$ 40.00

      (iii)              Motor fuel meters with flows over one hundred fifty gallons per minute. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 50.00

      (c)                Liquid petroleum gas meters:

      (i)                 With one inch diameter or smaller dispensers. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 50.00

      (ii)                With greater than one inch diameter

                           dispensers. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 75.00

      (d)                Fabric meters. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 12.00

      (e)                Cordage meters. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 12.00

      (f)                Mass flow meters. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 35.00

      (g)                Taxi meters. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 12.00

      (3) Any fees assessed under this section and RCW 19.94.175(4) shall become due and payable thirty days after billing by the department or a city sealer. A late penalty of one and one-half percent per month may be assessed on the unpaid balance more than thirty days in arrears.

      Sec. 7. RCW 19.94.185 and 1992 c 237 s 8 are each amended to read as follows:

      All moneys collected under this chapter shall be paid to the director and placed in the weights and measures account hereby established in the ((state treasury)) agricultural local fund. Moneys deposited in this account ((may be spent only following appropriation by law and)) shall be used solely for the purposes ((of weighing or measuring instrument or device inspection and testing)) relating to the enforcement or implementation of this chapter. No appropriation is required for the disbursement of moneys from the account by the director.

      Sec. 8. RCW 19.94.190 and 1992 c 237 s 9 are each amended to read as follows:

      (1) The director and duly appointed city sealers shall enforce the provisions of this chapter. The director shall adopt rules for enforcing and carrying out the purposes of this chapter including but not limited to the following:

      (a) Establishing state standards of weight, measure, or count, and reasonable standards of fill for any commodity in package form;

      (b) The establishment of technical and reporting procedures to be followed, any necessary report and record forms, and marks of rejection to be used by the director and city sealers in the discharge of their official duties as required by this chapter;

      (c) The establishment of technical test procedures, reporting procedures, and any necessary record and reporting forms to be used by service agents when installing, repairing, inspecting, or standardizing the graduations of any weighing or measuring instruments or devices;

      (d) ((The establishment of fee payment and reporting procedures and any necessary report and record forms to be used by city sealers when remitting the percentage of total fees collected as required under this chapter;

      (e))) The establishment of exemptions from the sealing or marking inspection and testing requirements of RCW 19.94.250 with respect to weighing or measuring instruments or devices of such character or size that such sealing or marking would be inappropriate, impracticable, or damaging to the apparatus in question;

      (((f))) (e) The establishment of exemptions from the inspection and testing requirements of RCW 19.94.165 with respect to classes of weighing or measuring instruments or devices found to be of such character that periodic inspection and testing is unnecessary to ensure continued accuracy; and

      (((g))) (f) The establishment of inspection and approval techniques, if any, to be used with respect to classes of weighing or measuring instruments or devices that are designed specifically to be used commercially only once and then discarded, or are uniformly mass-produced by means of a mold or die and are not individually adjustable.

      (2) These rules shall also include specifications and tolerances for the acceptable range of accuracy required of weighing or measuring instruments or devices and shall be designed to eliminate from use, without prejudice to weighing or measuring instruments or devices that conform as closely as practicable to official specifications and tolerances, those (a) that are of such construction that they are faulty, that is, that are not reasonably permanent in their adjustment or will not repeat their indications correctly, or (b) that facilitate the perpetration of fraud.

      Sec. 9. RCW 19.94.216 and 1992 c 237 s 12 are each amended to read as follows:

      The department shall:

      (1) Biennially inspect and test the secondary weights and measures standards of any city for which the appointment of a city sealer is provided by this chapter and shall issue an official seal of approval for same when found to be correct. The department shall, by rule, establish a reasonable fee for ((such)) this and any other inspection and testing services performed by the department's metrology laboratory.

      (2) ((Biennially)) Inspect, test, and, if found to be correct, issue an official seal of approval for any weighing or measuring instrument or device used in an agency or institution to which moneys are appropriated by the legislature or of the federal government and shall report any findings in writing to the executive officer of the agency or institution concerned. The department shall collect a reasonable fee, to be set by rule, for testing any such weighing or measuring instrument or device.

      (3) Inspect, test, and, if found to be correct, issue a seal of approval for classes of weighing or measuring instruments or devices found to be few in number, highly complex, and of such character that differential inspection and testing frequency is necessary including, but not limited to, railroad track scales and grain elevator scales. The department shall develop rules regarding the inspection and testing procedures to be used for such weighing or measuring instruments or devices which shall include requirements for the provision, maintenance, and transport of any weight or measure standard necessary for inspection and testing at no expense to the state. ((The department may collect a reasonable fee, to be set by rule, for inspecting and testing any such weighing and measuring instruments or devices. This fee shall not be unduly burdensome and shall cover, to the extent possible, the direct costs of performing such service.))

      Sec. 10. RCW 19.94.255 and 1992 c 237 s 17 are each amended to read as follows:

      (1) Weighing or measuring instruments or devices that have been rejected under the authority of the director or a city sealer shall remain subject to the control of the rejecting authority until such time as suitable repair or disposition thereof has been made as required by this section.

      (2) The owner of any weighing or measuring instrument or device that has been marked or tagged as rejected by the director or a city sealer shall cause the same to be made correct within thirty days or such longer period as may be authorized by the rejecting authority. In lieu of correction, the owner of such weighing and measuring instrument or device may dispose of the same, but only in the manner specifically authorized by the rejecting authority.

      (((3) Weighing and measuring instruments or devices that have been rejected shall not again be used commercially until they have been officially reexamined and, if found to be correct, had an official seal of approval placed upon or issued for such weighing or measuring instrument or device by the rejecting authority.))

      Sec. 11. RCW 19.94.280 and 1992 c 237 s 20 are each amended to read as follows:

      (1) There may be a city sealer in every city and such deputies as may be required by ordinance of each such city to administer and enforce the provisions of this chapter.

      (2) Each city electing to have a city sealer shall adopt rules for the appointment and removal of the city sealer and any deputies required by local ordinance. The rules for appointment of a city sealer and any deputies must include provisions for the advice and consent of the local governing body of such city and, as necessary, any provisions for local civil service laws and regulations.

      (3) A city sealer ((shall)) may adopt the fee amounts established ((by the director pursuant to RCW 19.94.165)) under section 6 of this act. However, no city shall adopt or charge an inspection, testing, reinspection, retesting, or licensing fee or any other fee upon a weighing or measuring instrument or device that is in excess of the fee amounts ((adopted under RCW 19.94.165)) established by the department under the provisions of this chapter for substantially similar services.

      (4) A city sealer shall keep a complete and accurate record of all official acts performed under the authority of this chapter and shall submit an annual report to the governing body of his or her city and shall make any reports as may be required by the director.

      Sec. 12. RCW 19.94.320 and 1992 c 237 s 22 are each amended to read as follows:

      (1) In cities for which city sealers have been appointed as provided for in this chapter, the director shall have general ((supervisory powers over such)) oversight of city ((sealers)) weights and measures programs and may, when he or she deems it reasonably necessary, exercise concurrent authority to carry out the provisions of this chapter.

      (2) When the director elects to exercise concurrent authority within a city with a duly appointed city sealer, the director's powers and duties relative to this chapter shall be in addition to the powers granted in any such city by law or charter.

      Sec. 13. RCW 19.94.360 and 1969 c 67 s 36 are each amended to read as follows:

      In addition to the declarations required by RCW 19.94.350, any commodity in package form, the package being one of a lot containing random weights, measures or counts of the same commodity ((and bearing the total selling price of the package)) at the time it is exposed for sale at retail, shall bear on the outside of the package a plain and conspicuous declaration of the price per single unit of weight, measure, or count and the total selling price of the package.

      Sec. 14. RCW 19.94.390 and 1969 c 67 s 39 are each amended to read as follows:

      (1) Whenever any commodity or service is sold, or is offered, exposed, or advertised for sale, by weight, measure, or count, the price shall not be misrepresented, nor shall the price be represented in any manner calculated or tending to mislead or deceive an actual or prospective purchaser. Whenever an advertised, poster or labeled price per unit of weight, measure, or count includes a fraction of a cent, all elements of the fraction shall be prominently displayed and the numeral or numerals expressing the fraction shall be immediately adjacent to, of the same general design and style as, and at least one-half the height and one-half the width of the numerals representing the whole cents.

      (2) The examination procedure recommended for price verification by the price verification working group of the laws and regulations committee of the national conference on weights and measures (as reflected in the fourth draft, dated November 1, 1994) for devices such as electronic scanners shall govern such examinations conducted under this chapter. The procedure shall be deemed to be adopted under this chapter. However, the department may revise the procedure as follows: The department shall provide notice of and conduct a public hearing pursuant to chapter 34.05 RCW to determine whether any revisions to this procedure made by the national institute of standards and technology or its successor organization for incorporating the examination procedure into an official handbook of the institute or its successor, or any subsequent revisions of the handbook regarding such procedures shall also be adopted under this chapter. If the department determines that the procedure should be so revised, it may adopt the revisions. Violations of this section regarding the use of devices such as electronic scanners may be found only as provided by the examination procedures adopted by or under this subsection.

      (3) Electronic scanner screens installed after January 1, 1996, and used in retail establishments must be visible to the consumer at the checkout line.

      Sec. 15. RCW 19.94.410 and 1988 c 63 s 1 are each amended to read as follows:

      (((1) Except as provided in subsection (2) of this section,)) Butter, oleomargarine and margarine shall be offered and exposed for sale and sold by weight ((and only in units of one-quarter pound, one-half pound, one pound or multiples of one pound, avoirdupois weight.

      (2) The director of agriculture may allow the sale of butter speciality products in nonstandard units of weight if the purpose achieved by using such nonstandard units is decorative in nature and the products are clearly labeled as to weight and price per pound)).

      NEW SECTION. Sec. 16. A new section is added to chapter 15.80 RCW to read as follows:

      All moneys collected under this chapter shall be placed in the weights and measures account in the agricultural local fund created in RCW 19.94.185.

      NEW SECTION. Sec. 17. A new section is added to chapter 19.94 RCW to read as follows:

      The department shall develop a written report on the implementation of chapter . . ., Laws of 1995 (this act) that provides information including but not limited to the number of inspections conducted, the results of the inspections, the number of warnings issued, and the number of enforcement actions taken. The report shall be submitted to the secretary of the senate and chief clerk of the house of representatives, on December 15th of each even-numbered year. This section shall expire January 1, 2000.

      NEW SECTION. Sec. 18. (1) Sections 1 through 3 and 6 through 16 of this act are necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect June 1, 1995.

      (2) Sections 4 and 5 of this act shall take effect January 1, 1996."

      The President declared the question before the Senate to be the motion by Senator Rasmussen that the Committee on Ways and Means striking amendment to Second Substitute House Bill No. 1524 not be adopted.

      The motion by Senator Rasmussen carried and the committee striking amendment was not adopted.


MOTIONS


      On motion of Senator Rasmussen, the following amendment by Senators Rasmussen and Morton was adopted:

      Strike everything after the enacting clause and insert the following:

      "Sec. 1. RCW 19.94.010 and 1992 c 237 s 3 are each amended to read as follows:

      (1) Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter and to any rules adopted pursuant to this chapter.

      (a) "City" means a first class city with a population of over fifty thousand persons.

      (b) "City sealer" means the person duly authorized by a city to enforce and administer the weights and measures program within such city and any duly appointed deputy sealer acting under the instructions and at the direction of the city sealer.

      (c) "Commodity in package form" means a commodity put up or packaged in any manner in advance of sale in units suitable for either wholesale or retail sale, exclusive, however, of an auxiliary shipping container enclosing packages that individually conform to the requirements of this chapter. An individual item or lot of any commodity not in packaged form, but on which there is marked a selling price based on established price per unit of weight or of measure, shall be construed to be a commodity in package form.

      (d) "Consumer package" or "package of consumer commodity" means a commodity in package form that is customarily produced or distributed for sale through retail sales agencies or instrumentalities for consumption by persons, or used by persons for the purpose of personal care or in the performance of services ordinarily rendered in or about a household or in connection with personal possessions.

      (e) "Cord" means the measurement of wood intended for fuel or pulp purposes that is contained in a space of one hundred twenty-eight cubic feet, when the wood is ranked and well stowed.

      (f) "Department" means the department of agriculture of the state of Washington.

      (g) "Director" means the director of the department or duly authorized representative acting under the instructions and at the direction of the director.

      (h) "Fish" means any waterbreathing animal, including shellfish, such as, but not limited to, lobster, clam, crab, or other mollusca that is prepared, processed, sold, or intended for sale.

      (i) "Net weight" means the weight of a commodity excluding any materials, substances, or items not considered to be part of such commodity. Materials, substances, or items not considered to be part of a commodity shall include, but are not limited to, containers, conveyances, bags, wrappers, packaging materials, labels, individual piece coverings, decorative accompaniments, and coupons.

      (j) "Nonconsumer package" or "package of nonconsumer commodity" means a commodity in package form other than a consumer package and particularly a package designed solely for industrial or institutional use or for wholesale distribution only.

      (k) "Meat" means and shall include all animal flesh, carcasses, or parts of animals, and shall also include fish, shellfish, game, poultry, and meat food products of every kind and character, whether fresh, frozen, cooked, cured, or processed.

      (l) "Official seal of approval" means the uniform seal or certificate issued by the director or city sealer which indicates that a weights and measures standard or a weighing or measuring instrument or device conforms with the specifications, tolerances, and other technical requirements adopted in RCW 19.94.195.

      (m) "Person" means any individual, receiver, administrator, executor, assignee, trustee in bankruptcy, trust, estate, firm, copartnership, joint venture, club, company, business trust, corporation, association, society, or any group of individuals acting as a unit, whether mutual, cooperative, fraternal, nonprofit, or otherwise.

      (n) "Poultry" means all fowl, domestic or wild, that is prepared, processed, sold, or intended or offered for sale.

      (o) "Service agent" means a person who for hire, award, commission, or any other payment of any kind, installs, tests, inspects, checks, adjusts, repairs, reconditions, or systematically standardizes the graduations of a weighing or measuring instrument or device.

      (p) "Ton" means a unit of two thousand pounds avoirdupois weight.

      (q) "Weighing or measuring instrument or device" means any equipment or apparatus used commercially to establish the size, quantity, capacity, count, extent, area, heaviness, or measurement of quantities, things, produce, or articles for distribution or consumption, that are purchased, offered or submitted for sale, hire, or award on the basis of weight, measure or count, including any accessory attached to or used in connection with a weighing or measuring instrument or device when such accessory is so designed or installed that its operation affects, or may effect, the accuracy or indication of the device. This definition shall be strictly limited to those weighing or measuring instruments or devices governed by Handbook 44 as adopted under RCW 19.94.195.

      (r) "Weight" means net weight as defined in this section.

      (s) "Weights and measures" means the recognized standards or units of measure used to indicate the size, quantity, capacity, count, extent, area, heaviness, or measurement of any consumable commodity.

      (t) "Secondary weights and measures standard" means ((any object)) the physical standards that are traceable to the primary standards through comparisons, used by the director, a city sealer, or a service agent that under specified conditions defines or represents a recognized weight or measure during the inspection, adjustment, testing, or systematic standardization of the graduations of any weighing or measuring instrument or device.

      (2) The director shall prescribe by rule other definitions as may be necessary for the implementation of this chapter.

      Sec. 2. RCW 19.94.160 and 1992 c 237 s 5 are each amended to read as follows:

      Weights and measures standards that are in conformity with the standards of the United States as have been supplied to the state by the federal government or otherwise obtained by the state for use as state weights and measures standards, shall, when the same shall have been certified as such by the national institute of standards and technology or any successor organization, be the ((state)) primary standards of weight and measure. The state weights and measures standards shall be kept in a place designated by the director and shall ((not be removed from such designated place except for repairs or for certification. These state weights and measures standards shall be submitted at least once every ten years to the national institute of standards and technology or any successor organization for certification)) be maintained in such calibration as prescribed by the national institute of standards and technology or any successor organization.

      Sec. 3. RCW 19.94.165 and 1992 c 237 s 6 are each amended to read as follows:

      (1) Unless otherwise provided by ((the department, all weighing or measuring instruments or devices used for commercial purposes within this state shall be inspected and tested for accuracy by the director or city sealer at least once every two years)) law, the director or city sealer, shall have the power to inspect and test all weighing or measuring instruments or devices to ascertain if they are correct. It shall be the duty of the director or city sealer, as often as they deem necessary, to inspect and test for accuracy all weighing or measuring instruments or devices used for commercial purposes within this state and, if found to be correct, the director or city sealer shall issue an official seal of approval for each such instrument or device.

      (2) ((Beginning fiscal year 1993, the schedule of inspection and testing shall be staggered so as one-half of the weighing or measuring instruments or devices under the jurisdiction of the inspecting and testing authority are approved in odd fiscal years and the remaining one-half are inspected and tested in even fiscal years.

      (3))) The department may provide, as needed, uniform, official seals of approval to city sealers for the purposes expressed in this section.

      NEW SECTION. Sec. 4. A new section is added to chapter 19.94 RCW to read as follows:

      (1) No person shall operate a weighing or measuring instrument or device for commercial purposes within this state without annually registering the instrument or device with the department unless the instrument or device is within a city that has a city sealer and a program for testing and inspecting weighing and measuring instruments and devices. If the commercial use is within a city having a city sealer and a program for testing and inspecting weighing or measuring instruments and devices, the instrument or device may be registered with the city.

      (2) A city with such a sealer and program may establish an annual fee for registering the commercial use of such an instrument or device with the city. The annual fee shall not exceed the fee established in RCW 19.94.175 for registering the use of a similar instrument or device with the department.

      (3) Any person applying with the department for registration of an instrument or device used commercially shall make such application through the master licensing system. The application shall be accompanied by the fees established in RCW 19.94.175. A separate application must be submitted for each business location. Application for weighing or measuring device registration shall be made upon a form prescribed by the department and shall contain such information as the department may require. The fees required by RCW 19.94.175 are in addition to any other fee or license required by law.

      (4) The registration fee that must accompany an application for a new license or annual renewal shall be based upon the number and type of weighing or measuring devices at each business location.

      (5) Device registrations shall expire on the master license expiration date unless the registration is revoked or suspended prior to that date. The master license shall be displayed in a conspicuous place in the location for which it was issued.

      (6) The department may, during normal business hours, compare the number of devices listed on the master license with the number of devices at the business location to determine that appropriate registration fees have been paid.

      Sec. 5. RCW 19.94.175 and 1992 c 237 s 7 are each amended to read as follows:

      (((1) The department shall establish reasonable, biennial inspection and testing fees for each type or class of weighing or measuring instrument or device required to be inspected and tested under this chapter. These inspection and testing fees shall be equitably prorated within each such type or class and shall be limited to those amounts necessary for the department to cover, to the extent possible, the direct costs associated with the inspection and testing of each type or class of weighing or measuring instrument or device.

      (2) Prior to the establishment and each amendment of the fees authorized under this chapter, a weights and measures fee task force shall be convened under the direction of the department. The task force shall be composed of a representative from the department who shall serve as chair and one representative from each of the following: City sealers, service agents, service stations, grocery stores, retailers, food processors/dealers, oil heat dealers, the agricultural community, and liquid propane dealers. The task force shall recommend the appropriate level of fees to be assessed by the department pursuant to subsection (1) of this section, based upon the level necessary to cover the direct costs of administering and enforcing the provisions of this chapter and to the extent possible be consistent with fees reasonably and customarily charged in the private sector for similar services.

      (3) The fees authorized under this chapter may be billed only after the director or a city sealer has issued an official seal of approval for a weighing or measuring instrument or device or a weight or measure standard.

      (4) All fees shall become due and payable thirty days after billing by the department or a city sealer. A late penalty of one and one-half percent per month may be assessed on the unpaid balance more than thirty days in arrears.)) (1) The following annual registration fees shall be charged for weighing or measuring instruments or devices required to be inspected and tested under this chapter:

      (a)                Weighing devices:

      (i)                 Small scales "zero to four hundred pounds capacity". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 5.00

      (ii)                Intermediate scales "four hundred one pounds to five thousand pounds capacity". . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 20.00

      (iii)              Large scales "over five thousand pounds capacity". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 52.00

      (iv)               Large scales with supplemental devices. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 52.00

      (v)                Railroad track scales. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $800.00

      (b)                Liquid fuel metering devices:

      (i)                 Motor fuel meters with flows of less than twenty gallons per minute. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 5.00

      (ii)                Motor fuel meters with flows of more than twenty but not more than one hundred fifty gallons per minute. . . . . . . .$ 16.00

      (iii)              Motor fuel meters with flows over one hundred fifty gallons per minute. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 25.00

      (c)                Liquid petroleum gas meters:

      (i)                 With one inch diameter or smaller dispensers. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 10.00

      (ii)                With greater than one inch diameter dispensers. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 30.00

      (d)                Fabric meters. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 5.00

      (e)                Cordage meters. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 5.00

      (f)                Mass flow meters. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 14.00

      (g)                Taxi meters. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 5.00

      (((5))) (2) Fees upon weighing or measuring instruments or devices within the jurisdiction of the city that are collected under this section by city sealers shall be deposited into the general fund, or other account, of the city as directed by the governing body of the city. ((On the thirtieth day of each month, city sealers shall, pursuant to procedures established and upon forms provided by the director, remit to the department for administrative costs ten percent of the total fees collected.

      (6))) (3) With the exception of subsection (((7))) (4) of this section, no person shall be required to pay more than the established ((inspection and testing)) annual registration fee adopted under this section for any weighing or measuring instrument or device ((in any two-year period)) when the same has been found to be correct.

      (((7) Whenever a special request is made by the owner for the inspection and testing of a weighing or measuring instrument or device, the fee prescribed by the director for such a weighing or measuring instrument or device shall be paid by the owner.))

      (4) The department or a city sealer may establish reasonable inspection and testing fees for each type or class of weighing or measuring instrument or device specially requested to be inspected or tested by the device owner. These inspection and testing fees shall be limited to those amounts necessary for the department or city sealer to cover the direct costs associated with such inspection and testing. The fees established under this subsection shall not be set so as to compete with service agents normally engaged in such services.

      Sec. 6. RCW 19.94.185 and 1992 c 237 s 8 are each amended to read as follows:

      (1) All moneys collected under this chapter shall be paid to the director and placed in the weights and measures account hereby established in the ((state treasury)) agricultural local fund. Moneys deposited in this account ((may be spent only following appropriation by law and)) shall be used solely for the purposes ((of weighing or measuring instrument or device inspection and testing)) relating to the enforcement or implementation of this chapter. No appropriation is required for the disbursement of moneys from the account by the director.

      (2) By January 1st of each odd-numbered year, the department shall provide a written report on the amount of revenues by major category received under this chapter for the administration of the weights and measures program by the department. The report shall include the amount of revenue generated for the two previous biennium, an estimate of the amount of funds to be received during the current biennium, and an estimate of the amount of funds to be generated during the next ensuing biennium. The report shall be submitted to the office of financial management and to each committee in the legislature with jurisdiction over programs administered by the department in the house and the senate.

      The report shall also provide a summary that shows how the metrology laboratory is funded.

      Sec. 7. RCW 19.94.190 and 1992 c 237 s 9 are each amended to read as follows:

      (1) The director and duly appointed city sealers shall enforce the provisions of this chapter. The director shall adopt rules for enforcing and carrying out the purposes of this chapter including but not limited to the following:

      (a) Establishing state standards of weight, measure, or count, and reasonable standards of fill for any commodity in package form;

      (b) The establishment of technical and reporting procedures to be followed, any necessary report and record forms, and marks of rejection to be used by the director and city sealers in the discharge of their official duties as required by this chapter;

      (c) The establishment of technical test procedures, reporting procedures, and any necessary record and reporting forms to be used by service agents when installing, repairing, inspecting, or standardizing the graduations of any weighing or measuring instruments or devices;

      (d) ((The establishment of fee payment and reporting procedures and any necessary report and record forms to be used by city sealers when remitting the percentage of total fees collected as required under this chapter;

      (e))) The establishment of exemptions from the sealing or marking inspection and testing requirements of RCW 19.94.250 with respect to weighing or measuring instruments or devices of such character or size that such sealing or marking would be inappropriate, impracticable, or damaging to the apparatus in question;

      (((f))) (e) The establishment of exemptions from the inspection and testing requirements of RCW 19.94.165 with respect to classes of weighing or measuring instruments or devices found to be of such character that periodic inspection and testing is unnecessary to ensure continued accuracy; and

      (((g))) (f) The establishment of inspection and approval techniques, if any, to be used with respect to classes of weighing or measuring instruments or devices that are designed specifically to be used commercially only once and then discarded, or are uniformly mass-produced by means of a mold or die and are not individually adjustable.

      (2) These rules shall also include specifications and tolerances for the acceptable range of accuracy required of weighing or measuring instruments or devices and shall be designed to eliminate from use, without prejudice to weighing or measuring instruments or devices that conform as closely as practicable to official specifications and tolerances, those (a) that are of such construction that they are faulty, that is, that are not reasonably permanent in their adjustment or will not repeat their indications correctly, or (b) that facilitate the perpetration of fraud.

      Sec. 8. RCW 19.94.216 and 1992 c 237 s 12 are each amended to read as follows:

      The department shall:

      (1) Biennially inspect and test the secondary weights and measures standards of any city for which the appointment of a city sealer is provided by this chapter and shall issue an official seal of approval for same when found to be correct. The department shall((, by rule, establish a reasonable fee)) charge an hourly fee of sixty dollars per hour for ((such)) this and any other inspection and testing services performed ((by)) at the department's metrology laboratory. Inspection and testing services performed at other than the metrology laboratory will be charged an hourly rate of sixty dollars per hour plus the current mileage and per diem rates established by the office of financial management.

      (2) ((Biennially)) Inspect, test, and, if found to be correct, issue an official seal of approval for any weighing or measuring instrument or device used in an agency or institution to which moneys are appropriated by the legislature or of the federal government and shall report any findings in writing to the executive officer of the agency or institution concerned. The department shall collect a reasonable fee, to be set by rule, for testing any such weighing or measuring instrument or device.

      (3) Inspect, test, and, if found to be correct, issue a seal of approval for classes of weighing or measuring instruments or devices found to be few in number, highly complex, and of such character that differential inspection and testing frequency is necessary including, but not limited to, railroad track scales and grain elevator scales. The department shall develop rules regarding the inspection and testing procedures to be used for such weighing or measuring instruments or devices which shall include requirements for the provision, maintenance, and transport of any weight or measure standard necessary for inspection and testing at no expense to the state. ((The department may collect a reasonable fee, to be set by rule, for inspecting and testing any such weighing and measuring instruments or devices. This fee shall not be unduly burdensome and shall cover, to the extent possible, the direct costs of performing such service.))

      Sec. 9. RCW 19.94.255 and 1992 c 237 s 17 are each amended to read as follows:

      (1) Weighing or measuring instruments or devices that have been rejected under the authority of the director or a city sealer shall remain subject to the control of the rejecting authority until such time as suitable repair or disposition thereof has been made as required by this section.

      (2) The owner of any weighing or measuring instrument or device that has been marked or tagged as rejected by the director or a city sealer shall cause the same to be made correct within thirty days or such longer period as may be authorized by the rejecting authority. In lieu of correction, the owner of such weighing and measuring instrument or device may dispose of the same, but only in the manner specifically authorized by the rejecting authority.

      (3) Weighing and measuring instruments or devices that have been rejected shall not again be used commercially until they have been ((officially)) reexamined and((, if)) found to be correct((, had an official seal of approval placed upon or issued for such weighing or measuring instrument or device by the rejecting authority)) by the department, city sealer, or a service agent registered with the department.

      (4) If a weighing or measuring instrument or device marked or tagged as rejected is found to be correct by a service agent registered with the department, the agent shall provide a signed certification to the owner or operator of the instrument or device so indicating and shall report to the rejecting authority as provided by rule under RCW 19.94.190(1)(c).

      NEW SECTION. Sec. 10. A new section is added to chapter 19.94 RCW to read as follows:

      (1) Except as authorized by the department, a service agent who intends to provide the examination that permits a weighing or measuring instrument or device to be placed back into commercial service under RCW 19.94.255(3) shall receive an official registration certificate from the director prior to performing such a service. This registration requirement does not apply to the department or a city sealer.

      (2) Except as provided in section 12 of this act, a registration certificate is valid for one year. It may be renewed by submitting a request for renewal to the department.

      NEW SECTION. Sec. 11. A new section is added to chapter 19.94 RCW to read as follows:

      (1) Each request for an official registration certificate shall be in writing, under oath, and on a form prescribed by the department and shall contain any relevant information as the director may require, including but not limited to the following:

      (a) The name and address of the person, corporation, partnership, or sole proprietorship requesting registration;

      (b) The names and addresses of all individuals requesting an official registration certificate from the department; and

      (c) The tax registration number as required under RCW 82.32.030 or uniform business identifier provided on a master license issued under RCW 19.02.070.

      (2) Each individual when submitting a request for an official registration certificate or a renewal of such a certificate shall pay a fee to the department in the amount of eighty dollars per individual.

      (3) The department shall issue a decision on a request for an official registration certificate within twenty days of receipt of the request. If an individual is denied their request for an official registration certificate, the department must notify that individual in writing stating the reasons for the denial and shall refund any payments made by that individual in connection with the request.

      NEW SECTION. Sec. 12. A new section is added to chapter 19.94 RCW to read as follows:

      (1) The department shall have the power to revoke, suspend, or refuse to renew the official registration certificate of any service agent for any of the following reasons:

      (a) Fraud or deceit in obtaining an official registration certificate under this chapter;

      (b) A finding by the department of a pattern of intentional fraudulent or negligent activities in the installation, inspection, testing, checking, adjusting, or systematically standardizing and approving the graduations of any weighing or measuring instrument or device;

      (c) Knowingly placing back into commercial service any weighing or measuring instrument or device that is incorrect;

      (d) A violation of any provision of this chapter; or

      (e) Conviction of a crime or an act constituting a crime under the laws of this state, the laws of another state, or federal law.

      (2) Upon the department's revocation of, suspension of, or refusal to renewal an official registration certificate, an individual shall have the right to appeal this decision in accordance with the administrative procedure act, chapter 34.05 RCW.

      Sec. 13. RCW 19.94.280 and 1992 c 237 s 20 are each amended to read as follows:

      (1) There may be a city sealer in every city and such deputies as may be required by ordinance of each such city to administer and enforce the provisions of this chapter.

      (2) Each city electing to have a city sealer shall adopt rules for the appointment and removal of the city sealer and any deputies required by local ordinance. The rules for appointment of a city sealer and any deputies must include provisions for the advice and consent of the local governing body of such city and, as necessary, any provisions for local civil service laws and regulations.

      (3) A city sealer ((shall)) may adopt the fee amounts established ((by the director pursuant to RCW 19.94.165)) under RCW 19.94.175. However, no city shall adopt or charge an inspection, testing, or licensing fee or any other fee upon a weighing or measuring instrument or device that is in excess of the fee amounts ((adopted under RCW 19.94.165)) established by the department under the provisions of this chapter for substantially similar services.

      (4) A city sealer shall keep a complete and accurate record of all official acts performed under the authority of this chapter and shall submit an annual report to the governing body of his or her city and shall make any reports as may be required by the director.

      Sec. 14. RCW 19.94.320 and 1992 c 237 s 22 are each amended to read as follows:

      (1) In cities for which city sealers have been appointed as provided for in this chapter, the director shall have general ((supervisory powers over such)) oversight of city ((sealers)) weights and measures programs and may, when he or she deems it reasonably necessary, exercise concurrent authority to carry out the provisions of this chapter.

      (2) When the director elects to exercise concurrent authority within a city with a duly appointed city sealer, the director's powers and duties relative to this chapter shall be in addition to the powers granted in any such city by law or charter.

      Sec. 15. RCW 19.94.360 and 1969 c 67 s 36 are each amended to read as follows:

      In addition to the declarations required by RCW 19.94.350, any commodity in package form, the package being one of a lot containing random weights, measures or counts of the same commodity ((and bearing the total selling price of the package)) at the time it is exposed for sale at retail, shall bear on the outside of the package a plain and conspicuous declaration of the price per single unit of weight, measure, or count and the total selling price of the package.

      Sec. 16. RCW 19.94.390 and 1969 c 67 s 39 are each amended to read as follows:

      (1) Whenever any commodity or service is sold, or is offered, exposed, or advertised for sale, by weight, measure, or count, the price shall not be misrepresented, nor shall the price be represented in any manner calculated or tending to mislead or deceive an actual or prospective purchaser. Whenever an advertised, poster or labeled price per unit of weight, measure, or count includes a fraction of a cent, all elements of the fraction shall be prominently displayed and the numeral or numerals expressing the fraction shall be immediately adjacent to, of the same general design and style as, and at least one-half the height and one-half the width of the numerals representing the whole cents.

      (2) The examination procedure recommended for price verification by the price verification working group of the laws and regulations committee of the national conference on weights and measures (as reflected in the fourth draft, dated November 1, 1994) for devices such as electronic scanners shall govern such examinations conducted under this chapter. The procedure shall be deemed to be adopted under this chapter. However, the department may revise the procedure as follows: The department shall provide notice of and conduct a public hearing pursuant to chapter 34.05 RCW to determine whether any revisions to this procedure made by the national institute of standards and technology or its successor organization for incorporating the examination procedure into an official handbook of the institute or its successor, or any subsequent revisions of the handbook regarding such procedures shall also be adopted under this chapter. If the department determines that the procedure should be so revised, it may adopt the revisions. Violations of this section regarding the use of devices such as electronic scanners may be found only as provided by the examination procedures adopted by or under this subsection.

      (3) Electronic scanner screens installed after January 1, 1996, and used in retail establishments must be visible to the consumer at the checkout line.

      Sec. 17. RCW 19.94.410 and 1988 c 63 s 1 are each amended to read as follows:

      (((1) Except as provided in subsection (2) of this section,)) Butter, oleomargarine and margarine shall be offered and exposed for sale and sold by weight ((and only in units of one-quarter pound, one-half pound, one pound or multiples of one pound, avoirdupois weight.

      (2) The director of agriculture may allow the sale of butter specialty products in nonstandard units of weight if the purpose achieved by using such nonstandard units is decorative in nature and the products are clearly labeled as to weight and price per pound)).

      NEW SECTION. Sec. 18. A new section is added to chapter 15.80 RCW to read as follows:

      All moneys collected under this chapter shall be placed in the weights and measures account in the agricultural local fund created in RCW 19.94.185.

      Sec. 19. RCW 43.84.092 and 1994 c 2 s 6 (Initiative Measure No. 601), 1993 sp.s. c 25 s 511, 1993 sp.s. c 8 s 1, 1993 c 500 s 6, 1993 c 492 s 473, 1993 c 445 s 4, 1993 c 329 s 2, and 1993 c 4 s 9 are each reenacted and amended to read as follows:

      (1) All earnings of investments of surplus balances in the state treasury shall be deposited to the treasury income account, which account is hereby established in the state treasury.

      (2) The treasury income account shall be utilized to pay or receive funds associated with federal programs as required by the federal cash management improvement act of 1990. The treasury income account is subject in all respects to chapter 43.88 RCW, but no appropriation is required for refunds or allocations of interest earnings required by the cash management improvement act. Refunds of interest to the federal treasury required under the cash management improvement act fall under RCW 43.88.180 and shall not require appropriation. The office of financial management shall determine the amounts due to or from the federal government pursuant to the cash management improvement act. The office of financial management may direct transfers of funds between accounts as deemed necessary to implement the provisions of the cash management improvement act, and this subsection. Refunds or allocations shall occur prior to the distributions of earnings set forth in subsection (4) of this section.

      (3) Except for the provisions of RCW 43.84.160, the treasury income account may be utilized for the payment of purchased banking services on behalf of treasury funds including, but not limited to, depository, safekeeping, and disbursement functions for the state treasury and affected state agencies. The treasury income account is subject in all respects to chapter 43.88 RCW, but no appropriation is required for payments to financial institutions. Payments shall occur prior to distribution of earnings set forth in subsection (4) of this section.

      (4) Monthly, the state treasurer shall distribute the earnings credited to the treasury income account. The state treasurer shall credit the general fund with all the earnings credited to the treasury income account except:

      (a) The following accounts and funds shall receive their proportionate share of earnings based upon each account's and fund's average daily balance for the period: The capitol building construction account, the Cedar River channel construction and operation account, the Central Washington University capital projects account, the charitable, educational, penal and reformatory institutions account, the common school construction fund, the county criminal justice assistance account, the county sales and use tax equalization account, the data processing building construction account, the deferred compensation administrative account, the deferred compensation principal account, the department of retirement systems expense account, the Eastern Washington University capital projects account, the education construction fund, the emergency reserve fund, the federal forest revolving account, the health services account, the public health services account, the health system capacity account, the personal health services account, the industrial insurance premium refund account, the judges' retirement account, the judicial retirement administrative account, the judicial retirement principal account, the local leasehold excise tax account, the local real estate excise tax account, the local sales and use tax account, the medical aid account, the municipal criminal justice assistance account, the municipal sales and use tax equalization account, the natural resources deposit account, the perpetual surveillance and maintenance account, the public employees' retirement system plan I account, the public employees' retirement system plan II account, the Puyallup tribal settlement account, the resource management cost account, the site closure account, the special wildlife account, the state employees' insurance account, the state employees' insurance reserve account, the state investment board expense account, the state investment board commingled trust fund accounts, the supplemental pension account, the teachers' retirement system plan I account, the teachers' retirement system plan II account, the tuition recovery trust fund, the University of Washington bond retirement fund, the University of Washington building account, the volunteer fire fighters' relief and pension principal account, the volunteer fire fighters' relief and pension administrative account, the Washington judicial retirement system account, the Washington law enforcement officers' and fire fighters' system plan I retirement account, the Washington law enforcement officers' and fire fighters' system plan II retirement account, the Washington state patrol retirement account, the Washington State University building account, the Washington State University bond retirement fund, the water pollution control revolving fund, the weights and measures account, and the Western Washington University capital projects account. Earnings derived from investing balances of the agricultural permanent fund, the normal school permanent fund, the permanent common school fund, the scientific permanent fund, and the state university permanent fund shall be allocated to their respective beneficiary accounts. All earnings to be distributed under this subsection (4)(a) shall first be reduced by the allocation to the state treasurer's service fund pursuant to RCW 43.08.190.

      (b) The following accounts and funds shall receive eighty percent of their proportionate share of earnings based upon each account's or fund's average daily balance for the period: The marine operating fund, the motor vehicle fund, and the transportation fund.

      (5) In conformance with Article II, section 37 of the state Constitution, no treasury accounts or funds shall be allocated earnings without the specific affirmative directive of this section.

      NEW SECTION. Sec. 20. A new section is added to chapter 19.94 RCW to read as follows:

      The department shall develop a written report on the implementation of chapter . . ., Laws of 1995 (this act) that provides information including but not limited to the number of inspections conducted, the results of the inspections, the number of warnings issued, and the number of enforcement actions taken. The report shall be submitted to the secretary of the senate and chief clerk of the house of representatives, on December 15th of each even-numbered year. This section shall expire January 1, 2000.

      NEW SECTION. Sec. 21. A new section is added to chapter 19.94 RCW to read as follows:

      No state general fund moneys may be utilized by the department to fund the operation of the metrology laboratory. Funding of the laboratory shall be based on the prorated usage by two major components: (1) Services performed for other persons or governmental agencies; and (2) services performed for the department that are connected with the administration of the program under this chapter.

      NEW SECTION. Sec. 22. (1) Sections 1 through 3, 6 through 15, and 19 of this act are necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect June 1, 1995.

      (2) Sections 4 and 5 of this act shall take effect January 1, 1996."

      On motion of Senator Rasmussen, the following title amendment was adopted:

      On page 1, line 1 of the title, after "measures;" strike the remainder of the title and insert "amending RCW 19.94.010, 19.94.160, 19.94.165, 19.94.175, 19.94.185, 19.94.190, 19.94.216, 19.94.255, 19.94.280, 19.94.320, 19.94.360, 19.94.390, and 19.94.410; reenacting and amending RCW 43.84.092; adding new sections to chapter 19.94 RCW; adding a new section to chapter 15.80 RCW; providing effective dates; and declaring an emergency."


MOTION


      On motion of Senator Rasmussen, the rules were suspended, Second Substitute House Bill No. 1524, as amended by the Senate, was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      Debate ensued.

      The President declared the question before the Senate to be the roll call on the final passage of Second Substitute House Bill No. 1524, as amended by the Senate.


ROLL CALL


      The Secretary called the roll on the final passage of Second Substitute House Bill No. 1524, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 48; Nays, 0; Absent, 0; Excused, 1.

      Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 48.

      Excused: Senator Anderson, C. - 1.

      SECOND SUBSTITUTE HOUSE BILL NO. 1524, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


SECOND READING


      ENGROSSED SUBSTITUTE HOUSE BILL NO. 2090, by House Committee on Transportation (originally sponsored by Representatives K. Schmidt, R. Fisher, Mitchell, Scott, Robertson, Hatfield, Skinner, Tokuda, Buck, Elliot, Ogden, Cairnes, Romero, Brown, Quall, Chopp, Patterson, Hankins and Blanton)

 

Revising taxation of gasohol.


      The bill was read the second time.


MOTION


      On motion of Senator Owen, the rules were suspended, Engrossed Substitute House Bill No. 2090 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      Debate ensued.

      The President declared the question before the Senate to be the roll call on the final passage of Engrossed Substitute House Bill No. 2090.


ROLL CALL


      The Secretary called the roll on the final passage of Engrossed Substitute House Bill No. 2090 and the bill passed the Senate by the following vote: Yeas, 48; Nays, 0; Absent, 0; Excused, 1.

      Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 48.

      Excused: Senator Anderson, C. - 1.

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 2090, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


SECOND READING


      ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 2010, by House Committee on Appropriations (originally sponsored by Representatives Ballasiotes, Quall, Sherstad, Chandler, Schoesler, Radcliff and Blanton)

 

Revising corrections provisions.


      The bill was read the second time.


MOTIONS


      Senator Hargrove moved that the following Committee on Ways and Means amendment be adopted:

      Strike everything after the enacting clause and insert the following:

      "NEW SECTION. Sec. 1. The legislature finds that the increasing number of inmates incarcerated in state correctional institutions, and the expenses associated with their incarceration, require expanded efforts to contain corrections costs. Cost containment requires improved planning and oversight, and increased accountability and responsibility on the part of both inmates and the department.

      The legislature further finds that motivating inmates to participate in meaningful education and work programs in order to learn transferable skills and earn basic privileges is an effective and efficient way to meet the penological objectives of the corrections system.

      The purpose of this act is to assist the department in fulfilling its mission, specifically to reduce offender recidivism, to mirror the values of the community by clearly linking inmate behavior to the receipt of privileges, and to prudently manage the resources it receives through the tax dollars of law-abiding citizens. This purpose is accomplished through the implementation of specific cost-control measures and the creation of a planning and oversight process that will improve the department's effectiveness and efficiency.

      Sec. 2. RCW 72.09.010 and 1981 c 136 s 2 are each amended to read as follows:

      It is the intent of the legislature to establish a comprehensive system of corrections for convicted law violators within the state of Washington to accomplish the following objectives.

      (1) The system should ensure the public safety. The system should be designed and managed to provide the maximum feasible safety for the persons and property of the general public, the staff, and the inmates.

      (2) The system should punish the offender for violating the laws of the state of Washington. This punishment should generally be limited to the denial of liberty of the offender.

      (3) The system should positively impact offenders by stressing personal responsibility and accountability and by discouraging recidivism.

      (4) The system should treat all offenders fairly and equitably without regard to race, religion, sex, national origin, residence, or social condition.

      (((4))) (5) The system, as much as possible, should reflect the values of the community including:

      (a) Avoiding idleness. Idleness is not only wasteful but destructive to the individual and to the community.

      (b) Adoption of the work ethic. It is the community expectation that all citizens should work and through their efforts benefit both themselves and the community.

      (c) Providing opportunities for self improvement. All individuals should have opportunities to grow and expand their skills and abilities so as to fulfill their role in the community.

      (d) ((Providing tangible rewards for accomplishment.)) Linking the receipt or denial of privileges to responsible behavior and accomplishments. The individual who works to improve himself or herself and the community should be rewarded for these efforts. As a corollary, there should be no rewards for no effort.

      (e) Sharing in the obligations of the community. All citizens, the public and inmates alike, have a personal and fiscal obligation in the corrections system. All communities must share in the responsibility of the corrections system.

      (((5))) (6) The system should provide for prudent management of resources. The avoidance of unnecessary or inefficient public expenditures on the part of offenders and the department is essential. Offenders must be accountable to the department, and the department must be accountable to the public and the legislature. The human and fiscal resources of the community are limited. The management and use of these resources can be enhanced by wise investment, productive programs, the reduction of duplication and waste, and the joining together of all involved parties in a common endeavor. Since virtually all offenders return to the community, it is wise for the state and the communities to make an investment in effective rehabilitation programs for offenders and the wise use of resources.

      (((6))) (7) The system should provide for restitution. Those who have damaged others, persons or property, have a responsibility to make restitution for these damages.

      (((7))) (8) The system should be accountable to the citizens of the state. In return, the individual citizens and local units of government must meet their responsibilities to make the corrections system effective.

      (((8))) (9) The system should meet those national standards which the state determines to be appropriate.

      Sec. 3. RCW 72.09.015 and 1987 c 312 s 2 are each amended to read as follows:

      The definitions in this section apply throughout this chapter.

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

      (2) "Secretary" means the secretary of corrections.

      (3) "County" refers to a county or combination of counties.

      (4))) "Base level of correctional services" means the minimum level of field services the department of corrections is required by statute to provide for the supervision and monitoring of offenders.

      (2) "Contraband" means any object or communication that the secretary determines shall not be allowed to be (a) brought into; (b) possessed while on the grounds of; or (c) sent from any institution under the control of the secretary.

      (3) "County" refers to a county or combination of counties.

      (4) "Department" means the department of corrections.

      (5) "Earned early release" means earned early release as authorized by RCW 9.94A.150.

      (6) "Extended family visit" means an authorized visit between an inmate and a member or members of his or her immediate family that occurs in a private visiting unit located at the correctional facility where the inmate is confined.

      (7) "Good conduct" means compliance with department rules and standards.

      (8) "Good performance" means successful completion of any program required by the department, including an education, work, or other program.

      (9) "Immediate family" means the inmate's children, stepchildren, grandchildren, great grandchildren, parents, stepparents, grandparents, great grandparents, siblings, and a person legally married to an inmate. "Immediate family" does not include an inmate adopted by another inmate or the immediate family of the adopted or adopting inmate.

      (10) "Privilege" means any goods or services, education or work programs, or earned early release days, the receipt of which is directly linked to the good conduct or good performance of an inmate confined in an institution under the jurisdiction of the department. Privileges do not include any goods or services that the department is required to provide under the state or federal Constitution or under state or federal law.

      (11) "Secretary" means the secretary of corrections.

      (12) "Work programs" means all classes of correctional industries jobs authorized by RCW 72.09.100.

      Sec. 4. RCW 72.09.020 and 1988 c 153 s 7 are each amended to read as follows:

      For purposes of this chapter, "inmate" means any person committed to the custody of the department, including but not limited to persons residing in a correctional institution or facility ((and)), persons released on furlough, work release, or community custody, and persons received from another state, state agency, county, or federal jurisdiction.

      NEW SECTION. Sec. 5. A new section is added to chapter 72.09 RCW to read as follows:

      (1) The legislature intends that all inmates be required to participate in department-approved education programs, work programs, or both, unless exempted from participation under subsection (2) of this section. Eligible inmates who refuse to participate in available education or work programs shall lose inmate privileges according to the system established under RCW 72.09.130. The legislature recognizes that more inmates may agree to participate in education and work programs than are currently available. Accordingly, the department must give priority to placing inmates in available education and work programs who will be most likely to achieve significant personal and public benefit from the programs, and the department must prioritize available resources to work toward the goal of full participation as soon as possible.

      (2) The department shall establish, in rule, objective medical standards to determine when an inmate is physically or mentally unable to participate in available education or work programs. When the department determines that an inmate is permanently unable to participate in any available education or work program due to a medical condition, the inmate is exempt from the requirement of subsection (1) of this section. When the department determines that an inmate is temporarily unable to participate in an education or work program due to a medical condition, the inmate is exempt from the requirement of subsection (1) of this section for the period of time he or she is temporarily disabled. The department shall periodically review the medical conditions of all temporarily disabled inmates to ensure the earliest possible entry or reentry by inmates into available programming.

      (3) The department shall establish, in rule, the standards for participation in department-approved education and work programs. The standards shall address the following areas:

      (a) Assessment. The department shall assess all inmates for their educational history, basic skills and literacy level, work history, and vocational or work skills. The initial assessment shall be conducted, whenever possible, within the first thirty days of an inmate's entry into the correctional system, except that initial assessments are not required for inmates who are sentenced to life without the possibility of release, assigned to an intensive management unit within the first thirty days after entry into the corrections system, are returning to the corrections system within one year of a prior release, or whose physical or mental condition renders them unable to complete the assessment process. The department shall periodically reassess the basic skills, literacy level, and vocational or work skills of inmates to ensure that they are participating in programming appropriate to their level of academic and technical competency.

      (b) Placement. The department shall place inmates in appropriate education and work programs utilizing criteria to evaluate an inmate's likelihood of achieving significant benefit from the programming. The placement criteria shall include at least the following factors:

      (i) An inmate's release date and custody level;

      (ii) An inmate's educational history, basic skills, and literacy level;

      (iii) An inmate's work history, and vocational or work skills;

      (iv) An inmate's economic circumstances, including but not limited to an inmate's family support obligations; and

      (v) Where applicable, an inmate's prior performance in department-approved education or work programs.

      (c) Performance and goals. The department shall establish inmate behavior standards and program goals for all education or work programs. Inmates shall be notified of applicable behavior standards and program goals prior to placement in an education or work program and shall be removed from the education or work program if they consistently fail to meet the standards or goals.

      (d) Financial responsibility. The department shall establish a formula by which inmates will pay all or a portion of the costs of participating in community college associate of arts degree programs, baccalaureate degree programs, and postbaccalaureate degree programs, including tuition, books, and fees. The formula will consider the inmates' ability to pay and the department's efforts to maintain a cost-efficient level of enrollment in programs for which it contracts with community colleges. When an inmate voluntarily chooses to participate in a postsecondary education program into which he or she has not been placed by the department under (b) of this subsection, the inmate must pay the full tuition costs of the postsecondary education program charged by the community colleges under contract with the department.

      (e) An inmate sentenced to life without the possibility of release may participate in education programs, including English as a second language, adult basic education, general equivalency degree, high school diploma, or any associate, baccalaureate, or post-baccalaureate degree, only if he or she pays all tuition costs and fees of the program and only if space is available in the program after all other eligible inmates have been offered the opportunity to participate, except that inmates sentenced to life without the possibility of release who require vocational training to participate in a correctional industries job may participate in the vocational training under the same placement, performance, and financial responsibility standards as other inmates.

      (4) The department shall coordinate educational and work programming opportunities among its several institutions, to the greatest extent possible, to facilitate continuity of programming for inmates who are transferred between institutions. Prior to transferring inmates enrolled in programs, the department shall consider the effect the transfer will have on an inmate's ability to continue or complete a program. This subsection shall not be used to delay or prohibit any transfer that is necessary for legitimate safety or security reasons.

      (5) Before the construction of any new correctional institution or the expansion of any existing correctional institution, the department shall adopt a plan demonstrating how cable, closed-circuit, and satellite television will be used for educational and training purposes in the institution. The plan shall specify how the use of television in the educational and training programs will improve inmates' preparedness for available correctional industries jobs and job opportunities for which inmates may qualify upon release.

      Sec. 6. RCW 72.09.130 and 1981 c 136 s 17 are each amended to read as follows:

      (1) The department shall adopt, in rule, a system ((providing incentives for good conduct and disincentives for poor conduct)) that clearly links an inmate's behavior and participation in available education and work programs with the receipt or denial of earned early release days and other privileges. The system ((may)) shall include increases or decreases in the degree of liberty granted the inmate within the programs operated by the department, access to or withholding of privileges available within correctional institutions, and recommended increases or decreases in the number of earned early release days that an inmate can earn for good conduct and good performance.

      (2) Earned early release days shall be recommended by the department as a form of tangible reward for accomplishment. The system shall be fair, measurable, and understandable to offenders, staff, and the public. At least once in each twelve-month period, the department shall inform the offender in writing as to his or her conduct and performance. This written evaluation shall include reasons for awarding or not awarding recommended earned early release days for good conduct and good performance. ((The term "good performance" as used in this section means successfully performing a work, work training, or educational task to levels of expectation as specified in writing by the department. The term "good conduct" as used in this section refers to compliance with department rules.

      Within one year after July 1, 1981, the department shall adopt, and provide a written description of, the system.)) An inmate is not eligible to receive earned early release days during any time in which he or she refuses to participate in an available education or work program into which he or she has been placed by the department pursuant to section 5 of this act.

      (3) The department shall provide a ((copy of this)) written description of the system to each offender in its custody.

      NEW SECTION. Sec. 7. A new section is added to chapter 72.09 RCW to read as follows:

      To the greatest extent practical, all inmates shall contribute to the cost of inmate privileges provided by the department. The department shall establish standards by which inmates will pay a significant portion of the department's capital and operating costs of providing all inmate privileges, including but not limited to television cable access, extended family visitation, weight lifting and other recreational sports equipment and supplies, and associated staff supervision costs. Inmate contributions may be in the form of individual user fees assessed against an inmate's institution account, deductions from an inmate's gross wages or gratuities, or inmates' collective contributions to the institutional welfare/betterment fund. The contribution standards shall consider the assets available to inmates, the costs of administrating compliance with the contribution requirements, and shall not be unduly destructive of the work ethic.

      NEW SECTION. Sec. 8. A new section is added to chapter 72.09 RCW to read as follows:

      The secretary shall adopt in rule a uniform policy that prohibits receipt or possession of anything that is determined to be contraband. The rule shall provide maximum protection of legitimate penological interests, including prison security and order. The rule shall protect the legitimate interests of the public and inmates in the exchange of ideas. The secretary shall establish a method of reviewing all incoming and outgoing material, consistent with constitutional constraints, for the purpose of confiscating anything determined to be contraband.

      NEW SECTION. Sec. 9. A new section is added to chapter 72.09 RCW to read as follows:

      (1) The extended family visitation program is a privilege that the department may allow an inmate to participate in only after the superintendent determines an inmate is eligible. All extended family visits must be approved in advance by the superintendent or the superintendent's designee, who may cancel, interrupt, suspend, or terminate any visit for good cause.

      (2) The department shall adopt, in rule, standards for participation in the extended family visitation program. The standards shall provide eligible inmates the opportunity, subject to the approval of the superintendent or the superintendent's designee, to maintain relationships with authorized family members, to maintain marriages and relationships that existed prior to incarceration, and to provide an incentive for inmates to maintain positive attitudes and behaviors while incarcerated. The standards shall address at least the following areas:

      (a) Eligibility. The eligibility standards for inmates and their proposed visitors shall include at least the following factors for consideration:

      (i) An inmate's release date and custody level. An inmate confined in maximum or close custody, in an intensive management unit, or in disciplinary or administrative segregation is not eligible to participate in an extended family visit;

      (ii) An inmate's infraction history while incarcerated;

      (iii) An inmate's prior criminal offense history;

      (iv) The nature of the offense for which the inmate is incarcerated and whether the proposed visitor was a victim of the inmate's offense;

      (v) When available, the opinion of a licensed medical practitioner or mental health professional as to the appropriateness of an extended family visit between an inmate and the proposed visitor or visitors;

      (vi) The criminal history of the proposed visitor or visitors;

      (vii) Where applicable, the conduct of the inmate and the proposed visitor or visitors during prior extended family visits.

      (b) Conduct during visits. The department shall establish standards for the conduct of inmates and visitors participating in the extended family visitation program that protect the safety of visitors and preserve the orderly operation of the correctional institution.

      Sec. 10. RCW 4.24.130 and 1992 c 30 s 1 are each amended to read as follows:

      (1) Any person desiring a change of his or her name or that of his or her child or ward, may apply therefor to the district court of the judicial district in which he or she resides, by petition setting forth the reasons for such change; thereupon such court in its discretion may order a change of the name and thenceforth the new name shall be in place of the former.

      (2) An offender under the jurisdiction of the department of corrections who applies to change his or her name under subsection (1) of this section shall submit a copy of the application to the department of corrections no less than five days prior to the entry of an order granting the name change. No offender under the jurisdiction of the department of corrections at the time of application shall be granted an order changing his or her name if the court finds that doing so will interfere with legitimate penological goals, except that no order shall be denied when the name change is requested for religious or legitimate cultural reasons or in recognition of marriage or dissolution of marriage. An offender under the jurisdiction of the department of corrections who receives an order changing his or her name shall submit a copy of the order to the department of corrections within five days of the entry of the order. Violation of this subsection is a misdemeanor.

      (3) The district court shall collect the fees authorized by RCW 36.18.010 for filing and recording a name change order, and transmit the fee and the order to the county auditor. The court may collect a reasonable fee to cover the cost of transmitting the order to the county auditor.

      NEW SECTION. Sec. 11. A new section is added to chapter 72.09 RCW to read as follows:

      The department may require an offender who obtains an order under RCW 4.24.130 changing his or her name to use the name under which he or she was committed to the department during all official communications with department personnel and in all matters relating to the offender's incarceration or community supervision. Violation of this section is a misdemeanor.

      Sec. 12. RCW 72.10.020 and 1989 c 157 s 3 are each amended to read as follows:

      (1) The department may develop and implement a health services plan for the delivery of health care services to ((inmates)) offenders in the department's ((custody)) correctional facilities, at the discretion of the secretary, and in conformity with state and federal law.

      (2) In order to discourage the unwarranted use of health care services caused by unnecessary visits to health care providers, offenders shall participate in the costs of their health care services by paying a nominal amount of no less than three dollars per visit, determined by the secretary. Pursuant to the authority granted in RCW 72.01.050(2), the secretary may authorize the superintendent to collect this amount for health care services directly from an offender's institution account. All copayments collected from offenders' institution accounts shall be deposited into the general fund.

      (3) Offenders are required to make copayments for health care visits that are offender initiated. Offenders are not required to pay for emergency treatment or for visits initiated by health care staff or treatment of those conditions that constitute a serious health care need.

      (4) No offender may be refused any health care service because of indigence.

      (5) At no time shall the withdrawal of funds for the payment of a medical service copayment result in reducing an offender's institution account to an amount less than the defined level of indigency as determined by the department. When an offender's institution account contains less money than the defined level of indigency at the time a copayment is assessed, the assessment shall be recorded as an outstanding debt and may be collected from an offender's institution account at any time sufficient funds become available.

      Sec. 13. RCW 72.10.010 and 1989 c 157 s 2 are each amended to read as follows:

      As used in this chapter:

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

      (2) "Health care practitioner" means an individual or firm licensed or certified to actively engage in a regulated health profession.

      (3) "Health profession" means ((and includes)) those licensed or regulated professions set forth in RCW 18.120.020(4).

      (4) "Health care facility" means any hospital, hospice care center, licensed or certified health care facility, health maintenance organization regulated under chapter 48.46 RCW, federally qualified health maintenance organization, federally approved renal dialysis center or facility ((federally approved under 42 CFR 405.2100)), or federally licensed blood bank ((federally licensed under 21 CFR 607)).

      (5) "Health care services" means ((and includes)) medical, dental, and mental health care services.

      (6) "Secretary" means the secretary of the department of corrections.

      (7) "Superintendent" means the superintendent of a correctional facility under the jurisdiction of the Washington state department of corrections.

      NEW SECTION. Sec. 14. A new section is added to chapter 72.10 RCW to read as follows:

      No later than October 1, 1996, and every year thereafter, the department shall report to the legislature the following information for the preceding fiscal year: (1) The total number of health care visits made by offenders; (2) the total number of copayments assessed; (3) the total dollar amount of copayments collected; (4) the total number of copayments that were not assessed or collected due to an offender's indigence; and (5) the total number of copayments that were not assessed due to the serious or emergent nature of the health care treatment, or because the health care visit was not offender initiated. The first report prepared by the department shall include, at a minimum, all available information collected during the second half of fiscal year 1996.

      NEW SECTION. Sec. 15. A new section is added to chapter 72.10 RCW to read as follows:

      Upon entry into the adult correctional system, offenders shall receive an initial medical examination. The department shall prepare a health profile for each offender that includes at least the following information: (1) An identification of the offender's serious medical and dental needs; (2) an evaluation of the offender's capacity for work and recreation; and (3) a financial assessment of the offender's ability to pay for all or a portion of his or her health care services from personal resources or private insurance.

      NEW SECTION. Sec. 16. The department shall adopt rules to implement sections 12 through 15 of this act.

      Sec. 17. RCW 72.10.030 and 1989 c 157 s 4 are each amended to read as follows:

      (1) Notwithstanding any other provisions of law, the secretary may enter into contracts with health care practitioners, health care facilities, and other entities or agents as may be necessary to provide basic medical care to inmates. The contracts shall not cause the termination of classified employees of the department rendering the services at the time the contract is executed.

      (2) In contracting for services, the secretary is authorized to provide for indemnification of health care practitioners who cannot obtain professional liability insurance through reasonable effort, from liability on any action, claim, or proceeding instituted against them arising out of the good faith performance or failure of performance of services on behalf of the department. The contracts may provide that for the purposes of chapter 4.92 RCW only, those health care practitioners with whom the department has contracted shall be considered state employees. The Washington state health care authority shall contract with a private research company to conduct a review of corrections health services to determine if certain components of the health services system such as dental care, eye care, or laboratory work, could be provided more efficiently by contracting out for the services. The review shall be submitted to the legislature by December 1, 1996. The decision to implement any recommendations made in the report regarding contracting out any or all components of the health services system shall be made by the legislature and not by the secretary.

      Sec. 18. RCW 9.94A.137 and 1993 c 338 s 4 are each amended to read as follows:

      (1)(a) An offender is eligible to be sentenced to a work ethic camp if the offender:

      (((a))) (i) Is sentenced to a term of total confinement of not less than ((twenty-two)) sixteen months or more than thirty-six months;

      (((b))) (ii) Is ((between the ages of)) eighteen ((and twenty-eight)) years of age or older; and

      (((c))) (iii) Has no current or prior convictions for any sex offenses or for violent offenses other than drug offenses for manufacturing, possession, delivery, or intent to deliver a controlled substance.

      (b) An offender is not eligible to participate in the work ethic camp if the offender is found, at any time, to be an illegal alien or the subject of a hard detainer or deportation order. Any offender who is found to be an illegal alien or becomes the subject of a hard detainer or deportation order after being sentenced to or beginning the work ethic camp shall be immediately removed from the work ethic camp program.

      (c) The length of the work ethic camp program shall be at least one hundred twenty days and not more than one hundred eighty days. Because of the conversion ratio, earned early release time shall not accrue to offenders who successfully complete the program.

      (2) If the sentencing judge determines that the offender is eligible for the work ethic camp and is likely to qualify under subsection (3) of this section, the judge shall impose a sentence within the standard range and may recommend that the offender serve the sentence at a work ethic camp. The sentence shall provide that if the offender successfully completes the program, the department shall convert the period of work ethic camp confinement at the rate of one day of work ethic camp confinement to three days of total standard confinement. ((The court shall also provide that upon completion of the work ethic camp program, the offender shall be released on community custody for any remaining time of total confinement.)) In sentencing an offender to the work ethic camp, the court shall specify: (i) That upon completion of the work ethic camp program, the offender shall be released on community custody for any remaining time of total confinement; (ii) the applicable conditions of supervision on community custody status as authorized by RCW 9.94A.120(8)(b) and (c); and (iii) which conditions, if violated, may result in a return to total confinement for the balance of the offender's remaining time of confinement. The department may identify offenders who are eligible for the work ethic camp and, with concurrence from the sentencing judge, may refer the offender to the work ethic camp and adjust time served and community custody requirements as prescribed in this section.

      (3) The department shall place the offender in the work ethic camp program, subject to capacity, unless (a) the department determines that the offender has physical or mental impairments that would prevent participation and completion of the program, (b) the department determines that the offender's custody level prevents placement in the program, or (c) the offender refuses to agree to the terms and conditions of the program.

      (((4))) (5) An ((inmate)) offender who fails to complete the work ethic camp program, who is administratively terminated from the program, or who otherwise violates any conditions of supervision, as defined by the department, shall be reclassified to serve the unexpired term of his or her sentence as ordered by the sentencing judge and shall be subject to all rules relating to earned early release time.

      (((5) The length of the work ethic camp program shall be at least one hundred twenty days and not more than one hundred eighty days. Because of the conversion ratio, earned early release time shall not accrue to offenders who successfully complete the program.))

      (6) During the last two weeks prior to release from the work ethic camp program the department shall provide the offender with comprehensive transition training.

      Sec. 19. RCW 9.94A.120 and 1994 c 1 s 2 (Initiative Measure No. 593) and 1993 c 31 s 3 are each reenacted and amended to read as follows:

      When a person is convicted of a felony, the court shall impose punishment as provided in this section.

      (1) Except as authorized in subsections (2), (4), (5), and (7) of this section, the court shall impose a sentence within the sentence range for the offense.

      (2) The court may impose a sentence outside the standard sentence range for that offense if it finds, considering the purpose of this chapter, that there are substantial and compelling reasons justifying an exceptional sentence.

      (3) Whenever a sentence outside the standard range is imposed, the court shall set forth the reasons for its decision in written findings of fact and conclusions of law. A sentence outside the standard range shall be a determinate sentence.

      (4) A persistent offender shall be sentenced to a term of total confinement for life without the possibility of parole or, when authorized by RCW 10.95.030 for the crime of aggravated murder in the first degree, sentenced to death, notwithstanding the maximum sentence under any other law. An offender convicted of the crime of murder in the first degree shall be sentenced to a term of total confinement not less than twenty years. An offender convicted of the crime of assault in the first degree or assault of a child in the first degree where the offender used force or means likely to result in death or intended to kill the victim shall be sentenced to a term of total confinement not less than five years. An offender convicted of the crime of rape in the first degree shall be sentenced to a term of total confinement not less than five years. The foregoing minimum terms of total confinement are mandatory and shall not be varied or modified as provided in subsection (2) of this section. In addition, all offenders subject to the provisions of this subsection shall not be eligible for community custody, earned early release time, furlough, home detention, partial confinement, work crew, work release, or any other form of early release as defined under RCW 9.94A.150 (1), (2), (3), (5), (7), or (8), or any other form of authorized leave of absence from the correctional facility while not in the direct custody of a corrections officer or officers during such minimum terms of total confinement except in the case of an offender in need of emergency medical treatment or for the purpose of commitment to an inpatient treatment facility in the case of an offender convicted of the crime of rape in the first degree.

      (5) In sentencing a first-time offender the court may waive the imposition of a sentence within the sentence range and impose a sentence which may include up to ninety days of confinement in a facility operated or utilized under contract by the county and a requirement that the offender refrain from committing new offenses. The sentence may also include up to two years of community supervision, which, in addition to crime-related prohibitions, may include requirements that the offender perform any one or more of the following:

      (a) Devote time to a specific employment or occupation;

      (b) Undergo available outpatient treatment for up to two years, or inpatient treatment not to exceed the standard range of confinement for that offense;

      (c) Pursue a prescribed, secular course of study or vocational training;

      (d) Remain within prescribed geographical boundaries and notify the court or the community corrections officer prior to any change in the offender's address or employment;

      (e) Report as directed to the court and a community corrections officer; or

      (f) Pay all court-ordered legal financial obligations as provided in RCW 9.94A.030 and/or perform community service work.

      (6) If a sentence range has not been established for the defendant's crime, the court shall impose a determinate sentence which may include not more than one year of confinement, community service work, a term of community supervision not to exceed one year, and/or other legal financial obligations. The court may impose a sentence which provides more than one year of confinement if the court finds, considering the purpose of this chapter, that there are substantial and compelling reasons justifying an exceptional sentence.

      (7)(a)(i) When an offender is convicted of a sex offense other than a violation of RCW 9A.44.050 or a sex offense that is also a serious violent offense and has no prior convictions for a sex offense or any other felony sex offenses in this or any other state, the sentencing court, on its own motion or the motion of the state or the defendant, may order an examination to determine whether the defendant is amenable to treatment.

      The report of the examination shall include at a minimum the following: The defendant's version of the facts and the official version of the facts, the defendant's offense history, an assessment of problems in addition to alleged deviant behaviors, the offender's social and employment situation, and other evaluation measures used. The report shall set forth the sources of the evaluator's information.

      The examiner shall assess and report regarding the defendant's amenability to treatment and relative risk to the community. A proposed treatment plan shall be provided and shall include, at a minimum:

      (A) Frequency and type of contact between offender and therapist;

      (B) Specific issues to be addressed in the treatment and description of planned treatment modalities;

      (C) Monitoring plans, including any requirements regarding living conditions, lifestyle requirements, and monitoring by family members and others;

      (D) Anticipated length of treatment; and

      (E) Recommended crime-related prohibitions.

      The court on its own motion may order, or on a motion by the state shall order, a second examination regarding the offender's amenability to treatment. The evaluator shall be selected by the party making the motion. The defendant shall pay the cost of any second examination ordered unless the court finds the defendant to be indigent in which case the state shall pay the cost.

      (ii) After receipt of the reports, the court shall consider whether the offender and the community will benefit from use of this special sexual offender sentencing alternative and consider the victim's opinion whether the offender should receive a treatment disposition under this subsection. If the court determines that this special sex offender sentencing alternative is appropriate, the court shall then impose a sentence within the sentence range. If this sentence is less than eight years of confinement, the court may suspend the execution of the sentence and impose the following conditions of suspension:

      (A) The court shall place the defendant on community supervision for the length of the suspended sentence or three years, whichever is greater; and

      (B) The court shall order treatment for any period up to three years in duration. The court in its discretion shall order outpatient sex offender treatment or inpatient sex offender treatment, if available. A community mental health center may not be used for such treatment unless it has an appropriate program designed for sex offender treatment. The offender shall not change sex offender treatment providers or treatment conditions without first notifying the prosecutor, the community corrections officer, and the court, and shall not change providers without court approval after a hearing if the prosecutor or community corrections officer object to the change. In addition, as conditions of the suspended sentence, the court may impose other sentence conditions including up to six months of confinement, not to exceed the sentence range of confinement for that offense, crime-related prohibitions, and requirements that the offender perform any one or more of the following:

      (I) Devote time to a specific employment or occupation;

      (II) Remain within prescribed geographical boundaries and notify the court or the community corrections officer prior to any change in the offender's address or employment;

      (III) Report as directed to the court and a community corrections officer;

      (IV) Pay all court-ordered legal financial obligations as provided in RCW 9.94A.030, perform community service work, or any combination thereof; or

      (V) Make recoupment to the victim for the cost of any counseling required as a result of the offender's crime.

      (iii) The sex offender therapist shall submit quarterly reports on the defendant's progress in treatment to the court and the parties. The report shall reference the treatment plan and include at a minimum the following: Dates of attendance, defendant's compliance with requirements, treatment activities, the defendant's relative progress in treatment, and any other material as specified by the court at sentencing.

      (iv) At the time of sentencing, the court shall set a treatment termination hearing for three months prior to the anticipated date for completion of treatment. Prior to the treatment termination hearing, the treatment professional and community corrections officer shall submit written reports to the court and parties regarding the defendant's compliance with treatment and monitoring requirements, and recommendations regarding termination from treatment, including proposed community supervision conditions. Either party may request and the court may order another evaluation regarding the advisability of termination from treatment. The defendant shall pay the cost of any additional evaluation ordered unless the court finds the defendant to be indigent in which case the state shall pay the cost. At the treatment termination hearing the court may: (A) Modify conditions of community supervision, and either (B) terminate treatment, or (C) extend treatment for up to the remaining period of community supervision.

      (v) The court may revoke the suspended sentence at any time during the period of community supervision and order execution of the sentence if: (A) The defendant violates the conditions of the suspended sentence, or (B) the court finds that the defendant is failing to make satisfactory progress in treatment. All confinement time served during the period of community supervision shall be credited to the offender if the suspended sentence is revoked.

      (vi) Except as provided in (a)(vii) of this subsection, after July 1, 1991, examinations and treatment ordered pursuant to this subsection shall only be conducted by sex offender treatment providers certified by the department of health pursuant to chapter 18.155 RCW.

      (vii) A sex offender therapist who examines or treats a sex offender pursuant to this subsection (7) does not have to be certified by the department of health pursuant to chapter 18.155 RCW if the court finds that: (A) The offender has already moved to another state or plans to move to another state for reasons other than circumventing the certification requirements; (B) no certified providers are available for treatment within a reasonable geographical distance of the offender's home; and (C) the evaluation and treatment plan comply with this subsection (7) and the rules adopted by the department of health.

      For purposes of this subsection, "victim" means any person who has sustained emotional, psychological, physical, or financial injury to person or property as a result of the crime charged. "Victim" also means a parent or guardian of a victim who is a minor child unless the parent or guardian is the perpetrator of the offense.

      (b) When an offender is convicted of any felony sex offense committed before July 1, 1987, and is sentenced to a term of confinement of more than one year but less than six years, the sentencing court may, on its own motion or on the motion of the offender or the state, order the offender committed for up to thirty days to the custody of the secretary of social and health services for evaluation and report to the court on the offender's amenability to treatment at these facilities. If the secretary of social and health services cannot begin the evaluation within thirty days of the court's order of commitment, the offender shall be transferred to the state for confinement pending an opportunity to be evaluated at the appropriate facility. The court shall review the reports and may order that the term of confinement imposed be served in the sexual offender treatment program at the location determined by the secretary of social and health services or the secretary's designee, only if the report indicates that the offender is amenable to the treatment program provided at these facilities. The offender shall be transferred to the state pending placement in the treatment program. Any offender who has escaped from the treatment program shall be referred back to the sentencing court.

      If the offender does not comply with the conditions of the treatment program, the secretary of social and health services may refer the matter to the sentencing court. The sentencing court shall commit the offender to the department of corrections to serve the balance of the term of confinement.

      If the offender successfully completes the treatment program before the expiration of the term of confinement, the court may convert the balance of confinement to community supervision and may place conditions on the offender including crime-related prohibitions and requirements that the offender perform any one or more of the following:

      (i) Devote time to a specific employment or occupation;

      (ii) Remain within prescribed geographical boundaries and notify the court or the community corrections officer prior to any change in the offender's address or employment;

      (iii) Report as directed to the court and a community corrections officer;

      (iv) Undergo available outpatient treatment.

      If the offender violates any of the terms of community supervision, the court may order the offender to serve out the balance of the community supervision term in confinement in the custody of the department of corrections.

      After June 30, 1993, this subsection (b) shall cease to have effect.

      (c) When an offender commits any felony sex offense on or after July 1, 1987, and is sentenced to a term of confinement of more than one year but less than six years, the sentencing court may, on its own motion or on the motion of the offender or the state, request the department of corrections to evaluate whether the offender is amenable to treatment and the department may place the offender in a treatment program within a correctional facility operated by the department.

      Except for an offender who has been convicted of a violation of RCW 9A.44.040 or 9A.44.050, if the offender completes the treatment program before the expiration of his or her term of confinement, the department of corrections may request the court to convert the balance of confinement to community supervision and to place conditions on the offender including crime-related prohibitions and requirements that the offender perform any one or more of the following:

      (i) Devote time to a specific employment or occupation;

      (ii) Remain within prescribed geographical boundaries and notify the court or the community corrections officer prior to any change in the offender's address or employment;

      (iii) Report as directed to the court and a community corrections officer;

      (iv) Undergo available outpatient treatment.

      If the offender violates any of the terms of his or her community supervision, the court may order the offender to serve out the balance of his or her community supervision term in confinement in the custody of the department of corrections.

      Nothing in (c) of this subsection shall confer eligibility for such programs for offenders convicted and sentenced for a sex offense committed prior to July 1, 1987. This subsection (c) does not apply to any crime committed after July 1, 1990.

      (d) Offenders convicted and sentenced for a sex offense committed prior to July 1, 1987, may, subject to available funds, request an evaluation by the department of corrections to determine whether they are amenable to treatment. If the offender is determined to be amenable to treatment, the offender may request placement in a treatment program within a correctional facility operated by the department. Placement in such treatment program is subject to available funds.

      (8)(a) When a court sentences a person to a term of total confinement to the custody of the department of corrections for an offense categorized as a sex offense or a serious violent offense committed after July 1, 1988, but before July 1, 1990, assault in the second degree, assault of a child in the second degree, any crime against a person where it is determined in accordance with RCW 9.94A.125 that the defendant or an accomplice was armed with a deadly weapon at the time of commission, or any felony offense under chapter 69.50 or 69.52 RCW, committed on or after July 1, 1988, the court shall in addition to the other terms of the sentence, sentence the offender to a one-year term of community placement beginning either upon completion of the term of confinement or at such time as the offender is transferred to community custody in lieu of earned early release in accordance with RCW 9.94A.150 (1) and (2). When the court sentences an offender under this subsection to the statutory maximum period of confinement then the community placement portion of the sentence shall consist entirely of such community custody to which the offender may become eligible, in accordance with RCW 9.94A.150 (1) and (2). Any period of community custody actually served shall be credited against the community placement portion of the sentence.

      (b) When a court sentences a person to a term of total confinement to the custody of the department of corrections for an offense categorized as a sex offense or serious violent offense committed on or after July 1, 1990, the court shall in addition to other terms of the sentence, sentence the offender to community placement for two years or up to the period of earned early release awarded pursuant to RCW 9.94A.150 (1) and (2), whichever is longer. The community placement shall begin either upon completion of the term of confinement or at such time as the offender is transferred to community custody in lieu of earned early release in accordance with RCW 9.94A.150 (1) and (2). When the court sentences an offender under this subsection to the statutory maximum period of confinement then the community placement portion of the sentence shall consist entirely of the community custody to which the offender may become eligible, in accordance with RCW 9.94A.150 (1) and (2). Any period of community custody actually served shall be credited against the community placement portion of the sentence. Unless a condition is waived by the court, the terms of community placement for offenders sentenced pursuant to this section shall include the following conditions:

      (i) The offender shall report to and be available for contact with the assigned community corrections officer as directed;

      (ii) The offender shall work at department of corrections-approved education, employment, and/or community service;

      (iii) The offender shall not consume controlled substances except pursuant to lawfully issued prescriptions;

      (iv) An offender in community custody shall not unlawfully possess controlled substances;

      (v) The offender shall pay supervision fees as determined by the department of corrections; and

      (vi) The residence location and living arrangements are subject to the prior approval of the department of corrections during the period of community placement.

      (c) The court may also order any of the following special conditions:

      (i) The offender shall remain within, or outside of, a specified geographical boundary;

      (ii) The offender shall not have direct or indirect contact with the victim of the crime or a specified class of individuals;

      (iii) The offender shall participate in crime-related treatment or counseling services;

      (iv) The offender shall not consume alcohol; or

      (v) The offender shall comply with any crime-related prohibitions.

      (d) As a part of any sentence providing for conversion from total confinement to community custody pursuant to RCW 9.94A.137(2) after successful completion of a work ethic camp program, the court shall impose and enforce the conditions enumerated in (b) of this subsection and may order any of the special conditions enumerated in (c) of this subsection, including a prohibition against new felony convictions. The court shall specify which of the conditions, if violated, may result in a return to total confinement for the balance of the offender's remaining term of confinement.

      (e) Prior to transfer to, or during, community placement, any conditions of community placement may be removed or modified so as not to be more restrictive by the sentencing court, upon recommendation of the department of corrections.

      (9) If the court imposes a sentence requiring confinement of thirty days or less, the court may, in its discretion, specify that the sentence be served on consecutive or intermittent days. A sentence requiring more than thirty days of confinement shall be served on consecutive days. Local jail administrators may schedule court-ordered intermittent sentences as space permits.

      (10) If a sentence imposed includes payment of a legal financial obligation, the sentence shall specify the total amount of the legal financial obligation owed, and shall require the offender to pay a specified monthly sum toward that legal financial obligation. Restitution to victims shall be paid prior to any other payments of monetary obligations. Any legal financial obligation that is imposed by the court may be collected by the department, which shall deliver the amount paid to the county clerk for credit. The offender's compliance with payment of legal financial obligations shall be supervised by the department. All monetary payments ordered shall be paid no later than ten years after the last date of release from confinement pursuant to a felony conviction or the date the sentence was entered. Independent of the department, the party or entity to whom the legal financial obligation is owed shall have the authority to utilize any other remedies available to the party or entity to collect the legal financial obligation. Nothing in this section makes the department, the state, or any of its employees, agents, or other persons acting on their behalf liable under any circumstances for the payment of these legal financial obligations. If an order includes restitution as one of the monetary assessments, the county clerk shall make disbursements to victims named in the order.

      (11) Except as provided under RCW 9.94A.140(1) and 9.94A.142(1), a court may not impose a sentence providing for a term of confinement or community supervision or community placement which exceeds the statutory maximum for the crime as provided in chapter 9A.20 RCW.

      (12) All offenders sentenced to terms involving community supervision, community service, community placement, or legal financial obligation shall be under the supervision of the secretary of the department of corrections or such person as the secretary may designate and shall follow explicitly the instructions of the secretary including reporting as directed to a community corrections officer, remaining within prescribed geographical boundaries, notifying the community corrections officer of any change in the offender's address or employment, and paying the supervision fee assessment. The department may require offenders to pay for special services rendered on or after July 25, 1993, including electronic monitoring, day reporting, and telephone reporting, dependent upon the offender's ability to pay. The department may pay for these services for offenders who are not able to pay.

      (13) All offenders sentenced to terms involving community supervision, community service, or community placement under the supervision of the department of corrections shall not own, use, or possess firearms or ammunition. Offenders who own, use, or are found to be in actual or constructive possession of firearms or ammunition shall be subject to the appropriate violation process and sanctions. "Constructive possession" as used in this subsection means the power and intent to control the firearm or ammunition. "Firearm" as used in this subsection means a weapon or device from which a projectile may be fired by an explosive such as gunpowder.

      (14) The sentencing court shall give the offender credit for all confinement time served before the sentencing if that confinement was solely in regard to the offense for which the offender is being sentenced.

      (15) A departure from the standards in RCW 9.94A.400 (1) and (2) governing whether sentences are to be served consecutively or concurrently is an exceptional sentence subject to the limitations in subsections (2) and (3) of this section, and may be appealed by the defendant or the state as set forth in RCW 9.94A.210 (2) through (6).

      (16) The court shall order restitution whenever the offender is convicted of a felony that results in injury to any person or damage to or loss of property, whether the offender is sentenced to confinement or placed under community supervision, unless extraordinary circumstances exist that make restitution inappropriate in the court's judgment. The court shall set forth the extraordinary circumstances in the record if it does not order restitution.

      (17) As a part of any sentence, the court may impose and enforce an order that relates directly to the circumstances of the crime for which the offender has been convicted, prohibiting the offender from having any contact with other specified individuals or a specific class of individuals for a period not to exceed the maximum allowable sentence for the crime, regardless of the expiration of the offender's term of community supervision or community placement.

      (18) In any sentence of partial confinement, the court may require the defendant to serve the partial confinement in work release, in a program of home detention, on work crew, or in a combined program of work crew and home detention.

      (19) All court-ordered legal financial obligations collected by the department and remitted to the county clerk shall be credited and paid where restitution is ordered. Restitution shall be paid prior to any other payments of monetary obligations.

      NEW SECTION. Sec. 20. A new section is added to chapter 72.09 RCW to read as follows:

      (1) The department shall establish an illegal alien offender transition camp and be ready to assign inmates to the camp no later than July 1, 1996. The secretary shall locate the illegal alien offender transition camp within an already existing department compound or facility.

      (2) The department shall develop all aspects of the illegal alien offender transition camp program including, but not limited to, residential arrangements, program standards, conduct standards, individual and team work goals, and measures to hold the offender accountable for his or her behavior. The secretary shall define successful completion of the program, based on successful attendance, participation, and performance. The illegal alien offender transition camp shall be designed and implemented so that offenders are engaged in work activities and unstructured time is kept to a minimum. The standards for work performance, physical work activities, and offenders' rights and responsibilities shall be equivalent to those of the work ethic camp for general inmates.

      NEW SECTION. Sec. 21. A new section is added to chapter 9.94A RCW to read as follows:

      (1) An offender is eligible to be sentenced to an illegal alien offender transition camp if the offender:

      (a) Is an illegal alien who can be released to the United States immigration and naturalization service for deportation at the time of the offender's release from the camp;

      (b) Is sentenced to a term of total confinement of not less than sixteen or more than thirty-six months;

      (c) Is eighteen years of age or older;

      (d) Has no current or prior convictions for any sex offenses or violent offenses other than drug offenses for manufacturing, possession, delivery, or intent to deliver a controlled substance; and

      (e) Agrees in writing as required by subsection (5) of this section to the terms and conditions for participation.

      (2) The length of the illegal alien offender transition camp program shall be at least one hundred twenty days and not more than one hundred eighty days.

      (3) If the sentencing judge determines that an offender is potentially eligible for the illegal alien offender transition camp and is likely to meet the requirements of subsection (6) of this section, the judge shall impose a sentence of total standard confinement within the standard range and shall recommend that the offender serve the sentence at an illegal alien offender transition camp. The sentence shall provide that the offender shall serve one day in the transition camp for every three days of total standard confinement. In sentencing an offender to the illegal alien offender transition camp, the court shall specify that: (a) Upon completion of the illegal alien offender transition camp program, the offender shall be released within ten days to the custody of the immigration and naturalization service to be deported to his or her native country; and (b) in the event an offender cannot be released to the custody of the immigration and naturalization service within ten days, the department may detain the offender in the illegal alien offender transition camp for up to sixty days.

      (4) The department may identify offenders under its jurisdiction who are or become eligible for the illegal alien offender transition camp and, with concurrence from the sentencing judge and the prosecuting attorney, may refer the offenders to the illegal alien offender transition camp and adjust time served as prescribed in subsection (2) of this section.

      (5) The department shall notify the immigration and naturalization service of all suspected illegal alien offenders under its jurisdiction and request that the immigration and naturalization service begin deportation proceedings as expeditiously as possible. The department, in cooperation with the immigration and naturalization service, shall seek accelerated hearings for all suspected illegal aliens under its jurisdiction to facilitate their removal from the country upon their release by the department as soon as possible.

      (6) An illegal alien offender who meets the eligibility requirements of subsection (1)(a) through (d) of this section shall be informed by the sentencing court or the department of his or her potential for participating in the illegal alien offender transition camp. The terms and conditions of the illegal alien offender transition camp shall be provided to the illegal alien offender, both verbally and in writing, in his or her native language. An illegal alien offender must agree in writing to the terms and conditions of the illegal alien offender transition camp at the time of sentencing or at the time of transfer to the camp.

      NEW SECTION. Sec. 22. A new section is added to chapter 72.09 RCW to read as follows:

      (1) The secretary shall establish, at each institution with an inmate population of more than one hundred, a corrections advisory team. The team shall consist of two representatives from management personnel, two representatives from personnel represented by an exclusive bargaining unit selected by those personnel, and not more than three persons from among the education or work programs operating within the institution. The secretary shall invite other groups to select a representative to serve on the team, including but not limited to the following:

      (a) The superior court judges in the county in which the institution is located;

      (b) The prosecuting attorney for the county in which the institution is located;

      (c) An organization whose primary purpose is legal representation of persons accused or convicted of crimes;

      (d) A sheriff or police chief whose jurisdiction includes or is in close proximity of the institution; and

      (e) An organization whose primary purpose is advocacy of the interests of crime victims.

      (2) The team shall have the following duties:

      (a) Review existing or proposed work and education programs for the purpose of commenting on the program's cost-effectiveness and impact on recidivism;

      (b) Suggest revisions in existing, or addition of new, programs in the institution; and

      (c) Identify cost-saving opportunities in institution operations.

      (3) The superintendent of each institution identified in this section shall annually prepare a report to the secretary on the work of the team in his or her institution. The report shall include the superintendent's response to recommendations made by the team. The secretary shall collect and forward the reports to the legislature not later than December 1 of each year, together with such recommendations as the secretary finds appropriate.

      (4) The secretary shall provide reasonably necessary support, within available funds, for the teams to carry out their duties under this section.

      (5) Members of a team shall be eligible for travel expenses and per diem under RCW 43.03.050 and 43.03.060.

      NEW SECTION. Sec. 23. A new section is added to chapter 72.09 RCW to read as follows:

      (1) There is hereby created a joint committee on corrections cost-efficiencies oversight. The committee shall consist of: (a) Two members of the senate appointed by the president of the senate, one of whom shall be a member of the majority party and one of whom shall be a member of the minority party; and (b) two members of the house of representatives appointed by the speaker of the house of representatives, one of whom shall be a member of the majority party and one of whom shall be a member of the minority party.

      (2) The committee shall elect a chair and a vice-chair. The chair shall be a member of the senate in even-numbered years and a member of the house of representatives in odd-numbered years.

      (3) The committee shall have the following powers and duties:

      (a) Review all reports required under section 28 of this act;

      (b) Review all reports and recommendations submitted by the corrections advisory teams under section 22 of this act;

      (c) Initiate or review studies relevant to the issues of corrections cost-efficiencies and programmatic improvements;

      (d) Review all rules proposed by the department of corrections to ensure consistency with the purpose of chapter . . ., Laws of 1995 (this act);

      (e) Periodically make recommendations to the legislature and the governor regarding corrections cost-efficiencies and programmatic improvements; and

      (f) By December 1, 1996, report to the legislature on the amount of actual and projected cost savings within the department during the 1995-97 biennium and report its further recommendations to address expenditure growth in the department.

      (4) The joint committee on corrections oversight shall terminate on July 1, 1997.

      NEW SECTION. Sec. 24. The legislature finds that the responsibility for criminal activity should fall squarely on the criminal. To the greatest extent possible society should not be expected to have to pay the price for crimes twice, once for the criminal activity and again by feeding, clothing, and housing the criminal. The corrections system should be the first place criminals are given the opportunity to be responsible for paying for their criminal act, not just through the loss of their personal freedom, but by making financial contributions to alleviate the pain and suffering of victims of crime.

      NEW SECTION. Sec. 25. A new section is added to chapter 72.09 RCW to read as follows:

      Each year the department shall transfer twenty-five percent of the total annual revenues and receipts received in each institutional betterment fund subaccount to the department of labor and industries for the purpose of providing direct benefits to crime victims through the crime victims' compensation program as outlined in chapter 7.68 RCW. This transfer takes priority over any expenditure of betterment funds and shall be reflected on the monthly financial statements of each institution's betterment fund subaccount.

      Any funds so transferred to the department of labor and industries shall be in addition to the crime victims' compensation amount provided in an omnibus appropriation bill. It is the intent of the legislature that the funds forecasted or transferred pursuant to this section shall not reduce the funding levels provided by appropriation.

      Sec. 26. RCW 7.68.090 and 1973 1st ex.s. c 122 s 9 are each amended to read as follows:

      The director shall establish such fund or funds, separate from existing funds, necessary to administer this chapter, and payment to these funds shall be from legislative appropriation, statutory provision, reimbursement and subrogation as provided in this chapter, and from any contributions or grants specifically so directed.

      Sec. 27. RCW 43.17.200 and 1983 c 204 s 4 are each amended to read as follows:

      All state agencies including all state departments, boards, councils, commissions, and quasi public corporations shall allocate, as a nondeductible item, out of any moneys appropriated for the original construction of any public building, an amount of one-half of one percent of the appropriation to be expended by the Washington state arts commission for the acquisition of works of art created by Washington state artists. The works of art may be placed on public lands, integral to or attached to a public building or structure, detached within or outside a public building or structure, part of a portable exhibition or collection, part of a temporary exhibition, or loaned or exhibited in other public facilities. In addition to the cost of the works of art the one-half of one percent of the appropriation as provided herein shall be used to provide for the administration of the visual arts program by the Washington state arts commission and all costs for installation of the works of art. For the purpose of this section building shall not include highway construction sheds, warehouses, or other buildings of a temporary nature.

      NEW SECTION. Sec. 28. The department of corrections shall conduct the following reviews and prepare the following reports:

      (1) The secretary shall review the feasibility and desirability of reducing the use of paid educational and vocational instructors by increasing the use of volunteer instructors and implementing technological efficiencies. Upon completion of the review, the secretary shall submit a report of the secretary's findings and recommendations to the legislature and the joint committee on corrections cost-efficiencies oversight by December 1, 1995.

      (2) The secretary shall seek federal funding for the incarceration of undocumented felons. The secretary shall also pursue amendments to the federal transfer treaty program to facilitate deportation of undocumented alien offenders, specifically current treaties that require voluntary participation by the offender and loss of jurisdiction by the sending agency. The secretary shall seek enforcement of and pursue amendments to current federal sanctions for alien reentry, specifically amendments to the allowance of at least two prior felony convictions and at least two prior deportations before indictment for reentry is considered. The secretary shall submit a report on the secretary's progress to the legislature and the joint committee on corrections cost-efficiencies oversight by December 1, 1995.

      (3) The secretary shall review current perimeter security technologies and designs that could minimize or eliminate the need for staffed perimeter guard towers at medium and maximum custody correctional institutions. Upon completion of the review, the secretary shall submit a report to the legislature and the joint committee on corrections cost-efficiencies oversight on the secretary's findings and recommendations by December 1, 1995.

      (4) The secretary shall review the feasibility and desirability of implementing a "hot bunking" or "stacking" system that would allow prison beds to be used on a rotational basis. The review shall include at least the following: (a) A fiscal analysis of the capital and operating costs of implementing a twelve-hour scheduled rotation where each prison cell and bed could be used by multiple inmates; and (b) an analysis of how the department would address safety issues that might arise from a rotation system that increases the amount of time inmates would spend out of their cells. Upon completion of the review, the secretary shall submit a report to the legislature and the joint committee on corrections cost-efficiencies oversight on the secretary's findings and recommendations by December 1, 1995.

      NEW SECTION. Sec. 29. The department shall cooperate in the preparation of the following reviews and reports:

      (1) The legislative budget committee shall review staffing ratios within the department. The review shall identify the ratio of management to nonmanagement staff and the distribution of management and nonmanagement staff throughout each of the department's divisions, institutions, and programs. Upon completion of the review, the legislative budget committee shall submit a report of its findings and recommendations to the legislature and the advisory team by December 1, 1995. If specific funding for the purpose of this subsection is not provided by June 30, 1995, in the omnibus appropriations act, this section is null and void.

      (2) The office of the state auditor shall review the department's budgeting process and operating budget request to the governor for the 1995-97 biennium. Upon completion of the review, the office of the state auditor shall submit a report of its findings and recommendations to the legislature and the advisory team by December 1, 1995. If specific funding for the purpose of this subsection is not provided by June 30, 1995, in the omnibus appropriations act, this section is null and void.

      (3) The correctional industries board of directors and the secretary shall jointly review all current and proposed education and vocational training programs provided by the department. The review shall identify whether the curriculum corresponds to current and proposed correctional industries jobs and whether the curriculum teaches skills relevant to employment opportunities inmates may qualify for after they are released. Upon completion of the review, the board and the secretary shall submit a joint report of their findings and recommendations to the legislature and the secretary by December 1, 1995.

      (4) The correctional industries board of directors shall review the feasibility and desirability of establishing a recreational, health, and fitness program that employs inmates to support department recreational, health, and fitness activities. Upon completion of the review, the board shall submit a report of its findings and recommendations to the legislature and the secretary by December 1, 1995.

      (5) The department of transportation shall review the feasibility and desirability of privatizing the department of corrections marine transportation fleet, operation, or both. The review shall include a comparison of department employee salaries with equivalent private marine positions salaries. Upon completion of the review, the department of transportation shall submit a report of its findings and recommendations to the legislature and the advisory team by December 1, 1995.

      (6) The office of financial management and the department of general administration shall jointly review the food planning model developed by the department of corrections for possible extrapolation to a uniform, state-wide planning, purchasing, and distribution of food and food products for state institutions, including but not limited to prisons, juvenile correctional institutions, and state hospitals. Upon completion of the review, the office of financial management and the department of general administration shall submit a joint report of their findings and recommendations to the legislature and the advisory team by December 1, 1995.

      (7) The printing and duplicating management center in the department of general administration shall review the feasibility and desirability of establishing as a class II correctional industry within one or more correctional institutions, a print shop and printers apprenticeship program. Upon completion of the review, the center shall submit a report of its findings and recommendations to the legislature and the secretary by December 1, 1995.

      NEW SECTION. Sec. 30. This act shall be known as the department of corrections cost-efficiency and inmate responsibility and accountability omnibus act.

      NEW SECTION. Sec. 31. 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.

      NEW SECTION. Sec. 32. If specific funding for the purpose of this act, referencing this act by bill number, is not provided by June 30, 1995, in the omnibus appropriations act, this act shall be null and void."


      Senator Hargrove moved that the following amendment by Senators Hargrove and Rasmussen to the Committee on Ways and Means striking amendment be adopted:

      On page 11, after line 2 insert the following:         

      "NEW SECTION. Sec. 12. A new section is added to chapter 72.09 RCW to read as follows:

      (1) Milk and milk products produced by correctional industries shall be consumed or used, to the greatest extent possible, within the correctional system. Milk and milk products surplus to such consumption or use may be sold to local correctional facilities. Raw, bulk milk may be disposed of as prescribed in RCW 72.09.100.

      (2) In order for correctional industries to dispose of milk or milk products in a manner other than provided for in subsection (1) of this section, correctional industries shall: (a) Market milk in accordance with the provisions applicable to producers under the federal milk marketing order of the United States department of agriculture, or its successor marketing arrangement; and, (b) dispose of milk and milk products processed by correctional industries as a fully regulated handler under the federal order, or its successor marketing arrangement."

      Debate ensued.

      The President declared the question before the Senate to be the adoption of the amendment by Senators Hargrove and Rasmussen on page 11, after line 2, to the Committee on Ways and Means striking amendment to Engrossed Substitute House Bill No. 2010.

      The motion by Senator Hargrove carried and the amendment to the committee striking amendment was adopted.

      The President declared the question before the Senate to be the adoption of the Committee on Ways and Means striking amendment, as amended, to Engrossed Second Substitute House Bill No. 2010.

      Debate ensued.

      The committee striking amendment, as amended, was adopted.


MOTIONS


      On motion of Senator Hargrove, the following title amendment was adopted:

      On page 1, line 1 of the title, after "corrections;" strike the remainder of the title and insert "amending RCW 72.09.010, 72.09.015, 72.09.020, 72.09.130, 4.24.130, 72.10.020, 72.10.010, 72.10.030, 9.94A.137, 7.68.090, and 43.17.200; reenacting and amending RCW 9.94A.120; adding new sections to chapter 72.09 RCW; adding new sections to chapter 72.10 RCW; adding a new section to chapter 9.94A RCW; creating new sections; and prescribing penalties."

      On motion of Senator Hargrove, the rules were suspended, Engrossed Second Substitute House Bill No. 2010, as amended by the Senate, was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      The President declared the question before the Senate to be the roll call on the final passage of Engrossed Second Substitute House Bill No. 2010, as amended by the Senate.


ROLL CALL


      The Secretary called the roll on the final passage of Engrossed Second Substitute House Bill No. 2010, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 48; Nays, 0; Absent, 0; Excused, 1.

      Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 48.

      Excused: Senator Anderson, C. - 1.

      ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 2010, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


SECOND READING


      SUBSTITUTE HOUSE BILL NO. 1220, by House Committee on Agriculture and Ecology (originally sponsored by Representatives Chandler, Mastin, Horn, Johnson, Kremen, Boldt, Sheahan and Huff)

 

Providing a SEPA exemption for air operating permits.


      The bill was read the second time.


MOTION


      On motion of Senator Fraser, the rules were suspended, Substitute House Bill No. 1220 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      Debate ensued.

      The President declared the question before the Senate to be the roll call on the final passage of Substitute House Bill No. 1220.


ROLL CALL


      The Secretary called the roll on the final passage of Substitute House Bill No. 1220 and the bill passed the Senate by the following vote: Yeas, 48; Nays, 0; Absent, 0; Excused, 1.

      Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 48.

      Excused: Senator Anderson, C. - 1.

      SUBSTITUTE HOUSE BILL NO. 1220, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


SECOND READING


      SUBSTITUTE HOUSE BILL NO. 1669, by House Committee on Finance (originally sponsored by Representatives Beeksma, Sehlin, Quall, Hargrove, Hymes and Costa)

 

Extending hotel/motel tax authorization for tourist promotional structures in cities located in counties composed of islands.


      The bill was read the second time.


MOTIONS


      Senator Haugen moved that the following Committee on Government Operations amendment be adopted:

      Strike everything after the enacting clause and insert the following:

      "Sec. 1. RCW 67.28.210 and 1994 c 290 s 1 are each amended to read as follows:

      All taxes levied and collected under RCW 67.28.180, 67.28.240, and 67.28.260 shall be credited to a special fund in the treasury of the county or city imposing such tax. Such taxes shall be levied only for the purpose of paying all or any part of the cost of acquisition, construction, or operating of stadium facilities, convention center facilities, performing arts center facilities, and/or visual arts center facilities or to pay or secure the payment of all or any portion of general obligation bonds or revenue bonds issued for such purpose or purposes under this chapter, or to pay for advertising, publicizing, or otherwise distributing information for the purpose of attracting visitors and encouraging tourist expansion when a county or city has imposed such tax for such purpose, or as one of the purposes hereunder, and until withdrawn for use, the moneys accumulated in such fund or funds may be invested in interest bearing securities by the county or city treasurer in any manner authorized by law. In addition such taxes may be used to develop strategies to expand tourism: PROVIDED, That any county, and any city within a county, bordering upon Grays Harbor may use the proceeds of such taxes for construction and maintenance of a movable tall ships tourist attraction in cooperation with a tall ships restoration society, except to the extent that such proceeds are used for payment of principal and interest on debt incurred prior to June 11, 1986: PROVIDED FURTHER, That any city or county may use the proceeds of such taxes for the refurbishing and operation of a steam railway for tourism promotion purposes: PROVIDED FURTHER, That any city bordering on the Pacific Ocean or on Baker Bay with a population of not less than eight hundred and the county in which such a city is located, a city wholly located on an island, a city bordering on the Skagit river with a population of not less than twenty thousand, or any city with a population of not less than ten thousand within a county made up entirely of islands may use the proceeds of such taxes for funding special events or festivals, or for the acquisition, construction, or operation of publicly owned tourist promotional infrastructures, structures, or buildings including but not limited to an ocean beach boardwalk, public docks, and viewing towers: PROVIDED FURTHER, That any county which imposes a tax under RCW 67.28.182 or any city with a population less than fifty thousand in such county may use the proceeds of the tax levied and collected under RCW 67.28.180 to provide public restroom facilities available to and intended for use by visitors: PROVIDED FURTHER, That any county made up entirely of islands, and any city or town that has a population less than five thousand, may use the proceeds of the tax levied and collected under RCW 67.28.180 to provide public restroom facilities available to and intended for use by visitors: PROVIDED FURTHER, That any city or county may use the proceeds of such taxes for funding a civic festival, if the following conditions are met: The festival is a community-wide event held not more than once annually; the festival is approved by the city, town, or county in which it is held; the festival is sponsored by an exempt organization defined in section 501(c)(3), (4), or (6) of the federal internal revenue code; the festival provides family-oriented events suiting a broad segment of the community; and the proceeds of such taxes are used solely for advertising and promotional materials intended to attract overnight visitors.

      Sec. 2. RCW 67.28.270 and 1991 c 357 s 4 are each amended to read as follows:

      In addition to the other uses authorized in this chapter, any city with a population of not less than one thousand people located on one of the San Juan islands or the county within which such city is located may impose the tax as provided in RCW 67.28.180, and use the ((tax)) proceeds from that tax as provided herein for the acquisition, construction, or operation of publicly owned facilities that are used either for county fairs occurring no more than once a year and not extending over a period of more than seven days or to mitigate the impacts of tourism. Mitigation may include paying all or any part of the cost of acquisition, construction, or operation of public information and educational facilities designed to inform visitors of the historical, cultural, ecological, and environmental resources of the county; of overnight or day use parks used by visitors; of kayak and canoe access to public tidelands; of rest, information, and assembly areas for bicycle visitors; of special signage to inform visitors of local points of interest; and of sport and recreational facilities that provide activities of interest to visitors."


      On motion of Senator Haugen, the following amendments to the Committee on Government Operations striking amendment were considered simultaneously and were adopted:

      On page 1, line 35 of the amendment, after "located" strike ", a city wholly located on an island"

      On page 2, line 1 of the amendment, after "city" strike "with a population of not less than ten thousand"


MOTION


      On motion of Senator Haugen, the following amendment to the Committee on Government Operations striking amendment was adopted:

      On page 3, line 1 of the amendment, after "county; of" strike "overnight or"

      The President declared the question before the Senate to be the adoption of the Committee on Government Operations striking amendment, as amended, to Substitute House Bill No. 1669.

      The committee striking amendment, as amended, was adopted.


MOTIONS


      On motion of Senator Haugen, the following title amendment was adopted:

      On page 1, line 2 of the title, after "structures;" strike the remainder of the title and insert "and amending RCW 67.28.210 and 67.28.270."

      On motion of Senator Haugen, the rules were suspended, Substitute House Bill No. 1669, as amended by the Senate, was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      The President declared the question before the Senate to be the roll call on the final passage of Substitute House Bill No. 1669, as amended by the Senate.

ROLL CALL


      The Secretary called the roll on the final passage of Substitute House Bill No. 1669, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 48; Nays, 0; Absent, 0; Excused, 1.

      Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 48.

      Excused: Senator Anderson, C. - 1.

      SUBSTITUTE HOUSE BILL NO. 1669, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


SECOND READING


      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1730, by House Committee on Commerce and Labor (originally sponsored by Representative Benton)

 

Revising provisions regarding interest arbitration for law enforcement officers employed by cities, towns, or counties.


      The bill was read the second time.


MOTIONS


      Senator Pelz moved that the following Committee on Ways and Means amendment be adopted:

      Strike everything after the enacting clause and insert the following:

      "Sec. 1. RCW 41.56.030 and 1993 c 398 s 1, 1993 c 397 s 1, and 1993 c 379 s 302 are each reenacted and amended to read as follows:

      As used in this chapter:

      (1) "Public employer" means any officer, board, commission, council, or other person or body acting on behalf of any public body governed by this chapter, or any subdivision of such public body. For the purposes of this section, the public employer of district court or superior court employees for wage-related matters is the respective county legislative authority, or person or body acting on behalf of the legislative authority, and the public employer for nonwage-related matters is the judge or judge's designee of the respective district court or superior court.

      (2) "Public employee" means any employee of a public employer except any person (a) elected by popular vote, or (b) appointed to office pursuant to statute, ordinance or resolution for a specified term of office by the executive head or body of the public employer, or (c) whose duties as deputy, administrative assistant or secretary necessarily imply a confidential relationship to the executive head or body of the applicable bargaining unit, or any person elected by popular vote or appointed to office pursuant to statute, ordinance or resolution for a specified term of office by the executive head or body of the public employer, or (d) who is a personal assistant to a district court judge, superior court judge, or court commissioner. For the purpose of (d) of this subsection, no more than one assistant for each judge or commissioner may be excluded from a bargaining unit.

      (3) "Bargaining representative" means any lawful organization which has as one of its primary purposes the representation of employees in their employment relations with employers.

      (4) "Collective bargaining" means the performance of the mutual obligations of the public employer and the exclusive bargaining representative to meet at reasonable times, to confer and negotiate in good faith, and to execute a written agreement with respect to grievance procedures and collective negotiations on personnel matters, including wages, hours and working conditions, which may be peculiar to an appropriate bargaining unit of such public employer, except that by such obligation neither party shall be compelled to agree to a proposal or be required to make a concession unless otherwise provided in this chapter. In the case of the Washington state patrol, "collective bargaining" shall not include wages and wage-related matters.

      (5) "Commission" means the public employment relations commission.

      (6) "Executive director" means the executive director of the commission.

      (7)(((a) Until July 1, 1995, "uniformed personnel" means: (i) Law enforcement officers as defined in RCW 41.26.030 of cities with a population of fifteen thousand or more or law enforcement officers employed by the governing body of any county with a population of seventy thousand or more; (ii) fire fighters as that term is defined in RCW 41.26.030; (iii) correctional employees who are uniformed and nonuniformed, commissioned and noncommissioned security personnel employed in a jail as defined in RCW 70.48.020(5), by a county with a population of seventy thousand or more, and who are trained for and charged with the responsibility of controlling and maintaining custody of inmates in the jail and safeguarding inmates from other inmates; (iv) security forces established under RCW 43.52.520; (v) employees of a port district in a county with a population of one million or more whose duties include crash fire rescue or other fire fighting duties; (vi) employees of fire departments of public employers who dispatch exclusively either fire or emergency medical services, or both; or (vii) employees in the several classes of advanced life support technicians, as defined in RCW 18.71.200, who are employed by a public employer.

      (b) Beginning on July 1, 1995,)) "Uniformed personnel" means: (a)(i) Until July 1, 1997, law enforcement officers as defined in RCW 41.26.030 employed by the governing body of any city or town with a population of seven thousand five hundred or more and law enforcement officers employed by the governing body of any county with a population of thirty-five thousand or more; (ii) beginning on July 1, 1997, law enforcement officers as defined in RCW 41.26.030 employed by the governing body of any city or town with a population of two thousand five hundred or more and law enforcement officers employed by the governing body of any county with a population of eight thousand or more; (b) correctional employees who are uniformed and nonuniformed, commissioned and noncommissioned security personnel employed in a jail as defined in RCW 70.48.020(5), by a county with a population of seventy thousand or more, and who are trained for and charged with the responsibility of controlling and maintaining custody of inmates in the jail and safeguarding inmates from other inmates; (((iii))) (c) general authority Washington peace officers as defined in RCW 10.93.020 employed by a port district in a county with a population of one million or more; (((iv))) (d) security forces established under RCW 43.52.520; (((v))) (e) fire fighters as that term is defined in RCW 41.26.030; (((vi))) (f) employees of a port district in a county with a population of one million or more whose duties include crash fire rescue or other fire fighting duties; (((vii))) (g) employees of fire departments of public employers who dispatch exclusively either fire or emergency medical services, or both; or (((viii))) (h) employees in the several classes of advanced life support technicians, as defined in RCW 18.71.200, who are employed by a public employer.

      (8) "Institution of higher education" means the University of Washington, Washington State University, Central Washington University, Eastern Washington University, Western Washington University, The Evergreen State College, and the various state community colleges.

      Sec. 2. RCW 41.56.465 and 1993 c 398 s 3 are each amended to read as follows:

      (1) In making its determination, the panel shall be mindful of the legislative purpose enumerated in RCW 41.56.430 and, as additional standards or guidelines to aid it in reaching a decision, it shall take into consideration the following factors:

      (((1))) (a) The constitutional and statutory authority of the employer;

      (((2))) (b) Stipulations of the parties;

      (((3)(a))) (c)(i) For employees listed in RCW 41.56.030(7)(((b)(i))) (a) through (((iii))) (d), comparison of the wages, hours, and conditions of employment of personnel involved in the proceedings with the wages, hours, and conditions of employment of like personnel of like employers of similar size on the west coast of the United States;

      (((b))) (ii) For employees listed in RCW 41.56.030(7)(((b)(iv))) (e) through (((vii))) (h), comparison of the wages, hours, and conditions of employment of personnel involved in the proceedings with the wages, hours, and conditions of employment of like personnel of public fire departments of similar size on the west coast of the United States. However, when an adequate number of comparable employers exists within the state of Washington, other west coast employers may not be considered;

      (((4))) (d) The average consumer prices for goods and services, commonly known as the cost of living;

      (((5))) (e) Changes in any of the circumstances under ((subsections (1))) (a) through (((4))) (d) of this ((section)) subsection during the pendency of the proceedings; and

      (((6))) (f) Such other factors, not confined to the factors under ((subsections (1))) (a) through (((5))) (e) of this ((section)) subsection, that are normally or traditionally taken into consideration in the determination of wages, hours, and conditions of employment. For those employees listed in RCW 41.56.030(7)(((b)(i))) (a) who are employed by the governing body of a city or town with a population of less than fifteen thousand, or a county with a population of less than seventy thousand, consideration must also be given to regional differences in the cost of living.

      (2) Subsection (1)(c) of this section may not be construed to authorize the panel to require the employer to pay, directly or indirectly, the increased employee contributions resulting from chapter 502, Laws of 1993 or chapter 517, Laws of 1993 as required under chapter 41.26 RCW.

      NEW SECTION. Sec. 3. The senate committee on ways and means and the house of representatives committee on appropriations shall jointly compile a report to the legislature by December 15, 1996, which shall analyze and review all arbitration awards made under chapter 41.56 RCW since enactment of binding arbitration procedures for uniformed personnel in 1973. This review shall include a brief procedural history of each arbitration including the date, the identity of the parties, the evidence and arguments presented by the parties, the names of the members of the arbitration panel, and the findings and final determination of the issues in dispute.

      NEW SECTION. Sec. 4. RCW 41.56.460 and 1993 c 517 s 10, 1993 c 502 s 5, 1993 c 398 s 2, & 1993 c 397 s 2 are each repealed.

      NEW SECTION. Sec. 5. This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect July 1, 1995."


      Senator Snyder moved that the following amendment to the Committee on Ways and Means striking amendment be adopted:

      On page 3, line 1, after "or more" add "and with ten or more law enforcement officers within the bargaining unit" and on line 3, after "more" add "and with twenty or more law enforcement officers within the bargaining unit"


MOTION


      On motion of Senator Pelz, further consideration of Engrossed Substitute House Bill No. 1730 was deferred.


SECOND READING


      SUBSTITUTE HOUSE BILL NO. 1110, by House Committee on Natural Resources (originally sponsored by Representatives Buck, Fuhrman, Pennington, Silver, Johnson, Brumsickle, Stevens, Hargrove and Benton)

 

Prohibiting the department of natural resources from entering into certain agreements with the federal government without prior legislative and gubernatorial approval.


      The bill was read the second time.


MOTION


      Senator Drew moved that the following Committee on Natural Resources amendment not be adopted:

      Strike everything after the enacting clause and insert the following:

      "NEW SECTION. Sec. 1. It is the intent of this act to establish oversight by the legislature regarding long-range commitments made by the department of natural resources in its management of state forest lands, particularly commitments made with the federal government pursuant to the federal endangered species act. It is the legislature's authority to set overall policy for the management of the lands of the state.

      NEW SECTION. Sec. 2. A new section is added to chapter 43.30 RCW to read as follows:

      The department of natural resources is required to consult with the standing committees on natural resources of the legislature before entering into any agreement or making any commitment intended to induce the issuance of a permit from the federal government which, individually or together with any other agreement or commitment, affects more than ten thousand acres of public and/or state forest land for five or more years. Agreements and commitments to which this section applies include but are not limited to conservation plans and incidental take permits under 16 U.S.C. Sec. 1539, and all other agreements, management plans, and "no-take" or similar letters relating to the federal endangered species act. The department shall provide the legislature with copies of all proposed plans, agreements, and commitments, together with an analysis demonstrating that the proposed agreement or commitment is in the best interests of the trust beneficiaries."

      The President declared the question before the Senate to be the motion by Senator Drew that the Committee on Natural Resources striking amendment to Substitute House Bill No. 1110 not be adopted.

      The motion by Senator Drew carried and the committee striking amendment was not adopted.


MOTION


      Senator Drew moved that the following amendment by Senators Drew, Hargrove, Oke, Ann Anderson and Rinehart be adopted:

      Strike everything after the enacting clause and insert the following:

      "NEW SECTION. Sec. 1. A new section is added to chapter 43.30 RCW to read as follows:

      The legislature hereby establishes its oversight authority regarding long-range commitments made by the department of natural resources in the department's management of state forest lands, with respect to commitments made with the federal government pursuant to the federal endangered species act. The legislature shall set overall policy for the management of the lands of the state.

      NEW SECTION. Sec. 2. A new section is added to chapter 43.30 RCW to read as follows:

      The department of natural resources shall report to the standing committees on natural resources of the legislature before entering into any agreement or making any commitment intended to induce the issuance of a permit from the federal government which, individually or together with any other agreement or commitment, affects more than ten thousand acres of public and/or state forest land for five or more years. Agreements and commitments to which this section applies include but are not limited to conservation plans and incidental take permits under 16 U.S.C. Sec. 1539, and all other agreements, management plans, and "no-take" or similar letters relating to the federal endangered species act. The department shall provide the standing committees with copies of all proposed plans, agreements, and commitments, together with an analysis demonstrating that the proposed agreement or commitment is in the best interests of the trust beneficiaries.

      The department shall submit the following with each biennial budget request:

      (1) An analysis of the impacts of any agreement or contract on state lands;

      (2) Detailed funding requirements to implement the agreement or contract in the next biennium; and

      (3) An accounting of expenditures during the current biennium with respect to any agreement or contract.

      The legislature shall review the department's funding request and funds appropriated shall be separate budget items. The legislature shall ensure that the appropriations made to implement any agreements or contracts are in conformity with Article 8, section 4 of the state Constitution and chapter 43.88 RCW.

      NEW SECTION. Sec. 3. A new section is added to chapter 43.88 RCW to read as follows:

      The biennial budget request of the department of natural resources must comply with section 2 of this act."

      Debate ensued.

      The President declared the question before the Senate to be the adoption of the striking amendment by Senators Drew, Hargrove, Oke Ann Anderson and Rinehart to Substitute House Bill No. 1110.

      The motion by Senator Drew carried and the striking amendment was adopted.


MOTIONS


      On motion of Senator Drew, the following title amendment was adopted:

      On page 1, line 1 of the title, after "resources;" strike the remainder of the title and insert "adding new sections to chapter 43.30 RCW; and adding a new section to chapter 43.88 RCW."

      On motion of Senator Drew, the rules were suspended, Substitute House Bill No. 1110, as amended by the Senate, was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      The President declared the question before the Senate to be the roll call on the final passage of Substitute House Bill No. 1110, as amended by the Senate.


ROLL CALL


      The Secretary called the roll on the final passage of Substitute House Bill No. 1110, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 48; Nays, 0; Absent, 0; Excused, 1.

      Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 48.

      Excused: Senator Anderson, C. - 1.

      SUBSTITUTE HOUSE BILL NO. 1110, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


      There being no objection, the Senate resumed consideration of Engrossed Substitute House Bill No. 1730 and the pending amendment by Senator Snyder on page 3, lines 1 and 3, to the Committee on Ways and Means striking amendment, deferred earlier today.

      The President declared the question before the Senate to be the adoption of the amendment by Senator Snyder on page 3, lines 1 and 3, to the Committee on Ways and Means striking amendment to Engrossed Substitute House Bill No. 1730.

      Debate ensued.

      Senator Smith demanded a roll call and the demand was sustained.

      The President declared the question before the Senate to the roll call on the adoption of the amendment by Senator Snyder on page 3, lines 1 and 3, to the Committee on Ways and Means striking amendment to Engrossed Substitute House Bill No. 1730.


ROLL CALL


      The Secretary called the roll and the amendment to the committee striking amendment was not adopted by the following vote: Yeas, 22; Nays, 26; Absent, 0; Excused, 1.

      Voting yea: Senators Anderson, A., Cantu, Deccio, Finkbeiner, Hale, Haugen, Hochstatter, Johnson, Long, Loveland, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Prince, Rasmussen, Sellar, Snyder, West and Wood - 22.

      Voting nay: Senators Bauer, Drew, Fairley, Franklin, Fraser, Gaspard, Hargrove, Heavey, Kohl, McAuliffe, Owen, Palmer, Pelz, Prentice, Quigley, Rinehart, Roach, Schow, Sheldon, Smith, Spanel, Strannigan, Sutherland, Swecker, Winsley and Wojahn - 26.

      Excused: Senator Anderson, C. - 1.


MOTION


      Senator Newhouse moved that the following amendment by Senators Newhouse, Morton and Sutherland to the Committee on Ways and Means striking amendment be adopted:

      On page 3, line 2, after "population of" strike "eight" and insert "ten"

      Debate ensued.

      The President declared the question before the Senate to be the adoption of the amendment by Senators Newhouse, Morton and Sutherland on page 3, line 2, to the Committee on Ways and Means striking amendment to Engrossed Substitute House Bill No. 1730.

      The motion by Senator Newhouse carried and the amendment to the committee amendment was adopted.


MOTION


      On motion of Senator Pelz, the following amendments to the Committee on Ways and Means striking amendment were considered simultaneously and were adopted:

      On page 4, line 31 of the committee amendment, after "made" insert "involving law enforcement officers"

      On page 4, line 32 of the committee amendment, after "for" strike "uniformed personnel" and insert "law enforcement officers"

      The President declared the question before the Senate to be the adoption of the Committee on Ways and Means striking amendment, as amended, to Engrossed Substitute House Bill No. 1730.

      The committee amendment, as amended, was adopted.


MOTION


      On motion of Senator Pelz, the following title amendment was adopted:

      On page 1, line 2 of the title, after "counties;" strike the remainder of the title and insert "amending RCW 41.56.465; reenacting and amending RCW 41.56.030; creating a new section; repealing RCW 41.56.460; providing an effective date; and declaring an emergency."

      On motion of Senator Pelz, the rules were suspended, Engrossed Substitute House Bill No. 1730, as amended by the Senate, was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      The President declared the question before the Senate to be the roll call on the final passage of Substitute House Bill No. 1730, as amended by the Senate.


ROLL CALL


      The Secretary called the roll on the final passage of Substitute House Bill No. 1730, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 36; Nays, 12; Absent, 0; Excused, 1.

      Voting yea: Senators Anderson, A., Bauer, Drew, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Johnson, Kohl, Long, McAuliffe, McDonald, Oke, Owen, Palmer, Pelz, Prentice, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Spanel, Strannigan, Sutherland, Swecker, Winsley and Wood - 36.

      Voting nay: Senators Cantu, Deccio, Hochstatter, Loveland, McCaslin, Morton, Moyer, Newhouse, Prince, Snyder, West and Wojahn - 12.

      Excused: Senator Anderson, C. - 1.

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1730, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


SECOND READING


      ENGROSSED HOUSE BILL NO. 1305, by Representatives Johnson, Sheldon, Reams, Mastin, L. Thomas and Basich

 

Revising restrictions on growth outside of urban growth areas.


      The bill was read the second time.


MOTION


      Senator Haugen moved that the following Committee on Government Operations amendment not be adopted:

      Strike everything after the enacting clause and insert the following:

      "Sec. 1. RCW 36.70A.110 and 1994 c 249 s 27 are each amended to read as follows:

      (1) Each county that is required or chooses to plan under RCW 36.70A.040 shall designate an urban growth area or areas within which urban growth shall be encouraged and outside of which growth can occur only if it is not urban in nature. Each city that is located in such a county shall be included within an urban growth area. An urban growth area may include more than a single city. An urban growth area may include territory that is located outside of a city only if such territory already is characterized by urban growth whether or not the urban growth area includes a city, or is adjacent to territory already characterized by urban growth, or is a designated fully contained community as defined by RCW 36.70A.350.

      (2) Based upon the ((population)) growth management ((planning)) population projection made for the county by the office of financial management, the urban growth areas in the county shall include areas and densities sufficient to ((permit)) allow for the urban growth that is projected to occur in the county for the succeeding twenty-year period. Each urban growth area shall permit a range of urban densities and shall include greenbelt and open space areas. Local circumstances, traditions, and identity will result in unique choices and solutions by each county and each city within it. Accordingly, cities and counties enjoy broad discretion in their comprehensive plans to make many specific choices about how growth is to be accommodated. These choices include the specific location of particular land uses and development intensities, community character and design, spending priorities, level of service standards, financing mechanisms, and site development standards. While such policy choices may be included in the sizing or configuration of the urban growth area, they must be made in a measurable way and with sufficient documentation as to the rationale. While objective analysis is essential, counties and cities also have the latitude to consider subjective factors, such as a land supply market factor and the preferred vision that each county and city expresses in its comprehensive plan. The explicit articulation and balancing of these factors is required when designating urban growth areas.

      Within one year of July 1, 1990, each county that as of June 1, 1991, was required or chose to plan under RCW 36.70A.040, shall begin consulting with each city located within its boundaries and each city shall propose the location of an urban growth area. Within sixty days of the date the county legislative authority of a county adopts its resolution of intention or of certification by the office of financial management, all other counties that are required or choose to plan under RCW 36.70A.040 shall begin this consultation with each city located within its boundaries. The county shall attempt to reach agreement with each city on the location of an urban growth area within which the city is located. If such an agreement is not reached with each city located within the urban growth area, the county shall justify in writing why it so designated the area an urban growth area. A city may object formally with the department over the designation of the urban growth area within which it is located. Where appropriate, the department shall attempt to resolve the conflicts, including the use of mediation services.

      (3) Urban growth should be located first in areas already characterized by urban growth that have adequate existing public facility and service capacities to serve such development, ((and)) second in areas already characterized by urban growth that will be served adequately by a combination of both existing public facilities and services and any additional needed public facilities and services that are provided by either public or private sources, and third in areas adjacent to territory already characterized by urban growth that will be served adequately by a combination of both existing public facilities and services and any additional needed public facilities and services that are provided by either public or private sources. Urban growth may also be located in designated fully contained communities as defined by RCW 36.70A.350. Further, in general it is appropriate that urban ((government)) governmental services be primarily provided by cities, and urban ((government)) governmental services should not be ((provided)) extended to or expanded in rural areas except in those limited circumstances shown to be necessary to protect basic public health and safety and the environment and when such services are financially supportable at rural densities and do not permit urban development.

      (4) On or before October 1, 1993, each county that was initially required to plan under RCW 36.70A.040(1) shall adopt development regulations designating interim urban growth areas under this chapter. Within three years and three months of the date the county legislative authority of a county adopts its resolution of intention or of certification by the office of financial management, all other counties that are required or choose to plan under RCW 36.70A.040 shall adopt development regulations designating interim urban growth areas under this chapter. Adoption of the interim urban growth areas may only occur after public notice; public hearing; and compliance with the state environmental policy act, chapter 43.21C RCW, and RCW 36.70A.110. Such action may be appealed to the appropriate growth management hearings board under RCW 36.70A.280. Final urban growth areas shall be adopted at the time of comprehensive plan adoption under this chapter.

      (5) Each county shall include designations of urban growth areas in its comprehensive plan.

      (6) Nothing in this chapter shall prevent a county with a population greater than one million from including as part of the urban growth area established under this section any master planned development or fully contained community which prior to July 1, 1990, both: (a) Was designated or zoned potentially for urban growth activity under an officially adopted county plan; and (b) had a development application submitted to the county implementing that urban designation.

      Sec. 2. RCW 36.70A.070 and 1990 1st ex.s. c 17 s 7 are each amended to read as follows:

      The comprehensive plan of a county or city that is required or chooses to plan under RCW 36.70A.040 shall consist of a map or maps, and descriptive text covering objectives, principles, and standards used to develop the comprehensive plan. The plan shall be an internally consistent document and all elements shall be consistent with the future land use map. A comprehensive plan shall be adopted and amended with public participation as provided in RCW 36.70A.140.

      Each comprehensive plan shall include a plan, scheme, or design for each of the following:

      (1) A land use element designating the proposed general distribution and general location and extent of the uses of land, where appropriate, for agriculture, timber production, housing, commerce, industry, recreation, open spaces, public utilities, public facilities, and other land uses. The land use element shall include population densities, building intensities, and estimates of future population growth. The land use element shall provide for protection of the quality and quantity of ground water used for public water supplies. Where applicable, the land use element shall review drainage, flooding, and storm water run-off in the area and nearby jurisdictions and provide guidance for corrective actions to mitigate or cleanse those discharges that pollute waters of the state, including Puget Sound or waters entering Puget Sound.

      (2) A housing element recognizing the vitality and character of established residential neighborhoods that: (a) Includes an inventory and analysis of existing and projected housing needs; (b) includes a statement of goals, policies, and objectives for the preservation, improvement, and development of housing; (c) identifies sufficient land for housing, including, but not limited to, government-assisted housing, housing for low-income families, manufactured housing, multifamily housing, and group homes and foster care facilities; and (d) makes adequate provisions for existing and projected needs of all economic segments of the community.

      (3) A capital facilities plan element consisting of: (a) An inventory of existing capital facilities owned by public entities, showing the locations and capacities of the capital facilities; (b) a forecast of the future needs for such capital facilities; (c) the proposed locations and capacities of expanded or new capital facilities; (d) at least a six-year plan that will finance such capital facilities within projected funding capacities and clearly identifies sources of public money for such purposes; and (e) a requirement to reassess the land use element if probable funding falls short of meeting existing needs and to ensure that the land use element, capital facilities plan element, and financing plan within the capital facilities plan element are coordinated and consistent.

      (4) A utilities element consisting of the general location, proposed location, and capacity of all existing and proposed utilities, including, but not limited to, electrical lines, telecommunication lines, and natural gas lines.

      (5) Counties shall include a rural element including lands that are not designated for urban growth, agriculture, forest, or mineral resources. The rural element shall permit appropriate land uses that are compatible with the rural character of such lands and provide for a variety of rural densities and uses and may also provide for clustering, density transfer, design guidelines, conservation easements, and other innovative techniques that will accommodate appropriate rural uses.

      (6) A transportation element that implements, and is consistent with, the land use element. The transportation element shall include the following subelements:

      (a) Land use assumptions used in estimating travel;

      (b) Facilities and services needs, including:

      (i) An inventory of air, water, and land transportation facilities and services, including transit alignments, to define existing capital facilities and travel levels as a basis for future planning;

      (ii) Level of service standards for all arterials and transit routes to serve as a gauge to judge performance of the system. These standards should be regionally coordinated;

      (iii) Specific actions and requirements for bringing into compliance any facilities or services that are below an established level of service standard;

      (iv) Forecasts of traffic for at least ten years based on the adopted land use plan to provide information on the location, timing, and capacity needs of future growth;

      (v) Identification of system expansion needs and transportation system management needs to meet current and future demands;

      (c) Finance, including:

      (i) An analysis of funding capability to judge needs against probable funding resources;

      (ii) A multiyear financing plan based on the needs identified in the comprehensive plan, the appropriate parts of which shall serve as the basis for the six-year street, road, or transit program required by RCW 35.77.010 for cities, RCW 36.81.121 for counties, and RCW 35.58.2795 for public transportation systems;

      (iii) If probable funding falls short of meeting identified needs, a discussion of how additional funding will be raised, or how land use assumptions will be reassessed to ensure that level of service standards will be met;

      (d) Intergovernmental coordination efforts, including an assessment of the impacts of the transportation plan and land use assumptions on the transportation systems of adjacent jurisdictions;

      (e) Demand-management strategies.

      After adoption of the comprehensive plan by jurisdictions required to plan or who choose to plan under RCW 36.70A.040, local jurisdictions must adopt and enforce ordinances which prohibit development approval if the development causes the level of service on a transportation facility to decline below the standards adopted in the transportation element of the comprehensive plan, unless transportation improvements or strategies to accommodate the impacts of development are made concurrent with the development. These strategies may include increased public transportation service, ride sharing programs, demand management, and other transportation systems management strategies. For the purposes of this subsection (6) "concurrent with the development" shall mean that improvements or strategies are in place at the time of development, or that a financial commitment is in place to complete the improvements or strategies within six years.

      The transportation element described in this subsection, and the six-year plans required by RCW 35.77.010 for cities, RCW 36.81.121 for counties, and RCW 35.58.2795 for public transportation systems, must be consistent.

      NEW SECTION. Sec. 3. No comprehensive plan adopted or amended before the effective date of this act may be considered to be in noncompliance with RCW 36.70A.070 or 36.70A.110, as in effect before their amendment by this act, if the comprehensive plan is in compliance with RCW 36.70A.070 and 36.70A.110 as amended by this act.

      NEW SECTION. Sec. 4. This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect immediately."

      The President declared the question before the Senate to be the motion by Senator Haugen that the Committee on Government Operations striking amendment to Engrossed House Bill No. 1305 not be adopted.

      The motion by Senator Haugen carried and the committee striking amendment was not adopted.


MOTIONS


      Senator Haugen moved that the following amendment by Senators Haugen, Owen, Winsley, Hargrove, McCaslin and Snyder be adopted:

      Strike everything after the enacting clause and insert the following:

      "Sec. 1. RCW 36.70A.110 and 1994 c 249 s 27 are each amended to read as follows:

      (1) Each county that is required or chooses to plan under RCW 36.70A.040 shall designate an urban growth area or areas within which urban growth shall be encouraged and outside of which growth can occur only if it is not urban in nature. Each city that is located in such a county shall be included within an urban growth area. An urban growth area may include more than a single city. An urban growth area may include territory that is located outside of a city only if such territory already is characterized by urban growth whether or not the urban growth area includes a city, or is adjacent to territory already characterized by urban growth, or is a designated new fully contained community as defined by RCW 36.70A.350.

      (2) Based upon the ((population)) growth management ((planning)) population projection made for the county by the office of financial management, the urban growth areas in the county shall include areas and densities sufficient to permit the urban growth that is projected to occur in the county for the succeeding twenty-year period. Each urban growth area shall permit urban densities and shall include greenbelt and open space areas. An urban growth area determination may include a reasonable land market supply factor and shall permit a range of urban densities and uses. In determining this market factor, cities and counties may consider local circumstances. Cities and counties have discretion in their comprehensive plans to make many choices about accommodating growth.

      Within one year of July 1, 1990, each county that as of June 1, 1991, was required or chose to plan under RCW 36.70A.040, shall begin consulting with each city located within its boundaries and each city shall propose the location of an urban growth area. Within sixty days of the date the county legislative authority of a county adopts its resolution of intention or of certification by the office of financial management, all other counties that are required or choose to plan under RCW 36.70A.040 shall begin this consultation with each city located within its boundaries. The county shall attempt to reach agreement with each city on the location of an urban growth area within which the city is located. If such an agreement is not reached with each city located within the urban growth area, the county shall justify in writing why it so designated the area an urban growth area. A city may object formally with the department over the designation of the urban growth area within which it is located. Where appropriate, the department shall attempt to resolve the conflicts, including the use of mediation services.

      (3) Urban growth should be located first in areas already characterized by urban growth that have adequate existing public facility and service capacities to serve such development, ((and)) second in areas already characterized by urban growth that will be served adequately by a combination of both existing public facilities and services and any additional needed public facilities and services that are provided by either public or private sources, and third in the remaining portions of the urban growth areas. Urban growth may also be located in designated new fully contained communities as defined by RCW 36.70A.350. ((Further, it is))

      (4) In general, cities are the units of local government most appropriate ((that)) to provide urban ((government)) governmental services ((be provided by cities, and)). In general, it is not appropriate that urban ((government)) governmental services ((should not)) be ((provided)) extended to or expanded in rural areas except in those limited circumstances shown to be necessary to protect basic public health and safety and the environment and when such services are financially supportable at rural densities and do not permit urban development.

      (((4))) (5) On or before October 1, 1993, each county that was initially required to plan under RCW 36.70A.040(1) shall adopt development regulations designating interim urban growth areas under this chapter. Within three years and three months of the date the county legislative authority of a county adopts its resolution of intention or of certification by the office of financial management, all other counties that are required or choose to plan under RCW 36.70A.040 shall adopt development regulations designating interim urban growth areas under this chapter. Adoption of the interim urban growth areas may only occur after public notice; public hearing; and compliance with the state environmental policy act, chapter 43.21C RCW, and RCW 36.70A.110. Such action may be appealed to the appropriate growth management hearings board under RCW 36.70A.280. Final urban growth areas shall be adopted at the time of comprehensive plan adoption under this chapter.

      (((5))) (6) Each county shall include designations of urban growth areas in its comprehensive plan.

      (7) Any county with a population greater than one million may include as part of its urban growth areas established under this section any new fully contained community or planned development where the criteria for a new fully contained community under RCW 36.70A.350(1) are met and which prior to July 1, 1990, both: (a) Was designated or zoned potentially for urban growth activity under an officially adopted county plan; and (b) had a development application submitted to the county implementing that urban designation.

      Sec. 2. RCW 36.70A.070 and 1990 1st ex.s. c 17 s 7 are each amended to read as follows:

      The comprehensive plan of a county or city that is required or chooses to plan under RCW 36.70A.040 shall consist of a map or maps, and descriptive text covering objectives, principles, and standards used to develop the comprehensive plan. The plan shall be an internally consistent document and all elements shall be consistent with the future land use map. A comprehensive plan shall be adopted and amended with public participation as provided in RCW 36.70A.140.

      Each comprehensive plan shall include a plan, scheme, or design for each of the following:

      (1) A land use element designating the proposed general distribution and general location and extent of the uses of land, where appropriate, for agriculture, timber production, housing, commerce, industry, recreation, open spaces, public utilities, public facilities, and other land uses. The land use element shall include population densities, building intensities, and estimates of future population growth. The land use element shall provide for protection of the quality and quantity of ground water used for public water supplies. Where applicable, the land use element shall review drainage, flooding, and storm water run-off in the area and nearby jurisdictions and provide guidance for corrective actions to mitigate or cleanse those discharges that pollute waters of the state, including Puget Sound or waters entering Puget Sound.

      (2) A housing element recognizing the vitality and character of established residential neighborhoods that: (a) Includes an inventory and analysis of existing and projected housing needs; (b) includes a statement of goals, policies, and objectives for the preservation, improvement, and development of housing; (c) identifies sufficient land for housing, including, but not limited to, government-assisted housing, housing for low-income families, manufactured housing, multifamily housing, and group homes and foster care facilities; and (d) makes adequate provisions for existing and projected needs of all economic segments of the community.

      (3) A capital facilities plan element consisting of: (a) An inventory of existing capital facilities owned by public entities, showing the locations and capacities of the capital facilities; (b) a forecast of the future needs for such capital facilities; (c) the proposed locations and capacities of expanded or new capital facilities; (d) at least a six-year plan that will finance such capital facilities within projected funding capacities and clearly identifies sources of public money for such purposes; and (e) a requirement to reassess the land use element if probable funding falls short of meeting existing needs and to ensure that the land use element, capital facilities plan element, and financing plan within the capital facilities plan element are coordinated and consistent.

      (4) A utilities element consisting of the general location, proposed location, and capacity of all existing and proposed utilities, including, but not limited to, electrical lines, telecommunication lines, and natural gas lines.

      (5) Counties shall include a rural element including lands that are not designated for urban growth, agriculture, forest, or mineral resources. The rural element shall permit appropriate land uses that are compatible with the rural character of such lands and provide for a variety of rural densities and uses and may also provide for clustering, density transfer, design guidelines, conservation easements, and other innovative techniques that will accommodate appropriate rural uses not characterized by urban growth.

      (6) A transportation element that implements, and is consistent with, the land use element. The transportation element shall include the following subelements:

      (a) Land use assumptions used in estimating travel;

      (b) Facilities and services needs, including:

      (i) An inventory of air, water, and land transportation facilities and services, including transit alignments, to define existing capital facilities and travel levels as a basis for future planning;

      (ii) Level of service standards for all arterials and transit routes to serve as a gauge to judge performance of the system. These standards should be regionally coordinated;

      (iii) Specific actions and requirements for bringing into compliance any facilities or services that are below an established level of service standard;

      (iv) Forecasts of traffic for at least ten years based on the adopted land use plan to provide information on the location, timing, and capacity needs of future growth;

      (v) Identification of system expansion needs and transportation system management needs to meet current and future demands;

      (c) Finance, including:

      (i) An analysis of funding capability to judge needs against probable funding resources;

      (ii) A multiyear financing plan based on the needs identified in the comprehensive plan, the appropriate parts of which shall serve as the basis for the six-year street, road, or transit program required by RCW 35.77.010 for cities, RCW 36.81.121 for counties, and RCW 35.58.2795 for public transportation systems;

      (iii) If probable funding falls short of meeting identified needs, a discussion of how additional funding will be raised, or how land use assumptions will be reassessed to ensure that level of service standards will be met;

      (d) Intergovernmental coordination efforts, including an assessment of the impacts of the transportation plan and land use assumptions on the transportation systems of adjacent jurisdictions;

      (e) Demand-management strategies.

      After adoption of the comprehensive plan by jurisdictions required to plan or who choose to plan under RCW 36.70A.040, local jurisdictions must adopt and enforce ordinances which prohibit development approval if the development causes the level of service on a transportation facility to decline below the standards adopted in the transportation element of the comprehensive plan, unless transportation improvements or strategies to accommodate the impacts of development are made concurrent with the development. These strategies may include increased public transportation service, ride sharing programs, demand management, and other transportation systems management strategies. For the purposes of this subsection (6) "concurrent with the development" shall mean that improvements or strategies are in place at the time of development, or that a financial commitment is in place to complete the improvements or strategies within six years.

      The transportation element described in this subsection, and the six-year plans required by RCW 35.77.010 for cities, RCW 36.81.121 for counties, and RCW 35.58.2795 for public transportation systems, must be consistent.

      NEW SECTION. Sec. 3. A comprehensive plan adopted or amended before the effective date of this act shall be considered to be in compliance with RCW 36.70A.070 or 36.70A.110, as in effect before their amendment by this act, if the comprehensive plan is in compliance with RCW 36.70A.070 and 36.70A.110 as amended by this act. This section shall not be construed to alter the relationship between a county-wide planning policy and comprehensive plans as specified under RCW 36.70A.210.

      As to any appeal relating to compliance with RCW 36.70A.070 or 36.70A.110 pending before a growth management hearings board on the effective date of this act, the board may take up to an additional ninety days to resolve such appeal. By mutual agreement of all parties to the appeal, this additional ninety-day period may be extended.

      NEW SECTION. Sec. 4. This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect immediately."


      Senator Palmer moved that the following amendment by Senators Palmer, Hargrove, Snyder and Owen to the striking amendment by Senators Haugen, Owen, Winsley, Hargrove, McCaslin and Snyder be adopted:

      On page 1, after line 6 of the amendment, insert the following:

      "Sec. 1. RCW 36.70A.040 and 1993 sp.s. c 6 s 1 are each amended to read as follows:

      (1) Each county that has both a population of fifty thousand or more and, until the effective date of this section, has had its population increase by more than ten percent in the previous ten years or, on or after the effective date of this section, has had its population increase by more than seventeen percent in the previous ten years, and the cities located within such county, and any other county regardless of its population that has had its population increase by more than twenty percent in the previous ten years, and the cities located within such county, shall conform with all of the requirements of this chapter. However, the county legislative authority of such a county with a population of less than fifty thousand population may adopt a resolution removing the county, and the cities located within the county, from the requirements of adopting comprehensive land use plans and development regulations under this chapter if this resolution is adopted and filed with the department by December 31, 1990, for counties initially meeting this set of criteria, or within sixty days of the date the office of financial management certifies that a county meets this set of criteria under subsection (5) of this section.

      Once a county meets either of these sets of criteria, the requirement to conform with all of the requirements of this chapter remains in effect, even if the county no longer meets one of these sets of criteria.

      (2) The county legislative authority of any county that does not meet either of the sets of criteria established under subsection (1) of this section may adopt a resolution indicating its intention to have subsection (1) of this section apply to the county. Each city, located in a county that chooses to plan under this subsection, shall conform with all of the requirements of this chapter. Once such a resolution has been adopted, the county and the cities located within the county remain subject to all of the requirements of this chapter.

      (3) Any county or city that is initially required to conform with all of the requirements of this chapter under subsection (1) of this section shall take actions under this chapter as follows: (a) The county legislative authority shall adopt a county-wide planning policy under RCW 36.70A.210; (b) the county and each city located within the county shall designate critical areas, agricultural lands, forest lands, and mineral resource lands, and adopt development regulations conserving these designated agricultural lands, forest lands, and mineral resource lands and protecting these designated critical areas, under RCW 36.70A.170 and 36.70A.060; (c) the county shall designate and take other actions related to urban growth areas under RCW 36.70A.110; (d) if the county has a population of fifty thousand or more, the county and each city located within the county shall adopt a comprehensive plan under this chapter and development regulations that are consistent with and implement the comprehensive plan on or before July 1, 1994, and if the county has a population of less than fifty thousand, the county and each city located within the county shall adopt a comprehensive plan under this chapter and development regulations that are consistent with and implement the comprehensive plan by January 1, 1995, but if the governor makes written findings that a county with a population of less than fifty thousand or a city located within such a county is not making reasonable progress toward adopting a comprehensive plan and development regulations the governor may reduce this deadline for such actions to be taken by no more than one hundred eighty days. Any county or city subject to this subsection may obtain an additional six months before it is required to have adopted its development regulations by submitting a letter notifying the department of community, trade, and economic development of its need prior to the deadline for adopting both a comprehensive plan and development regulations.

      (4) Any county or city that is required to conform with all the requirements of this chapter, as a result of the county legislative authority adopting its resolution of intention under subsection (2) of this section, shall take actions under this chapter as follows: (a) The county legislative authority shall adopt a county-wide planning policy under RCW 36.70A.210; (b) the county and each city that is located within the county shall adopt development regulations conserving agricultural lands, forest lands, and mineral resource lands it designated under RCW 36.70A.060 within one year of the date the county legislative authority adopts its resolution of intention; (c) the county shall designate and take other actions related to urban growth areas under RCW 36.70A.110; and (d) the county and each city that is located within the county shall adopt a comprehensive plan and development regulations that are consistent with and implement the comprehensive plan not later than four years from the date the county legislative authority adopts its resolution of intention, but a county or city may obtain an additional six months before it is required to have adopted its development regulations by submitting a letter notifying the department of community, trade, and economic development of its need prior to the deadline for adopting both a comprehensive plan and development regulations.

      (5) If the office of financial management certifies that the population of a county that previously had not been required to plan under subsection (1) or (2) of this section has changed sufficiently to meet either of the sets of criteria specified under subsection (1) of this section, and where applicable, the county legislative authority has not adopted a resolution removing the county from these requirements as provided in subsection (1) of this section, the county and each city within such county shall take actions under this chapter as follows: (a) The county legislative authority shall adopt a county-wide planning policy under RCW 36.70A.210; (b) the county and each city located within the county shall adopt development regulations under RCW 36.70A.060 conserving agricultural lands, forest lands, and mineral resource lands it designated within one year of the certification by the office of financial management; (c) the county shall designate and take other actions related to urban growth areas under RCW 36.70A.110; and (d) the county and each city located within the county shall adopt a comprehensive land use plan and development regulations that are consistent with and implement the comprehensive plan within four years of the certification by the office of financial management, but a county or city may obtain an additional six months before it is required to have adopted its development regulations by submitting a letter notifying the department of community, trade, and economic development of its need prior to the deadline for adopting both a comprehensive plan and development regulations.

      (6) A copy of each document that is required under this section shall be submitted to the department at the time of its adoption."

      Renumber the remaining sections consecutively and correct any internal references accordingly.

      Debate ensued.

      The President declared the question before the Senate to be the adoption of the amendment by Senators Palmer, Hargrove, Snyder and Owen on page 1, after line 6, to the striking amendment by Senators Haugen, Owen, Winsley, Hargrove, McCaslin and Snyder to Engrossed House Bill No. 1305.

      The motion by Senator Palmer carried and the amendment to the striking amendment was adopted.


MOTION


      Senator Drew moved that the following amendment by Senators Drew and Finkbeiner to the striking amendment by Senators Haugen, Owen, Winsley, Hargrove, McCaslin and Snyder be adopted:

      On page 3, beginning on line 10 of the amendment, strike all material through "designation." on line 17

      Debate ensued.

      The President declared the question before the Senate to be the adoption of the amendment by Senators Drew and Finkbeiner on page 3, beginning on line 10, to the striking amendment by Senators Haugen, Owen, Winsley, Hargrove, McCaslin and Snyder to Engrossed House Bill No. 1305.

      The motion by Senator Drew carried and the amendment to the striking amendment was adopted.


MOTION


      Senator Sutherland moved that the following amendment by Senators Sutherland, Morton, Bauer, Rasmussen, Schow, Swecker and Prince to the striking amendment by Senators Haugen, Owen, Winsley, Hargrove, McCaslin and Snyder be adopted:

      On page 6, after line 27 of the amendment, insert the following:

      "NEW SECTION. Sec. 4. A new section is added to chapter 36.70A RCW to read as follows:

      Where the county has classified mineral lands pursuant to RCW 36.70A.050 and mineral resource lands of long-term commercial significance exist, a county, city, or town shall designate sufficient mineral resource lands in the comprehensive plans to meet the projected twenty-year, county-wide need. Once designated, mineral resource uses, including operations as defined in RCW 78.44.031, shall be established as an allowed use in local development regulations.

      The county, city, or town shall designate mineral resource deposits, both active and inactive, in economically viable proximity to locations where the deposits are likely to be used.

      Through its comprehensive plan and development regulations, as defined in RCW 36.70A.030, the county, city, or town shall discourage the siting of incompatible uses adjacent to mineral resource industries, deposits, and holdings.

      The county-wide need and proximity provisions of this section do not apply to metals mining and milling operations as defined in RCW 78.56.020.

      For the purposes of this section, "long-term commercial significance" includes the mineral composition of the land for long-term economically viable commercial production, in consideration with the mineral resource land's proximity to population areas, product markets, and the possibility of more intense uses of the land."

      Renumber the remaining section consecutively and correct any internal references accordingly.

      Debate ensued.

      The President declared the question before the Senate to be the adoption of the amendment by Senators Sutherland, Morton, Bauer, Rasmussen, Schow, Swecker and Prince on page 6, after line 27, to the striking amendment by Senators Haugen, Owen, Winsley, Hargrove, McCaslin and Snyder to Engrossed House Bill No. 1305.

      The motion by Senator Sutherland carried and the amendment to the striking amendment was adopted.

      The President declared the question before the Senate to be the adoption of the striking amendment by Senators Haugen, Owen, Winsley, Hargrove, McCaslin and Snyder, as amended, to Engrossed House Bill No. 1305.

      The striking amendment, as amended, was adopted.  


MOTIONS


      On motion of Senator Haugen, the following title amendments were considered simultaneously and were adopted:

      On page 1, line 1 of the title, after "management;" strike the remainder of the title and insert "amending RCW 36.70A.110 and 36.70A.070; creating a new section; and declaring an emergency."

      On page 7, line 2 of the title amendment, after "amending RCW" strike "36.70A.110" and insert "36.70A.040, 36.70A.110,"

      On page 7, line 3 of the title amendment, after "36.70A.070;" insert "adding a new section to chapter 36.70A RCW;"

      On motion of Senator Haugen, the rules were suspended, Engrossed House Bill No. 1305, as amended by the Senate, was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      Debate ensued.

      The President declared the question before the Senate to be the roll call on the final passage of Engrossed House Bill No. 1305, as amended by the Senate.


ROLL CALL


      The Secretary called the roll on the final passage of Engrossed House Bill No. 1305, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 35; Nays, 13; Absent, 0; Excused, 1.

      Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Finkbeiner, Gaspard, Hale, Hargrove, Haugen, Hochstatter, Johnson, Loveland, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Prince, Quigley, Rasmussen, Roach, Schow, Sellar, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley and Wood - 35.

      Voting nay: Senators Drew, Fairley, Franklin, Fraser, Heavey, Kohl, Long, McAuliffe, Pelz, Prentice, Rinehart, Sheldon and Wojahn - 13.

      Excused: Senator Anderson, C. - 1.

      ENGROSSED HOUSE BILL NO. 1305, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


SECOND READING


      SUBSTITUTE HOUSE BILL NO. 1129, by House Committee on Finance (originally sponsored by Representatives Schoesler, Brown, Mulliken, Sheahan, Robertson, Buck, Dyer, Delvin, Skinner, Cooke, McMorris, Talcott, Fuhrman, Brumsickle, Sheldon, Campbell, Boldt, Elliot, Koster, Chandler, Van Luven, K. Schmidt, L. Thomas, Casada, Carlson, Backlund, Basich, Huff, Mitchell, Kremen and Benton)

 

Modifying tax exemptions for nonprofit organizations.


      The bill was read the second time.


MOTIONS


      Senator Loveland moved that the following Committee on Ways and Means amendment be adopted:

      Strike everything after the enacting clause and insert the following:

      "Sec. 1. RCW 82.04.365 and 1979 ex.s. c 196 s 7 are each amended to read as follows:

      (1) This chapter does not apply to amounts derived by a nonprofit organization as a result of conducting or participating in a bazaar or rummage sale if:

      (a) The organization does not conduct or participate in more than two bazaars or rummage sales per year; and

      (b) Each bazaar or rummage sale does not extend over a period of more than two days; and

      (c) The gross income received by each organization from each bazaar or rummage sale does not exceed ((one)) ten thousand dollars.

      (2) For purposes of this section, "nonprofit organization" means an organization that meets all of the following criteria:

      (a) The members, stockholders, officers, directors, or trustees of the organization do not receive any part of the organization's gross income, except as payment for services rendered;

      (b) The compensation received by any person for services rendered to the organization does not exceed an amount reasonable under the circumstances; and

      (c) The activities of the organization do not include a substantial amount of political activity, including but not limited to influencing legislation and participation in any campaign on behalf of any candidate for political office.

      NEW SECTION. Sec. 2. A new section is added to chapter 82.08 RCW to read as follows:

      The tax levied by RCW 82.08.020 does not apply to sales made by a nonprofit organization if the gross income from the sales is exempt under RCW 82.04.365."


      On motion of Senator Spanel, the following amendment by Senators Spanel and Rinehart to the Committee on Ways and Means striking amendment was adopted:

      On page 1, after line 33 of the amendment, insert the following:

      "NEW SECTION. Sec. 3. A new section is added to chapter 82.04 RCW to read as follows:

      This chapter does not apply to nonprofit organizations in respect to amounts derived from the provision of child care resource and referral services.

      NEW SECTION. Sec. 4. Section 3 of this act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect July 1, 1995."

      The President declared the question before the Senate to be the adoption of the Committee on Ways and Means striking amendment, as amended, to Substitute House Bill No. 1129.

      The committee striking amendment, as amended, was adopted.


MOTIONS


      On motion of Senator Loveland, the following title amendments were considered simultaneously and were adopted:

      On page 1, line 1 of the title, after "nonprofits;" strike the remainder of the title and insert "amending RCW 82.04.365; and adding a new section to chapter 82.08 RCW."

      On page 2, beginning on line 4 of the title amendment, after "82.04.365;" strike all material down through "RCW." on line 5 and insert "adding a new section to chapter 82.04 RCW; adding a new section to chapter 82.08 RCW; providing an effective date; and declaring an emergency."

      On motion of Senator Loveland, the rules were suspended, Substitute House Bill No. 1129, as amended by the Senate, was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      The President declared the question before the Senate to be the roll call on the final passage of Substitute House Bill No. 1129, as amended by the Senate.


ROLL CALL


      The Secretary called the roll on the final passage of Substitute House Bill No. 1129, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 47; Nays, 1; Absent, 0; Excused, 1.

      Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 47.

      Voting nay: Senator Fairley - 1.

      Excused: Senator Anderson, C. - 1.

      SUBSTITUTE HOUSE BILL NO. 1129, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


SECOND READING


      SUBSTITUTE HOUSE BILL NO. 1865, by House Committee on Law and Justice (originally sponsored by Representatives Mitchell and Tokuda)

 

Clarifying numerous miscellaneous guardianship provisions.


      The bill was read the second time.


MOTIONS


      On motion of Senator Smith, the following Committee on Law and Justice amendment was adopted:

      Strike everything after the enacting clause and insert the following:

      "Sec. 1. RCW 11.88.030 and 1991 c 289 s 2 are each amended to read as follows:

      (1) Any person or entity may petition for the appointment of a qualified person, trust company, national bank, or nonprofit corporation authorized in RCW 11.88.020 as now or hereafter amended as the guardian or limited guardian of an incapacitated person. No liability for filing a petition for guardianship or limited guardianship shall attach to a petitioner acting in good faith and upon reasonable basis. A petition for guardianship or limited guardianship shall state:

      (a) The name, age, residence, and post office address of the alleged incapacitated person;

      (b) The nature of the alleged incapacity in accordance with RCW 11.88.010;

      (c) The approximate value and description of property, including any compensation, pension, insurance, or allowance, to which the alleged incapacitated person may be entitled;

      (d) Whether there is, in any state, a guardian or limited guardian, or pending guardianship action for the person or estate of the alleged incapacitated person;

      (e) The residence and post office address of the person whom petitioner asks to be appointed guardian or limited guardian;

      (f) The names and addresses, and nature of the relationship, so far as known or can be reasonably ascertained, of the persons most closely related by blood or marriage to the alleged incapacitated person;

      (g) The name and address of the person or facility having the care and custody of the alleged incapacitated person;

      (h) The reason why the appointment of a guardian or limited guardian is sought and the interest of the petitioner in the appointment, and whether the appointment is sought as guardian or limited guardian of the person, the estate, or both, and why no alternative to guardianship is appropriate;

      (i) The nature and degree of the alleged incapacity and the specific areas of protection and assistance requested and the limitation of rights requested to be included in the court's order of appointment;

      (j) The requested term of the limited guardianship to be included in the court's order of appointment;

      (k) Whether the petitioner is proposing a specific individual to act as guardian ad litem and, if so, the individual's knowledge of or relationship to any of the parties, and why the individual is proposed.

      (2)(a) The attorney general may petition for the appointment of a guardian or limited guardian in any case in which there is cause to believe that a guardianship is necessary and no private party is able and willing to petition.

      (b) Prepayment of a filing fee shall not be required in any guardianship or limited guardianship brought by the attorney general. Payment of the filing fee shall be ordered from the estate of the incapacitated person at the hearing on the merits of the petition, unless in the judgment of the court, such payment would impose a hardship upon the incapacitated person, in which case the filing shall be waived.

      (3) No filing fee shall be charged by the court for filing either a petition for guardianship or a petition for limited guardianship if the petition alleges that the alleged incapacitated person has total assets of a value of less than three thousand dollars.

      (4)(a) Notice that a guardianship proceeding has been commenced shall be personally served upon the alleged incapacitated person and the guardian ad litem along with a copy of the petition for appointment of a guardian. Such notice shall be served not more than five court days after the petition has been filed.

      (b) Notice under this subsection shall include a clear and easily readable statement of the legal rights of the alleged incapacitated person that could be restricted or transferred to a guardian by a guardianship order as well as the right to counsel of choice and to a jury trial on the issue of incapacity. Such notice shall be in substantially the following form and shall be in capital letters, double-spaced, and in a type size not smaller than ten-point type:


IMPORTANT NOTICE

PLEASE READ CAREFULLY


A PETITION TO HAVE A GUARDIAN APPOINTED FOR YOU HAS BEEN FILED IN THE . . . . . . COUNTY SUPERIOR COURT BY . . . . . . IF A GUARDIAN IS APPOINTED, YOU COULD LOSE ONE OR MORE OF THE FOLLOWING RIGHTS:

      (1) TO MARRY OR DIVORCE;

      (2) TO VOTE OR HOLD AN ELECTED OFFICE;

      (3) TO ENTER INTO A CONTRACT OR MAKE OR REVOKE A WILL;

      (4) TO APPOINT SOMEONE TO ACT ON YOUR BEHALF;

      (5) TO SUE AND BE SUED OTHER THAN THROUGH A GUARDIAN;

      (6) TO POSSESS A LICENSE TO DRIVE;

      (7) TO BUY, SELL, OWN, MORTGAGE, OR LEASE PROPERTY;

      (8) TO CONSENT TO OR REFUSE MEDICAL TREATMENT;

      (9) TO DECIDE WHO SHALL PROVIDE CARE AND ASSISTANCE;

      (10) TO MAKE DECISIONS REGARDING SOCIAL ASPECTS OF YOUR LIFE.


UNDER THE LAW, YOU HAVE CERTAIN RIGHTS.


YOU HAVE THE RIGHT TO BE REPRESENTED BY A LAWYER OF YOUR OWN CHOOSING. THE COURT WILL APPOINT A LAWYER TO REPRESENT YOU IF YOU ARE UNABLE TO PAY OR PAYMENT WOULD RESULT IN A SUBSTANTIAL HARDSHIP TO YOU.


YOU HAVE THE RIGHT TO ASK FOR A JURY TO DECIDE WHETHER OR NOT YOU NEED A GUARDIAN TO HELP YOU.


YOU HAVE THE RIGHT TO BE PRESENT IN COURT WHEN THE HEARING IS HELD TO DECIDE WHETHER OR NOT YOU NEED A GUARDIAN.


      (5) All petitions filed under the provisions of this section shall be heard within sixty days unless an extension of time is requested by a party within such sixty day period and granted for good cause shown. If an extension is granted, the court shall set a new hearing date.

      Sec. 2. RCW 11.88.040 and 1991 c 289 s 3 are each amended to read as follows:

      Before appointing a guardian or a limited guardian, notice of a hearing, to be held not less than ten days after service thereof, shall be served personally ((to)) upon the alleged incapacitated person, if over fourteen years of age, and served upon the guardian ad litem.

      Before appointing a guardian or a limited guardian, notice of a hearing, to be held not less than ten days after service thereof, shall be given by registered or certified mail to the last known address requesting a return receipt signed by the addressee or an agent appointed by the addressee, or by personal service in the manner provided for services of summons, to the following:

      (1) The alleged incapacitated person, or minor, if under fourteen years of age;

      (2) A parent, if the alleged incapacitated person is a minor, all known children not residing with a notified person, and the spouse of the alleged incapacitated person if any;

      (3) Any other person who has been appointed as guardian or limited guardian, or the person with whom the alleged incapacitated person resides. No notice need be given to those persons named in subsections (2) and (3) of this section if they have signed the petition for the appointment of the guardian or limited guardian or have waived notice of the hearing.

      (4) If the petition is by a parent asking for appointment as guardian or limited guardian of a minor child under the age of fourteen years, or if the petition is accompanied by the written consent of a minor of the age of fourteen years or upward, who consents to the appointment of the guardian or limited guardian asked for, or if the petition is by a nonresident guardian of any minor or incapacitated person, then the court may appoint the guardian without notice of the hearing. The court for good cause may reduce the number of days of notice, but in every case, at least three days notice shall be given.

      The alleged incapacitated person shall be present in court at the final hearing on the petition: PROVIDED, That this requirement may be waived at the discretion of the court for good cause other than mere inconvenience shown in the report to be provided by the guardian ad litem pursuant to RCW 11.88.090 as now or hereafter amended, or if no guardian ad litem is required to be appointed pursuant to RCW 11.88.090, as now or hereafter amended, at the discretion of the court for good cause shown by a party. Alternatively, the court may remove itself to the place of residence of the alleged incapacitated person and conduct the final hearing in the presence of the alleged incapacitated person. Final hearings on the petition may be held in closed court without admittance of any person other than those necessary to the action or proceeding.

      If presence of the alleged incapacitated person is waived and the court does not remove itself to the place of residence of such person, the guardian ad litem shall appear in person at the final hearing on the petition.

      Sec. 3. RCW 11.88.045 and 1991 c 289 s 4 are each amended to read as follows:

      (1)(a) Alleged incapacitated individuals shall have the right to be represented by counsel at any stage in guardianship proceedings. The court shall provide counsel to represent any alleged incapacitated person at public expense when either: (i) The individual is unable to afford counsel, or (ii) the expense of counsel would result in substantial hardship to the individual, or (iii) the individual does not have practical access to funds with which to pay counsel. If the individual can afford counsel but lacks practical access to funds, the court shall provide counsel and may impose a reimbursement requirement as part of a final order. When, in the opinion of the court, the rights and interests of an alleged or adjudicated incapacitated person cannot otherwise be adequately protected and represented, the court on its own motion shall appoint an attorney at any time to represent such person. Counsel shall be provided as soon as practicable after a petition is filed and long enough before any final hearing to allow adequate time for consultation and preparation. Absent a convincing showing in the record to the contrary, a period of less than three weeks shall be presumed by a reviewing court to be inadequate time for consultation and preparation.

      (b) Counsel for an alleged incapacitated individual shall act as an advocate for the client and shall not substitute counsel's own judgment for that of the client on the subject of what may be in the client's best interests. Counsel's role shall be distinct from that of the guardian ad litem, who is expected to promote the best interest of the alleged incapacitated individual, rather than the alleged incapacitated individual's expressed preferences.

      (c) If an alleged incapacitated person is represented by counsel and does not communicate with counsel, counsel may ask the court for leave to withdraw for that reason. If satisfied, after affording the alleged incapacitated person an opportunity for a hearing, that the request is justified, the court may grant the request and allow the case to proceed with the alleged incapacitated person unrepresented.

      (2) During the pendency of any guardianship, any attorney purporting to represent a person alleged or adjudicated to be incapacitated shall petition to be appointed to represent the incapacitated or alleged incapacitated person. Fees for representation described in this section shall be subject to approval by the court pursuant to the provisions of RCW 11.92.180.

      (3) The alleged incapacitated person is further entitled upon request to a jury trial on the issues of his or her alleged incapacity. The standard of proof to be applied in a contested case, whether before a jury or the court, shall be that of clear, cogent, and convincing evidence.

      (4) In all proceedings for appointment of a guardian or limited guardian, the court must be presented with a written report from a physician licensed to practice under chapter 18.71 or 18.57 RCW or licensed or certified psychologist selected by the guardian ad litem. The physician or psychologist shall have personally examined and interviewed the alleged incapacitated person within thirty days of preparation of the report to the court and shall have expertise in the type of disorder or incapacity the alleged incapacitated person is believed to have. The report shall contain the following information and shall be set forth in substantially the following format:

      (a) The name and address of the examining physician or psychologist;

      (b) The education and experience of the physician or psychologist pertinent to the case;

      (c) The dates of examinations of the alleged incapacitated person;

      (d) A summary of the relevant medical, functional, neurological, psychological, or psychiatric history of the alleged incapacitated person as known to the examining physician or psychologist;

      (e) The findings of the examining physician or psychologist as to the condition of the alleged incapacitated person;

      (f) Current medications;

      (g) The effect of current medications on the alleged incapacitated person's ability to understand or participate in guardianship proceedings;

      (h) Opinions on the specific assistance the alleged incapacitated person needs;

      (i) Identification of persons with whom the physician or psychologist has met or spoken regarding the alleged incapacitated person.

      The court shall not enter an order appointing a guardian or limited guardian until a medical or psychological report meeting the above requirements is filed.

      The requirement of filing a medical report is waived if the basis of the guardianship is minority.

      Sec. 4. RCW 11.88.090 and 1991 c 289 s 5 are each amended to read as follows:

      (1) Nothing contained in RCW 11.88.080 through 11.88.120, 11.92.010 through 11.92.040, 11.92.060 through 11.92.120, 11.92.170, and 11.92.180, as now or hereafter amended, shall affect or impair the power of any court to appoint a guardian ad litem to defend the interests of any incapacitated person interested in any suit or matter pending therein, or to commence and prosecute any suit in his behalf.

      (2) Upon receipt of a petition for appointment of guardian or limited guardian, except as provided herein, the court shall appoint a guardian ad litem to represent the best interests of the alleged incapacitated person, who shall be a person found or known by the court to

      (a) be free of influence from anyone interested in the result of the proceeding;

      (b) have the requisite knowledge, training, or expertise to perform the duties required by this section.

      No guardian ad litem need be appointed when a parent is petitioning for a guardian or a limited guardian to be appointed for his or her minor child and the minority of the child, as defined by RCW 11.92.010, is the sole basis of the petition. The order appointing the guardian ad litem shall recite the duties set forth in subsection (5) of this section. The appointment of a guardian ad litem shall have no effect on the legal competency of the alleged incapacitated person and shall not overcome the presumption of competency or full legal and civil rights of the alleged incapacitated person.

      (3)(a) The superior court of each county shall develop by September 1, 1991, a registry of persons who are willing and qualified to serve as guardians ad litem in guardianship matters. The court shall choose as guardians ad litem only persons whose names appear on the registry, except in extraordinary circumstances.

      (b) To be eligible for the registry a person shall:

      (i) Present a written statement of qualifications describing the person's knowledge, training, and experience in each of the following: Needs of impaired elderly people, physical disabilities, mental illness, developmental disabilities, and other areas relevant to the needs of incapacitated persons, legal procedure, and the requirements of chapters 11.88 and 11.92 RCW; and

      (ii) Complete a training program adopted by the court, or, in the absence of a locally adopted program, a candidate for inclusion upon the registry shall have completed a model training program as described in (d) of this subsection.

      (c) The superior court of each county shall approve training programs designed to:

      (i) Train otherwise qualified human service professionals in those aspects of legal procedure and the requirements of chapters 11.88 and 11.92 RCW with which a guardian ad litem should be familiar;

      (ii) Train otherwise qualified legal professionals in those aspects of medicine, social welfare, and social service delivery systems with which a guardian ad litem should be familiar.

      (d) The superior court of each county may approve a guardian ad litem training program on or before June 1, 1991. The department of social and health services, aging and adult services administration, shall convene an advisory group to develop a model guardian ad litem training program. The advisory group shall consist of representatives from consumer, advocacy, and professional groups knowledgeable in developmental disabilities, neurological impairment, physical disabilities, mental illness, aging, legal, court administration, and other interested parties.

      (e) Any superior court that has not adopted a guardian ad litem training program by September 1, 1991, shall require utilization of a model program developed by the advisory group as described in (d) of this subsection, to assure that candidates applying for registration as a qualified guardian ad litem shall have satisfactorily completed training to attain these essential minimum qualifications to act as guardian ad litem.

      (4) The guardian ad litem's written statement of qualifications required by RCW 11.88.090(3)(b)(i) shall be made part of the record in each matter in which the person is appointed guardian ad litem.

      (5) The guardian ad litem appointed pursuant to this section shall have the following duties:

      (a) To meet and consult with the alleged incapacitated person as soon as practicable following appointment and explain, in language which such person can reasonably be expected to understand, the substance of the petition, the nature of the resultant proceedings, the person's right to contest the petition, the identification of the proposed guardian or limited guardian, the right to a jury trial on the issue of his or her alleged incapacity, the right to independent legal counsel as provided by RCW 11.88.045, and the right to be present in court at the hearing on the petition;

      (b) To obtain a written report according to RCW 11.88.045; and such other written or oral reports from other qualified professionals as are necessary to permit the guardian ad litem to complete the report required by this section;

      (c) To meet with the person whose appointment is sought as guardian or limited guardian and ascertain:

      (i) The proposed guardian's knowledge of the duties, requirements, and limitations of a guardian; and

      (ii) The steps the proposed guardian intends to take or has taken to identify and meet the needs of the alleged incapacitated person;

      (d) To consult as necessary to complete the investigation and report required by this section with those known relatives, friends, or other persons the guardian ad litem determines have had a significant, continuing interest in the welfare of the alleged incapacitated person;

      (e) To provide the court with a written report which shall include the following:

      (i) A description of the nature, cause, and degree of incapacity, and the basis upon which this judgment was made;

      (ii) A description of the needs of the incapacitated person for care and treatment, the probable residential requirements of the alleged incapacitated person and the basis upon which these findings were made;

      (iii) An evaluation of the appropriateness of the guardian or limited guardian whose appointment is sought and a description of the steps the proposed guardian has taken or intends to take to identify and meet current and emerging needs of the incapacitated person;

      (iv) A description of the abilities of the alleged incapacitated person and a recommendation as to whether a guardian or limited guardian should be appointed. If appointment of a limited guardian is recommended, the guardian ad litem shall recommend the specific areas of authority the limited guardian should have and the limitations and disabilities to be placed on the incapacitated person;

      (v) An evaluation of the person's mental ability to rationally exercise the right to vote and the basis upon which the evaluation is made;

      (vi) Any expression of approval or disapproval made by the alleged incapacitated person concerning the proposed guardian or limited guardian or guardianship or limited guardianship;

      (vii) Identification of persons with significant interest in the welfare of the alleged incapacitated person who should be advised of their right to request special notice of proceedings pursuant to RCW 11.92.150; and

      (viii) Unless independent counsel has appeared for the alleged incapacitated person, an explanation of how the alleged incapacitated person responded to the advice of the right to jury trial, to independent counsel and to be present at the hearing on the petition.

      Within forty-five days after notice of commencement of the guardianship proceeding has been served upon the guardian ad litem, and at least ten days before the hearing on the petition, unless an extension or reduction of time has been granted by the court for good cause, the guardian ad litem shall file its report and send a copy to the alleged incapacitated person and his or her spouse, all children not residing with a notified person, those persons described in (((d))) (e)(vii) of this subsection, and persons who have filed a request for special notice pursuant to RCW 11.92.150;

      (f) To advise the court of the need for appointment of counsel for the alleged incapacitated person within five court days after the meeting described in (a) of this subsection unless (i) counsel has appeared, (ii) the alleged incapacitated person affirmatively communicated a wish not to be represented by counsel after being advised of the right to representation and of the conditions under which court-provided counsel may be available, or (iii) the alleged incapacitated person was unable to communicate at all on the subject, and the guardian ad litem is satisfied that the alleged incapacitated person does not affirmatively desire to be represented by counsel.

      (6) If the petition is brought by an interested person or entity requesting the appointment of some other qualified person or entity and a prospective guardian or limited guardian cannot be found, the court shall order the guardian ad litem to investigate the availability of a possible guardian or limited guardian and to include the findings in a report to the court pursuant to RCW 11.88.090(5)(e) as now or hereafter amended.

      (7) The court appointed guardian ad litem shall have the authority, in the event that the alleged incapacitated person is in need of emergency life-saving medical services, and is unable to consent to such medical services due to incapacity pending the hearing on the petition to give consent for such emergency life-saving medical services on behalf of the alleged incapacitated person.

      (8) The guardian ad litem shall receive a fee determined by the court. The fee shall be charged to the alleged incapacitated person unless the court finds that such payment would result in substantial hardship upon such person, in which case the county shall be responsible for such costs: PROVIDED, That if no guardian or limited guardian is appointed the court may charge such fee to the petitioner or the alleged incapacitated person, or divide the fee, as it deems just; and if the petition is found to be frivolous or not brought in good faith, the guardian ad litem fee shall be charged to the petitioner. The court shall not be required to provide for the payment of a fee to any salaried employee of a public agency.

      (9) Upon the presentation of the guardian ad litem report and the entry of an order either dismissing the petition for appointment of guardian or limited guardian or appointing a guardian or limited guardian, the guardian ad litem shall be dismissed and shall have no further duties or obligations unless otherwise ordered by the court. If the court orders the guardian ad litem to perform further duties or obligations, they shall not be performed at county expense.

      Sec. 5. RCW 11.88.095 and 1991 c 289 s 6 are each amended to read as follows:

      (1) In determining the disposition of a petition for guardianship, the court's order shall be based upon findings as to the capacities, condition, and needs of the alleged incapacitated person, and shall not be based solely upon agreements made by the parties.

      (2) Every order appointing a full or limited guardian of the person or estate shall include:

      (a) Findings as to the capacities, condition, and needs of the alleged incapacitated person;

      (b) The amount of the bond, if any, or a bond review period;

      (c) When the next report of the guardian is due;

      (d) Whether the guardian ad litem shall continue acting as guardian ad litem;

      (e) Whether a review hearing shall be required upon the filing of the inventory;

      (f) The authority of the guardian, if any, for investment and expenditure of the ward's estate; and

      (g) Names and addresses of those persons described in RCW 11.88.090(5)(d), if any, whom the court believes should receive copies of further pleadings filed by the guardian with respect to the guardianship.

      (3) If the court determines that a limited guardian should be appointed, the order shall specifically set forth the limits by either stating exceptions to the otherwise full authority of the guardian or by stating the specific authority of the guardian.

      (4) In determining the disposition of a petition for appointment of a guardian or limited guardian of the estate only, the court shall consider whether the alleged incapacitated person is capable of giving informed medical consent or of making other personal decisions and, if not, whether a guardian or limited guardian of the person of the alleged incapacitated person should be appointed for that purpose.

      (5) Unless otherwise ordered, any powers of attorney or durable powers of attorney shall be revoked upon appointment of a guardian or limited guardian of the estate.

      If there is an existing medical power of attorney, the court must make a specific finding of fact regarding the continued validity of that medical power of attorney before appointing a guardian or limited guardian for the person.

      Sec. 6. RCW 11.92.050 and 1990 c 122 s 23 are each amended to read as follows:

      (1) Upon the filing of any intermediate guardianship or limited guardianship account required by statute, or of any intermediate account required by court rule or order, the guardian or limited guardian may petition the court for an order settling his or her account with regard to any ((and all)) receipts, expenditures, and investments made and acts done by the guardian or limited guardian to the date of ((said)) the interim report. Upon such petition being filed, the court may in its discretion, where the size or condition of the estate warrants it, set a date for the hearing of ((such)) the petition and require the service of the petition and a notice of ((such)) the hearing as provided in RCW 11.88.040 as now or hereafter amended; and, in the event ((such)) a hearing ((be)) is ordered, the court ((shall)) may also appoint a guardian ad litem, whose duty it shall be to investigate the report of the guardian or limited guardian of the estate and to advise the court thereon at ((said)) the hearing, in writing. At ((such)) the hearing on ((said)) the report of the guardian or limited guardian, if the court ((be)) is satisfied that the actions of the guardian or limited guardian have been proper, and that the guardian or limited guardian has in all respects discharged his or her trust with relation to ((such)) the receipts, expenditures, investments, and acts, then, in such event, the court shall enter an order approving such account((, and such)). If the court has appointed a guardian ad litem, the order shall be final and binding upon the incapacitated person, subject only to the right of appeal as upon a final order; provided that at the time of final account of said guardian or limited guardian or within one year after ((said)) the incapacitated person attains his or her majority any such interim account may be challenged by ((said)) the incapacitated person on the ground of fraud.

      (2) The procedure established in subsection (1) of this section for financial accounts by guardians or limited guardians of the estate shall apply to personal care reports filed by guardians or limited guardians of the person under RCW 11.92.043.

      Sec. 7. RCW 11.92.053 and 1990 c 122 s 24 are each amended to read as follows:

      Within ninety days after the termination of a guardianship for any reason ((other than the death of the incapacitated person intestate)), the guardian or limited guardian of the estate shall petition the court for an order settling his or her account as filed in accordance with RCW 11.92.040(2) with regard to any ((and all)) receipts, expenditures, and investments made and acts done by the guardian to the date of ((said)) the termination. Upon ((such)) the filing of the petition ((being filed)), the court shall set a date for the hearing of ((such)) the petition after notice has been given in accordance with RCW 11.88.040. Any person interested may file objections to ((such)) the petition or may appear at the time and place fixed for the hearing thereof and present his or her objections thereto. The court may take such testimony as it deems proper or necessary to determine whether an order settling the account should be issued and the transactions of the guardian be approved, and the court may appoint a guardian ad litem to review the report.

      At ((such)) the hearing on ((said)) the petition of the guardian or limited guardian, if the court ((be)) is satisfied that the actions of the guardian or limited guardian have been proper, and that the guardian has in all respects discharged his or her trust with relation to ((such)) the receipts, expenditures, investments, and acts, then, in such event, the court shall enter an order approving ((such)) the account, and ((such)) the order shall be final and binding upon the incapacitated person, subject only to the right of appeal as upon a final order((: PROVIDED, That)). However, within one year after ((said)) the incompetent attains his or her majority any such account may be challenged by the incapacitated person on the ground of fraud.

      Sec. 8. RCW 11.92.180 and 1994 c 68 s 1 are each amended to read as follows:

      A guardian or limited guardian shall be allowed such compensation for his or her services as guardian or limited guardian as the court shall deem just and reasonable. Guardians and limited guardians shall not be compensated at county or state expense. Additional compensation may be allowed for other administrative costs, including services of an attorney and for other services not provided by the guardian or limited guardian. Where a guardian or limited guardian is an attorney, the guardian or limited guardian shall separately account for time for which compensation is requested for services as a guardian or limited guardian as contrasted to time for which compensation for legal services provided to the guardianship is requested. In all cases, compensation of the guardian or limited guardian and his or her expenses including attorney's fees shall be fixed by the court and may be allowed at any annual or final accounting; but at any time during the administration of the estate, the guardian or limited guardian or his or her attorney may apply to the court for an allowance upon the compensation or necessary expenses of the guardian or limited guardian and for attorney's fees for services already performed. If the court finds that the guardian or limited guardian has failed to discharge his or her duties as such in any respect, it may deny the guardian any compensation whatsoever or may reduce the compensation which would otherwise be allowed. Where the incapacitated person is a department of social and health services client residing in a nursing facility or in a residential or home setting and is required by the department of social and health services to contribute a portion of their income towards the cost of residential or supportive services then the department shall be entitled to notice of proceedings as described in RCW 11.92.150. The amount of guardianship fees and additional compensation for administrative costs shall not exceed the amount allowed by the department of social and health services by rule((, and shall not include compensation for services provided or funded by the department or a department contractor that the incapacitated person is eligible to receive)).

      Sec. 9. RCW 11.94.010 and 1989 c 211 s 1 are each amended to read as follows:

      (1) Whenever a principal designates another as his or her attorney in fact or agent, by a power of attorney in writing, and the writing contains the words "This power of attorney shall not be affected by disability of the principal," or "This power of attorney shall become effective upon the disability of the principal," or similar words showing the intent of the principal that the authority conferred shall be exercisable notwithstanding the principal's disability,




the authority of the attorney in fact or agent is exercisable on behalf of the principal as provided notwithstanding later disability or incapacity of the principal at law or later uncertainty as to whether the principal is dead or alive. All acts done by the attorney in fact or agent pursuant to the power during any period of disability or incompetence or uncertainty as to whether the principal is dead or alive have the same effect and inure to the benefit of and bind the principal or the principal's guardian or heirs, devisees, and personal representative as if the principal were alive, competent, and not disabled. A principal may nominate, by a durable power of attorney, the guardian or limited guardian of his or her estate or person for consideration by the court if protective proceedings for the principal's person or estate are thereafter commenced. The court shall make its appointment in accordance with the principal's most recent nomination in a durable power of attorney except for good cause or disqualification. If a guardian thereafter is appointed for the principal, the attorney in fact or agent, during the continuance of the appointment, shall account to the guardian rather than the principal. The guardian has the same power the principal would have had if the principal were not disabled or incompetent, to revoke, suspend or terminate all or any part of the power of attorney or agency.

      (2) Persons shall place reasonable reliance on any determination of disability or incompetence as provided in the instrument that specifies the time and the circumstances under which the power of attorney document becomes effective.

      (3) A principal may authorize his or her attorney-in-fact to provide informed consent for health care decisions on the principal's behalf. Unless he or she is the spouse, or adult child or brother or sister of the principal, none of the following persons may act as the attorney-in-fact for the principal: Any of the principal's physicians, the physicians' employees, or the owners, administrators, or employees of the health care facility where the principal resides or receives care. This authorization is subject to the same limitations as those that apply to a guardian under RCW ((11.92.040(3) (a) through (d))) 11.92.043(5) (a) through (c)."

      On motion of Senator Smith, the following title amendment was adopted:

      On page 1, line 1 of the title, after "guardianship;" strike the remainder of the title and insert "and amending RCW 11.88.030, 11.88.040, 11.88.045, 11.88.090, 11.88.095, 11.92.050, 11.92.053, 11.92.180, and 11.94.010."


MOTION


      On motion of Senator Smith, the rules were suspended, Substitute House Bill No. 1865, as amended by the Senate, was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      The President declared the question before the Senate to be the roll call on the final passage of Substitute House Bill No. 1855, as amended by the Senate.


ROLL CALL


      The Secretary called the roll on the final passage of Substitute House Bill No. 1865, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 48; Nays, 0; Absent, 0; Excused, 1.

      Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 48.

      Excused: Senator Anderson, C. - 1.

      SUBSTITUTE HOUSE BILL NO. 1865, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


SECOND READING


      SUBSTITUTE HOUSE BILL NO. 1237, by House Committee on Law and Justice (originally sponsored by Representatives Padden, Foreman, Honeyford, Chandler, Mielke, Johnson, Blanton, Goldsmith, Clements, Hickel, Dyer, Backlund, Schoesler, McMahan, Boldt, Sheahan, Koster, Sherstad and Smith)

 

Specifying responsibility for payment of costs incurred on appeal by indigent persons.


      The bill was read the second time.


MOTION


      Senator Kohl moved that the following amendments by Senators Kohl, Heavey, Fairley and Smith be considered simultaneously and be adopted:

      On page 2, line 13, after "Counsel" strike "shall not" and insert "may"

      On page 2, line 15, after "sentence" insert ", if the court determines that the collateral attack is not barred by RCW 10.73.090 or 10.73.140"

      Debate ensued.

      The President declared the question before the Senate to be the adoption of the amendments by Senators Kohl, Heavey, Fairley and Smith on page 2, lines 13 and 15, to Substitute House Bill No. 1237.

      The motion by Senator Kohl carried and the amendments were adopted.


MOTION


      On motion of Senator Smith, the rules were suspended, Substitute House Bill No. 1237, as amended by the Senate, was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      The President declared the question before the Senate to be the roll call on the final passage of Substitute House Bill No. 1237, as amended by the Senate.


ROLL CALL


      The Secretary called the roll on the final passage of Substitute House Bill No. 1237, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 47; Nays, 1; Absent, 0; Excused, 1.

      Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 47.

      Voting nay: Senator Fairley - 1.

      Excused: Senator Anderson, C. - 1.

      SUBSTITUTE HOUSE BILL NO. 1237, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.


SPECIAL ORDER OF BUSINESS


      On motion of Senator Spanel, Engrossed Substitute House Bill No. 1046 will be made a special order of business at 4:55 p.m. today.


SECOND READING


      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1006, by House Committee on Education (originally sponsored by Representatives Carlson and Brumsickle)

 

Defining school bus driver.


      The bill was read the second time.


MOTION


      Senator Pelz moved that the following Committee on Labor, Commerce and Trade amendment not be adopted:

      On page 2, line 10, strike "and volunteers"

      Debate ensued.

      Senator Heavey demanded a roll call and the demand was sustained.

      The President declared the question before the Senate to be the roll call on the motion by Senator Pelz to not adopt the Committee on Labor, Commerce and Trade amendment on page 2, line 10.


ROLL CALL


      The Secretary called the roll and the motion by Senator Pelz to not adopt the committee amendment carried by the following vote: Yeas, 32; Nays, 16; Absent, 0; Excused, 1.

      Voting yea: Senators Drew, Fairley, Finkbeiner, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Kohl, Long, McAuliffe, McCaslin, McDonald, Newhouse, Owen, Pelz, Prentice, Quigley, Rasmussen, Rinehart, Roach, Sellar, Smith, Snyder, Spanel, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 32.

      Voting nay: Senators Anderson, A., Bauer, Cantu, Deccio, Franklin, Hochstatter, Johnson, Loveland, Morton, Moyer, Oke, Palmer, Prince, Schow, Sheldon and Strannigan - 16.

      Excused: Senator Anderson, C. - 1.


MOTION


      Senator Prentice moved to indefinitely defer consideration of Engrossed Substitute House Bill No. 1006.

      Debate ensued.


MOTION


      There being no objection, Senator Prentice withdrew the motion to indefinitely defer consideration of Engrossed Substitute House Bill No. 1006.


MOTION


      On motion of Senator Spanel, further consideration of Engrossed Substitute House Bill No. 1006 was deferred.


SECOND READING


      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1589, by House Committee on Health Care (originally sponsored by Representatives Backlund and Dyer)

 

Providing health care quality assurance.


MOTIONS


      Senator Quigley moved that the following Committee on Health and Long-Term Care amendment be adopted:

      Strike everything after the enacting clause and insert the following:

      "NEW SECTION. Sec. 1. A new section is added to chapter 43.70 RCW to read as follows:

      QUALITY ASSURANCE--INTERAGENCY COOPERATION--ELIMINATION AND COORDINATION OF DUPLICATE STATE PROGRAMS. No later than July 1, 1995, the department of health together with the health care authority, the department of social and health services, the office of the insurance commissioner, and the department of labor and industries shall form an interagency group for coordination and consultation on quality assurance activities. By December 31, 1996, the group shall review all state agency programs governing health service quality assurance and shall recommend to the legislature, the consolidation, coordination, or elimination of rules and programs that would be made unnecessary pursuant to the development of a uniform quality assurance and improvement program.

      NEW SECTION. Sec. 2. A new section is added to chapter 48.43 RCW to read as follows:

      No public or private health care payer subject to the jurisdiction of the state of Washington shall propose, issue, sign, or renew a provider agreement or enrollee service agreement that contains a clause whose effect, in any way, is to disclaim liability for the care delivered or not delivered to an enrollee because of a decision of the payer as to whether the care was a covered service, medically necessary, economically provided, medically appropriate, or similar consideration. Similarly, no clause shall attempt to shift liability for harm caused by such payer decision as to whether care should be delivered, as opposed to paid for, is between the provider and patient alone as if the fact of whether or not care is paid for played little or no role in a patient's decision to obtain care. Nothing in this section shall be inferred to result in liability to anyone for the payer's payment decisions that are consistent with the language of the applicable service agreement or consistent with the cost-effective delivery of health care. The intent of this section is only to prevent payers from shifting their liability for payment decisions to either providers, or enrollees, or both.

      NEW SECTION. Sec. 3. RCW 70.170.080 and 1993 sp.s. c 24 s 925, 1991 sp.s. c 13 s 71, & 1989 1st ex.s. c 9 s 508 are each repealed.

      NEW SECTION. Sec. 4. If specific funding through the health services account to continue the comprehensive hospital abstract reporting system is not provided by June 30, 1995, in the omnibus appropriations act, section 3 of this act is null and void.

      NEW SECTION. Sec. 5. CAPTIONS. Captions as used in this act constitute no part of the law.

      NEW SECTION. Sec. 6. SEVERABILITY. 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.

      NEW SECTION. Sec. 7. EMERGENCY CLAUSE--EFFECTIVE DATE. This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect July 1, 1995."


      On motion of Senator Moyer, the following amendment by Senators Moyer, Deccio and Quigley to the Committee on Health and Long-Term Care amendment was adopted:

      On page 2, after line 5, insert the following:

      "NEW SECTION. Sec. 3. MANAGED COMPETITION--FINDINGS AND INTENT. (1) The legislature recognizes that competition among health care providers, facilities, payers, and purchasers will yield the best allocation of health care resources, the lowest prices for health care, and the highest quality of health care when there exists a large number of buyers and sellers, easily comparable health care plans and services, minimal barriers to entry and exit into the health care market, and adequate information for buyers and sellers to base purchasing and production decisions. However, the legislature finds that purchasers of health care services and health care coverage do not have adequate information upon which to base purchasing decisions; that health care facilities and providers of health care services face legal and market disincentives to develop economies of scale or to provide the most cost-efficient and efficacious service; that health carriers face market disincentives in providing health care coverage to those Washington residents with the most need for health care coverage; and that potential competitors in the provision of health care coverage bear unequal burdens in entering the market for health care coverage.

      (2) The legislature therefore intends to exempt from state anti-trust laws, and to provide immunity from federal anti-trust laws through the state action doctrine for activities approved under this chapter that might otherwise be constrained by such laws and intends to displace competition in the health care market: To contain the aggregate cost of health care services; to promote the development of comprehensive, integrated, and cost-effective health care delivery systems through cooperative activities among health care providers and facilities; to promote comparability of health care coverage; to improve the cost-effectiveness in providing health care coverage relative to health promotion, disease prevention, and the amelioration or cure of illness; to assure universal access to a publicly determined, standard package of health care benefits; and to create reasonable equity in the distribution of funds, treatment, and medical risk among purchasers of health care coverage, payers of health care services, providers of health care services, health care facilities, and Washington residents. To these ends, any lawful action taken pursuant to chapter 492, Laws of 1993, by any person or entity created or regulated by chapter 492, Laws of 1993, are declared to be taken pursuant to state statute and in furtherance of the public purposes of the state of Washington.

      (3) The legislature does not intend and unless explicitly permitted in accordance with section 4 of this act or under rules adopted pursuant to chapter 492, Laws of 1993, does not authorize any person or entity to engage in activities or to conspire to engage in activities that would constitute per se violations of state and federal anti-trust laws including but not limited to conspiracies or agreements:

      (a) Among competing health care providers not to grant discounts, not to provide services, or to fix the price of their services;

      (b) Among health carriers as to the price or level of reimbursement for health care services;

      (c) Among health carriers to boycott a group or class of health care service providers;

      (d) Among purchasers of health plans to boycott a particular carrier or class of carriers;

      (e) Among health carriers to divide the market for health care coverage; or

      (f) Among health carriers and purchasers to attract or discourage enrollment of any Washington resident or groups of residents in a health carrier based upon the perceived or actual risk of loss in including such resident or group of residents in a health carrier or subscriber purchasing group.

      NEW SECTION. Sec. 4. MANAGED COMPETITION--COMPETITIVE OVERSIGHT--ATTORNEY GENERAL DUTIES--ANTI-TRUST IMMUNITY. (1) A health carrier, health care facility, health care provider, or other person involved in the development, delivery, or marketing of health care or health plans may request, in writing, that the insurance commissioner obtain an informal opinion from the attorney general as to whether particular conduct is lawful under federal and state anti-trust and similar statutes. Trade secret or proprietary information contained in a request for informal opinion shall be identified as such and shall not be disclosed other than to an authorized employee of the insurance commissioner or attorney general without the consent of the party making the request, except that information in summary or aggregate form and market share data may be contained in the informal opinion issued by the attorney general. The attorney general shall issue such opinion within thirty days of receipt of a written request for an opinion or within thirty days of receipt of any additional information requested by the attorney general necessary for rendering an opinion unless extended by the attorney general for good cause shown. If the attorney general concludes that such conduct is not lawful, the person or organization making the request may petition the commissioner for review and approval of such conduct in accordance with subsection (3) of this section.

      (2) After obtaining the written opinion of the attorney general and subject to the approval of the attorney general, the insurance commissioner:

      (a) May authorize conduct by a health carrier, health care facility, health care provider, or any other person that could tend to lessen competition in the relevant market upon a strong showing that the conduct is likely to achieve the policy goals of health care reform and a more competitive alternative is impractical;

      (b) Shall adopt rules governing conduct among providers, health care facilities, and health carriers including rules governing provider and facility contracts with health carriers, rules governing the use of "most favored nation" clauses and exclusive dealing clauses in such contracts, and rules providing that health carriers offering managed care health plans in rural areas contract with a sufficient number and type of health care providers and facilities to ensure consumer access to local health care services;

      (c) Shall adopt rules permitting health care providers within the service area of a plan to collectively negotiate the terms and conditions of contracts with the carrier including the ability of providers to meet and communicate for the purposes of these negotiations; and

      (d) Shall adopt rules governing cooperative activities among health care facilities and providers.

      (3) A health carrier, health care facility, health care provider, or any other person involved in the development, delivery, and marketing of health services or health plans may file a written petition with the insurance commissioner requesting approval of conduct that could tend to lessen competition in the relevant market. Such petition shall be filed in a form and manner prescribed by rule of the insurance commissioner. Trade secret or proprietary information contained in a written petition shall be identified as such and shall not be disclosed other than to an authorized employee of the commissioner or the attorney general without the consent of the party filing the written petition, except that information in summary or aggregate form and market share data may be contained in the written decision issued by the commissioner.

      Subject to the approval of the attorney general, the insurance commissioner shall issue a written decision approving or denying a petition filed under this section within ninety days of receipt of a properly completed written petition unless extended by the commissioner for good cause shown. The decision shall set forth findings as to benefits and disadvantages and conclusions as to whether the benefits outweigh the disadvantages.

      (4)(a) In authorizing conduct and adopting rules of conduct under this section, the insurance commissioner with the advice of the attorney general, shall consider the benefits of such conduct in furthering the goals of health care reform including but not limited to:

      (i) Enhancement of the quality of health services to consumers;

      (ii) Gains in cost-efficiency of health services;

      (iii) Improvements in utilization of health services and equipment;

      (iv) Avoidance of duplication of health services resources; or

      (v) And as to (a) (ii) and (iii) of this subsection: (A) Facilitates the exchange of information relating to performance expectations; (B) simplifies the negotiation of delivery arrangements and relationships; and (C) reduces the transactions costs on the part of health carriers and providers in negotiating more cost-effective delivery arrangements.

      (b) These benefits must outweigh disadvantages including and not limited to:

      (i) Reduced competition among health carriers, health care providers, or health care facilities;

      (ii) Adverse impact on quality, availability, or price of health care services to consumers; or

      (iii) The availability of arrangements less restrictive to competition that achieve the same benefits.

      (5) Conduct authorized by the insurance commissioner shall be deemed taken pursuant to state statute and in the furtherance of the public purposes of the state of Washington.

      (6) With the assistance of the attorney general's office, the insurance commissioner shall actively supervise any conduct authorized under this section to determine whether such conduct or rules permitting certain conduct should be continued and whether a more competitive alternative is practical. The commissioner shall periodically review petitioned conduct through, at least, annual progress reports from petitioners, annual or more frequent reviews by the commissioner that evaluate whether the conduct is consistent with the petition, and whether the benefits continue to outweigh any disadvantages. Subject to the advice and approval of the attorney general, the commissioner may determine that the likely benefits of any conduct approved through rule, petition, or otherwise by the commissioner no longer outweigh the disadvantages attributable to potential reduction in competition and the commissioner shall order a modification or discontinuance of such conduct. Conduct ordered discontinued by the commissioner shall no longer be deemed to be taken pursuant to state statute and in the furtherance of the public purposes of the state of Washington.

      (7) Nothing contained in this act is intended to in any way limit the ability of rural hospital districts to enter into cooperative agreements and contracts pursuant to RCW 70.44.450 and chapter 39.34 RCW."

      Renumber remaining sections consecutively and correct internal references.


MOTION


      On motion of Senator Spanel, further consideration of Engrossed Substitute House Bill No. 1589 was deferred.


PARLIAMENTARY INQUIRY


      Senator West: "A parliamentary inquiry. Once we go past the clock, this bill will still be for our consideration?"


RULING BY THE PRESIDENT


      President Pritchard: "Yes, we will come back to this bill, only, yes."


POINT OF ORDER

SPECIAL ORDER OF BUSINESS


      Senator Spanel: "Mr. President, I rise to a point of order. We have now reached the time for the Special Order of Business on Engrossed Substitute House Bill No. 1046."


SECOND READING


      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1046, by House Committee on Health Care (originally sponsored by Representatives Dyer, Carlson, Kremen, Cooke, Horn, Schoesler, Buck, Johnson, Thompson, Beeksma, B. Thomas, Radcliff, Hickel, Chandler, Backlund, Mastin, Mitchell, Foreman, Sehlin, Ballasiotes, Clements, Campbell, Sheldon, L. Thomas, Huff, Mielke, Talcott, McMahan, Stevens and Lisk)

 

Amending the health services act of 1993.


      The bill was read the second time.


MOTION


      At 5:02 p.m., on motion of Senator Spanel, the Senate was declared to be at ease.


      The Senate was called to order at 7:10 p.m. by President Pritchard.


      There being no objection, the Senate resumed consideration of Engrossed Substitute House Bill No. 1046, which was read in before going at ease.


MOTION


      Senator Quigley moved that the following Committee on Health and Long-Term Care amendment not be adopted:

      Strike everything after the enacting clause and insert the following:


"PROTECTION OF CONSUMER CHOICE AND QUALITY HEALTH CARE


      NEW SECTION. Sec. 1. The legislature intends through the enactment of this act to:

      (1) Protect an individual's right to decide from which provider he or she will receive health services and to maintain a high quality health care system. The legislature intends to achieve this by: Requiring certain insurers to offer a plan that allows consumers to see "any willing provider"; maintaining traditional indemnity insurance plans in addition to managed care plans; allowing the use of medical savings accounts; providing whistleblower protection for anyone who complains about the quality of care in any health facility or within any health plan; requiring full disclosure of the contents of a health plan; requiring disclosure of staff ratios in hospitals and qualifications of providers; requiring plans to conduct annual patient satisfaction surveys; and allowing employers, individuals, health care facilities, and religiously sponsored health plans to choose nonparticipation with any health service to which they object;

      (2) Eliminate preexisting condition exclusions in insurance, prevent cancellation of insurance because of sickness, and allow people to change jobs without losing their health care coverage. The legislature will achieve this by: Requiring insurers to renew policies as long as the premiums are duly paid; prohibiting insurers from denying a person insurance coverage because of a preexisting condition; and allowing the insurance commissioner to assess penalties for breaches of these provisions of law;

      (3) Minimize the role of government in the state health care system. The legislature intends to achieve this by: Abolishing unneeded powers and duties of the health services commission; and eliminating unnecessary regulations related to certified health plans;

      (4) Protect individual's, family's, and businesses' ability to maintain their health insurance and to allow those presently uninsured to purchase health insurance by making health insurance more affordable. The legislature will achieve this by allowing insurers to give limited discounts based on age and healthy lifestyle factors; allowing greater flexibility in the use of deductibles and coinsurance; by preventing self-insured companies from initially profiting from a healthier and less costly employee insurance pool and later cost-shifting if their employee insurance pool becomes less healthy and more costly; prohibiting insurers from cost-shifting from big business to small business and individuals in the sale of supplemental benefits; and permitting cooperative health care purchasing groups; and

      (5) Advance the fundamental goal that all Washingtonians should have access to health insurance and intends to achieve universal access through incentives rather than an employer mandate. The legislature intends to do this by: Expanding the existing basic health plan to two hundred thousand enrollees; expanding the availability of medicaid to an additional one hundred twenty-five thousand children; giving preference in state government contracts to employers who provide health insurance to their employees; allowing employers to sign up for basic health plan health insurance through their periodic filings with the department of labor and industries; and eliminating the employer mandate.

      Sec. 2. RCW 43.72.010 and 1994 c 4 s 1 are each amended to read as follows:

      In this chapter and chapter 43.70 RCW, unless the context otherwise requires:

      (1) "Certified health plan" or "plan" means a disability insurer regulated under chapter 48.20 or 48.21 RCW, a health care service contractor as defined in RCW 48.44.010, or a health maintenance organization as defined in RCW 48.46.020((, or an entity certified in accordance with RCW 48.43.020 through 48.43.120)).

      (2) "Chair" means the presiding officer of the Washington health services commission.

      (3) "Commission" or "health services commission" means the Washington health services commission.

      (4) "Community rate" ((means)):

      (a) With respect to the minimum list of health services means the rating method used to establish the premium for the ((uniform benefits package)) minimum list of health services adjusted to reflect actuarially demonstrated differences in utilization or cost attributable to geographic region, wellness factors, age, and family size as determined by the commission.

      (i) Adjustments to the rates for a certified health plan product permitted for age shall not result in a rate per enrollee of more than three hundred percent of the lowest rate for any enrollee in 1996, and two hundred fifty percent thereafter. Such age adjustments shall not use age brackets smaller than five-year increments, and shall begin with age twenty and end with age sixty-five;

      (ii) Adjustments to the rates for a certified health plan product permitted for wellness factors shall be limited to plus or minus ten percent;

      (iii) The rate charged for any certified health plan product may not be adjusted more frequently than annually except for rate decreases, except that rates may be changed to reflect enrollment changes, changes in family composition of the enrollee, or benefit changes to the health plan requested by the employer or enrollee;

      (iv) Adjustment to the rates are permitted for coverage of one child; and

      (v) Wellness factors include activities, such as smoking cessation, injury and accident prevention, reduction of alcohol or other drug misuse, appropriate weight reduction, exercise, automobile and motorcycle safety, blood cholesterol reduction, blood sugar control, and nutrition education for the purpose of improving enrollee health status and reducing health service costs.

      (b) With respect to supplemental benefits, means a rating method used to establish the premium for supplemental benefits adjusted to reflect actuarially demonstrated differences in utilization.

      (5) "Continuous quality improvement and total quality management" means a continuous process to improve health services while reducing costs.

      (6) "Employee" means a resident who is in the employment of an employer, as defined by chapter 50.04 RCW.

      (7) "Enrollee" means any person who is a Washington resident enrolled in a certified health plan.

      (8) "Enrollee point of service cost-sharing" means amounts paid to certified health plans directly providing services, health care providers, or health care facilities by enrollees for receipt of specific ((uniform benefits package)) minimum list of services, and may include copayments, coinsurance, or deductibles((, that together must be actuarially equivalent across plans and)) within overall limits established by the commission.

      The legislature approves the enrollee point of service cost-sharing provisions set forth as of the effective date of this act in proposed WAC 245-03-610 through 245-03-660 and directs the commission to adopt those rules as submitted to the legislature.

      Each certified health plan, other than health maintenance organizations, will offer the minimum list of health services with at least two of the following set of deductible options, revised biannually to account for inflation using the consumer price index and rounded to the nearest whole fifty dollars:

      (a) Zero deductible;

      (b) Two hundred fifty dollars deductible for individuals, seven hundred fifty dollars deductible for families;

      (c) Five hundred dollars deductible for individuals, one thousand dollars deductible for families;

      (d) One thousand dollars deductible for individuals, two thousand dollars deductible for families.

      (9) "Enrollee premium sharing" means that portion of the premium that is paid by enrollees or their family members.

      (10) "Federal poverty level" means the federal poverty guidelines determined annually by the United States department of health and human services or successor agency.

      (11) "Health care facility" or "facility" means hospices licensed under chapter 70.127 RCW, hospitals licensed under chapter 70.41 RCW, rural health care facilities as defined in RCW 70.175.020, psychiatric hospitals licensed under chapter 71.12 RCW, nursing homes licensed under chapter 18.51 RCW, community mental health centers licensed under chapter 71.05 or 71.24 RCW, kidney disease treatment centers licensed under chapter 70.41 RCW, ambulatory diagnostic, treatment or surgical facilities licensed under chapter 70.41 RCW, drug and alcohol treatment facilities licensed under chapter 70.96A RCW, and home health agencies licensed under chapter 70.127 RCW, and includes such facilities if owned and operated by a political subdivision or instrumentality of the state and such other facilities as required by federal law and implementing regulations, but does not include Christian Science sanatoriums operated, listed, or certified by the First Church of Christ Scientist, Boston, Massachusetts.

      (12) "Health care provider" or "provider" means:

      (a) A person regulated under Title 18 RCW ((and)) or chapter 70.127 RCW, to practice health or health-related services or otherwise practicing health care services in this state consistent with state law; or

      (b) An employee or agent of a person described in (a) of this subsection, acting in the course and scope of his or her employment.

      (13) "Health insurance purchasing cooperative" or "cooperative" means a member-owned and governed nonprofit organization certified in accordance with RCW 43.72.080 and 48.43.160. Any group of individuals may form a cooperative health care purchasing group in addition to and separate from the authority of health insurance purchasing cooperatives certified in accordance with RCW 43.72.080 and 48.43.160.

      (14) "Long-term care" means institutional, residential, outpatient, or community-based services that meet the individual needs of persons of all ages who are limited in their functional capacities or have disabilities and require assistance with performing two or more activities of daily living for an extended or indefinite period of time. These services include case management, protective supervision, in-home care, nursing services, convalescent, custodial, chronic, and terminally ill care.

      (15) "Major capital expenditure" means any project or expenditure for capital construction, renovations, or acquisition, including medical technological equipment, as defined by the commission, costing more than one million dollars.

      (16) "Managed care" means an integrated system of insurance, financing, and health services delivery functions that: (a) Assumes financial risk for delivery of health services and uses a defined network of providers; ((or)) (b) assumes financial risk for delivery of health services and promotes the efficient delivery of health services through provider assumption of some financial risk including capitation, prospective payment, resource-based relative value scales, fee schedules, or similar method of limiting payments to health care providers; or (c) assumes financial risk for delivery of health services and includes such cost-containment features as second surgical opinions, precertification authorization, utilization review, or high cost case management.

      (17) "Maximum enrollee financial participation" means the income-related total annual payments that may be required of an enrollee per family who chooses one of the three lowest priced ((uniform benefits packages)) minimum list of services offered by plans in a geographic region including both premium sharing and enrollee point of service cost-sharing.

      (18) "Minimum list of health services," "minimum health services list," or "minimum health services" means that schedule of covered health services, including the description of how those benefits are to be administered, that are required to be delivered to an enrollee under the basic health plan, as revised from time to time.

      (((18))) (19) "Persons of color" means Asians/Pacific Islanders, African, Hispanic, and Native Americans.

      (((19))) (20) "Premium" means all sums charged, received, or deposited by a certified health plan as consideration for ((a uniform benefits package)) the minimum list of health services or the continuance of ((a uniform benefits package)) the minimum list of health services. Any assessment, or any "membership," "policy," "contract," "service," or similar fee or charge made by the certified health plan in consideration for the ((uniform benefits package)) minimum list of health services is deemed part of the premium. "Premium" shall not include amounts paid as enrollee point of service cost-sharing.

      (((20))) (21) "Qualified employee" means an employee who is employed at least thirty hours during a week or one hundred twenty hours during a calendar month.

      (((21) "Registered employer health plan" means a health plan established by a private employer of more than seven thousand active employees in this state solely for the benefit of such employees and their dependents and that meets the requirements of RCW 43.72.120. Nothing contained in this subsection shall be deemed to preclude the plan from providing benefits to retirees of the employer.))

      (22) "Supplemental benefits" means those appropriate and effective health services that are not included in the ((uniform benefits package)) minimum list of health services or that expand the type or level of health services available under the ((uniform benefits package)) minimum list of health services and that are offered to all residents in accordance with the provisions of RCW 43.72.160 and 43.72.170.

      (23) "Technology" means the drugs, devices, equipment, and medical or surgical procedures used in the delivery of health services, and the organizational or supportive systems within which such services are provided. It also means sophisticated and complicated machinery developed as a result of ongoing research in the basic biological and physical sciences, clinical medicine, electronics, and computer sciences, as well as specialized professionals, medical equipment, procedures, and chemical formulations used for both diagnostic and therapeutic purposes.

      (24) "Uniform benefits package" or "package" means ((those appropriate and effective health services, defined by the commission under RCW 43.72.130, that must be offered to all Washington residents through certified health plans.)) the "minimum list of health services." References to "uniform benefits package" after the effective date of this act, throughout the Revised Code of Washington shall be construed to mean "minimum list of health services."

      (25) "Washington resident" or "resident" means a person who intends to reside in the state permanently or indefinitely and who did not move to Washington for the primary purpose of securing health services under ((RCW 43.72.090 through 43.72.240, 43.72.300, 43.72.310, 43.72.800)) this chapter, and chapters 48.43 and 48.85 RCW. "Washington resident" also includes people and their accompanying family members who are residing in the state for the purpose of engaging in employment for at least one month, who did not enter the state for the primary purpose of obtaining health services. The confinement of a person in a nursing home, hospital, or other medical institution in the state shall not by itself be sufficient to qualify such person as a resident.

      Sec. 3. RCW 43.72.040 and 1994 c 4 s 3 are each amended to read as follows:

      The commission has the following powers and duties:

      (1) ((Ensure that all residents of Washington state are enrolled in a certified health plan to receive the uniform benefits package, regardless of age, sex, family structure, ethnicity, race, health condition, geographic location, employment, or economic status.

      (2))) Endeavor to ensure that all residents of Washington state have access to appropriate, timely, confidential, and effective health services, and monitor the degree of access to such services. If the commission finds that individuals or populations lack access to certified health plan services, the commission shall:

      (a) Authorize appropriate state agencies, local health departments, community or migrant health clinics, public hospital districts, or other nonprofit health service entities to take actions necessary to assure such access. This includes authority to contract for or directly deliver services described within the ((uniform benefits package)) minimum list of health services to special populations; or

      (b) Notify appropriate certified health plans and the insurance commissioner of such findings. The commission shall adopt by rule standards by which the insurance commissioner may, in such event, require certified health plans in closest proximity to such individuals and populations to extend their catchment areas to those individuals and populations and offer them enrollment.

      (((3))) (2) Adopt necessary rules in accordance with chapter 34.05 RCW to carry out the purposes of chapter 492, Laws of 1993. An initial set of draft rules establishing at least the commission's organization structure, the uniform benefits package, and standards for certified health plan certification, must be submitted in draft form to appropriate committees of the legislature by December 1, 1994.

      (((4))) (3) Establish and modify as necessary, in consultation with the state board of health and the department of health, and in coordination with the planning process set forth in RCW 43.70.520, a uniform set of health services ((based on the recommendations of the health care cost control and access commission established under House Concurrent Resolution No. 4443 adopted by the legislature in 1990.

      (5) Establish and modify as necessary the uniform benefits package as provided in RCW 43.72.130, which shall be offered to enrollees of a certified health plan. The benefit package shall be provided at no more than the maximum premium specified in subsection (6) of this section)).

      (((6)(a))) (4) Establish for each year a community-rated maximum premium for the ((uniform benefits package)) minimum list of health services, adjusted for enrollee cost-sharing, that shall operate to control overall health care costs. The maximum premium cost of the ((uniform benefits package)) minimum list of health services in the base year 1995 shall be established upon an actuarial determination of the costs of providing the ((uniform benefits package)) minimum list of health services and such other cost impacts as may be deemed relevant by the commission. Beginning in 1996, the growth rate of the premium cost of the ((uniform benefits package)) minimum list of health services for each certified health plan shall be allowed to increase by a rate no greater than the average growth rate in the cost of the package between 1990 and 1993 as actuarially determined, reduced by two percentage points per year until the growth rate is no greater than the five-year rolling average of growth in Washington per capita personal income, as determined by the office of financial management.

      (((b) In establishing the community-rated maximum premium under this subsection, the commission shall review various methods for establishing the community-rated maximum premium and shall recommend such methods to the legislature by December 1, 1994.

      The commission may develop and recommend a rate for employees that provides nominal, if any, variance between the rate for individual employees and employees with dependents to minimize any economic incentive to an employer to discriminate between prospective employees based upon whether or not they have dependents for whom coverage would be required.

      (c) If the commission adds or deletes services or benefits to the uniform benefits package in subsequent years, it may increase or decrease the maximum premium to reflect the actual cost experience of a broad sample of providers of that service in the state, considering the factors enumerated in (a) of this subsection and adjusted actuarially. The addition of services or benefits shall not result in a redetermination of the entire cost of the uniform benefits package.

      (d) The level of state expenditures for the uniform benefits package shall be limited to the appropriation of funds specifically for this purpose.

      (7) Determine the need for medical risk adjustment mechanisms to minimize financial incentives for certified health plans to enroll individuals who present lower health risks and avoid enrolling individuals who present higher health risks, and to minimize financial incentives for employer hiring practices that discriminate against individuals who present higher health risks. In the design of medical risk distribution mechanisms under this subsection, the commission shall (a) balance the benefits of price competition with the need to protect certified health plans from any unsustainable negative effects of adverse selection; (b) consider the development of a system that creates a risk profile of each certified health plan's enrollee population that does not create disincentives for a plan to control benefit utilization, that requires contributions from plans that enjoy a low-risk enrollee population to plans that have a high-risk enrollee population, and that does not permit an adjustment of the premium charged for the uniform benefits package or supplemental coverage based upon either receipt or contribution of assessments; and (c) consider whether registered employer health plans should be included in any medical risk adjustment mechanism. Proposed medical risk adjustment mechanisms shall be submitted to the legislature as provided in RCW 43.72.180.

      (8))) (5) Design a mechanism to assure minors have access to confidential health care services as currently provided in RCW 70.24.110 and 71.34.030.

      (((9))) (6) Monitor the actual growth in total annual health services costs.

      (((10))) (7) Monitor the increased application of technology as required by chapter 492, Laws of 1993 and take necessary action to ensure that such application is made in a cost-effective and efficient manner and consistent with existing laws that protect individual privacy.

      (((11))) (8) Establish reporting requirements for certified health plans that own or manage health care facilities, health care facilities, and health care providers to periodically report to the commission regarding major capital expenditures of the plans. The commission shall review and monitor such reports and shall report to the legislature regarding major capital expenditures on at least an annual basis. The Washington health care facilities authority and the commission shall develop standards jointly for evaluating and approving major capital expenditure financing through the Washington health care facilities authority, as authorized pursuant to chapter 70.37 RCW. By December 1, 1994, the commission and the authority shall submit jointly to the legislature such proposed standards. The commission and the authority shall, after legislative review, but no later than June 1, 1995, publish such standards. Upon publication, the authority may not approve financing for major capital expenditures unless approved by the commission.

      (((12))) (9) Establish maximum enrollee financial participation levels. The levels shall be related to enrollee household income.

      (((13) Establish rules requiring employee enrollee premium sharing, as defined in RCW 43.72.010(9), be paid through deductions from wages or earnings.

      (14))) (10) For health services provided under the ((uniform benefits package)) minimum list of health services and supplemental benefits, adopt standards for enrollment, and standardized billing and claims processing forms. The standards shall ensure that these procedures minimize administrative burdens on health care providers, health care facilities, certified health plans, and consumers. Subject to federal approval or phase-in schedules whenever necessary or appropriate, the standards also shall apply to state-purchased health services, as defined in RCW 41.05.011.

      (((15))) (11) Propose that certified health plans adopt certain practice indicators or risk management protocols for quality assurance, utilization review, or provider payment. The commission may consider indicators or protocols recommended according to RCW 43.70.500 for these purposes.

      (((16))) (12) Propose other guidelines to certified health plans for utilization management, use of technology and methods of payment, such as diagnosis-related groups and a resource-based relative value scale. Such guidelines shall be voluntary and shall be designed to promote improved management of care, and provide incentives for improved efficiency and effectiveness within the delivery system.

      (((17))) (13) Adopt standards and oversee and develop policy for personal health data and information system as provided in chapter 70.170 RCW.

      (((18))) (14) Adopt standards that prevent conflict of interest by health care providers as provided in RCW 18.130.320.

      (((19))) (15) At the appropriate juncture and in the fullness of time, consider the extent to which ((medical research and)) health professions training activities should be included within the health service system set forth in chapter 492, Laws of 1993.

      (((20))) (16) Evaluate and monitor the extent to which racial and ethnic minorities have access to and receive health services within the state, and develop strategies to address barriers to access.

      (((21))) (17) Develop standards for the certification process to certify health plans and employer health plans to provide the ((uniform benefits package)) minimum list of health services, according to the provisions for certified health plans and registered employer health plans under chapter 492, Laws of 1993.

      (((22) Develop rules for implementation of individual and employer participation under RCW 43.72.210 and 43.72.220 specifically applicable to persons who work in this state but do not live in the state or persons who live in this state but work outside of the state. The rules shall be designed so that these persons receive coverage and financial requirements that are comparable to that received by persons who both live and work in the state.

      (23) After receiving advice from the health services effectiveness committee, adopt rules that must be used by certified health plans, disability insurers, health care service contractors, and health maintenance organizations to determine whether a procedure, treatment, drug, or other health service is no longer experimental or investigative.

      (24) Establish a process for purchase of uniform benefits package services by enrollees when they are out-of-state.

      (25) Develop recommendations to the legislature as to whether state and school district employees, on whose behalf health benefits are or will be purchased by the health care authority pursuant to chapter 41.05 RCW, should have the option to purchase health benefits through health insurance purchasing cooperatives on and after July 1, 1997. In developing its recommendations, the commission shall consider:

      (a) The impact of state or school district employees purchasing through health insurance purchasing cooperatives on the ability of the state to control its health care costs; and

      (b) Whether state or school district employees purchasing through health insurance purchasing cooperatives will result in inequities in health benefits between or within groups of state and school district employees.

      (26) Establish guidelines for providers dealing with terminal or static conditions, taking into consideration the ethics of providers, patient and family wishes, costs, and survival possibilities.

      (27) Evaluate the extent to which Taft-Hartley health care trusts provide benefits to certain individuals in the state; review the federal laws under which these trusts are organized; and make appropriate recommendations to the governor and the legislature on or before December 1, 1994, as to whether these trusts should be brought under the provisions of chapter 492, Laws of 1993 when it is fully implemented, and if the commission recommends inclusion of the trusts, how to implement such inclusion.

      (28))) (18) Evaluate whether Washington is experiencing a higher percentage in in-migration of residents from other states and territories than would be expected by normal trends as a result of the availability of unsubsidized and subsidized health care benefits for all residents and report to the governor and the legislature their findings.

      (((29) In developing the uniform benefits package and other standards pursuant to this section, consider the likelihood of the establishment of a national health services plan adopted by the federal government and its implications.

      (30))) (19) Evaluate the effect of reforms under chapter 492, Laws of 1993 on access to care and economic development in rural areas.

      (20) Periodically make recommendations to the appropriate committees of the legislature and the governor regarding the minimum list of health services.

      (21) Review and report on the use of medical savings accounts, including their impact on health of participants, and the cost of health insurance and cost shifting to, or from, other state residents who purchase insurance.

      (22) Conduct a study to identify the number of children with special health care needs and the cost of providing their health care. Children with special health care needs may include children who have multiple diagnoses including birth defects, congenital heart defects, cancer, kidney disease, respiratory, metabolic and neurological problems, diabetes, sickle cell disease, HIV infection, rheumatological disorders, and posttraumatic injuries, any of which may require care for longer than a year. The commission shall make recommendations on an optimal system for managing health care services to children with special needs and report back to the legislature on their findings by January 1, 1996.

      (23) Perform such planning and advisory duties as are required according to RCW 43.72.800 in order to recommend the inclusion of certain long-term care services in the minimum list of health services by July 1999.

      (24) Review rules prepared by the insurance commissioner, health care authority, and department of health, and make recommendations to them where appropriate to facilitate consistency with the policies of this act.

      To the extent that the exercise of any of the powers and duties specified in this section may be inconsistent with the powers and duties of other state agencies, offices, or commissions, the authority of the commission shall supersede that of such other state agency, office, or commission, except in matters of personal health data, where the commission shall have primary data system policy-making authority and the department of health shall have primary responsibility for the maintenance and routine operation of personal health data systems.

      NEW SECTION. Sec. 4. A new section is added to chapter 43.72 RCW to read as follows:

      (1) On or after January 1, 1996, no person or entity in this state shall offer a benefits package of the minimum list of health services or supplemental benefits without approval according to this section and related rules adopted by the insurance commissioner.

      (2) On and after January 1, 1996, no certified health plan may offer a benefits package less than the minimum list of health services to residents of this state.

      (3) Any certified health plan that submits a letter to the insurance commissioner stating their intent to offer the minimum list of health services, and that is determined by the commissioner to contain such documentation as may be required in rule, is deemed provisionally approved to offer the minimum list of health services. This provisional approval is valid for a length of time, to be determined by the commissioner, of no more than two years.

      (4) To receive full approval to offer the minimum list of health services, prior to the expiration of the period of provisional approval under subsection (3) of this section, the certified health plan must demonstrate to the insurance commissioner that the certified health plan complies with WAC 245-04-050, or the certified health plan will lose their license as a health maintenance organization, health care service contractor, or disability insurer.

      (5) No certified health plan may offer the minimum list of health services in this state as a health care service contractor, disability insurer, or health maintenance organization for more than two years under provisional approval without receiving full approval as a certified health plan from the insurance commissioner.

      (6) Anyone violating subsection (1) or (2) of this section is liable for a fine not to exceed ten thousand dollars and imprisonment not to exceed six months for each instance of such violation.

      Sec. 5. RCW 43.72.100 and 1993 c 492 s 428 are each amended to read as follows:

      A certified health plan shall:

      (1) Provide the benefits included in the ((uniform benefits package)) minimum list of health services to enrolled Washington residents for a ((prepaid per capita)) community-rated premium not to exceed the maximum premium established by the commission and provide such benefits through managed care in accordance with rules adopted by the commission: PROVIDED, That certified health plans shall not be required to sell the minimum list of health services at the "community rate" to any individual who is at the time of proposed enrollment in the certified health plan employed by a self-insured employer, or to any employer who was self-insured after December 31, 1995: PROVIDED FURTHER, That nothing herein shall permit a certified health plan to sell the minimum list of services at less than the community rate;

      (2) Offer supplemental benefits to enrolled Washington residents for a ((prepaid per capita)) community-rated premium and provide such benefits through managed care in accordance with rules adopted by the commission;

      (3) Except for a health maintenance organization licensed under chapter 48.46 RCW, have available for purchase the minimum list of health services in at least one plan that provides direct enrollee access to any health provider eligible to receive payment under that plan. This plan may encourage, but not require, its enrollees to use the most cost-effective providers through variable enrollee participation incentives. However, in no instances shall the patient be liable for any balance billing by the provider beyond the normal copayment, or coinsurance. Within this plan, the certified health plan must permit every health care provider willing and able to meet the terms and conditions of the plan to provide health services or care for conditions included in the minimum list of health services to the extent that:

      (a) The provision of such health services or care is within the health care providers' permitted scope of practice; and

      (b) The providers agree to abide by the plan's standards related to:

      (i) Provision, utilization review, and cost-containment of health services;

      (ii) Management and administrative procedures; and

      (iii) Provision of cost-effective and clinically efficacious health services;

      (4) Accept for enrollment any state resident within the plan's service area and provide or assure the provision of all services within the ((uniform benefits package)) minimum list of health services and offer supplemental benefits regardless of age, sex, family structure, ethnicity, race, health condition, geographic location, employment status, socioeconomic status, other condition or situation, or the provisions of RCW 49.60.174(2). The insurance commissioner may grant a temporary exemption from this subsection, if, upon application by a certified health plan, the commissioner finds that the clinical, financial, or administrative capacity to serve existing enrollees will be impaired if a certified health plan is required to continue enrollment of additional eligible individuals;

      (((4))) (5) If the plan provides benefits through contracts with, ownership of, or management of health care facilities and contracts with or employs health care providers, demonstrate to the satisfaction of the insurance commissioner in consultation with the department of health and the commission that its facilities and personnel are adequate to provide the benefits prescribed in the ((uniform benefits package)) minimum list of health services and offer supplemental benefits to enrolled Washington residents, and that it is financially capable of providing such residents with, or has made adequate contractual arrangements with health care providers and facilities to provide enrollees with such benefits;

      (((5))) (6) Comply with portability of benefits requirements prescribed by the commission;

      (((6))) (7) Comply with administrative rules prescribed by the commission, department of health, the insurance commissioner, and other state agencies governing certified health plans;

      (((7))) (8) Provide all enrollees with instruction and informational materials to increase individual and family awareness of injury and illness prevention; encourage assumption of personal responsibility for protecting personal health; and stimulate discussion about the use and limits of medical care in improving the health of individuals and communities;

      (9) Provide enrollees, and upon request, potential enrollees, with written disclosure of coverage and benefits, including coverage principles and any exclusions or restrictions on coverage, and make available upon request information on evaluation and treatment policies for specific conditions. Such information must be current, easily understandable, and easily available prior to enrollment and upon request thereafter;

      (10) Conduct annual enrollee satisfaction surveys and provide the survey results to their enrollees. The department of health shall set the form of such surveys in rule based on the recommendations of the health services commission in consultation with certified health plans;

      (((8))) (11) Disclose to enrollees the charity care requirements under chapter 70.170 RCW;

      (((9))) (12) Include in all of its contracts with health care providers and health care facilities a provision prohibiting such providers and facilities from billing enrollees for any amounts in excess of applicable enrollee point of service cost-sharing obligations for services included in the ((uniform benefits package)) minimum list of health services and supplemental benefits;

      (((10))) (13) Include in all of its contracts issued for ((uniform benefits package)) minimum list of health services and supplemental benefits coverage a subrogation provision that allows the certified health plan to recover the costs of ((uniform benefits package)) minimum list of health services and supplemental benefits services incurred to care for an enrollee injured by a negligent third party. The costs recovered shall be limited to:

      (a) If the certified health plan has not intervened in the action by an injured enrollee against a negligent third party, then the amount of costs the certified health plan can recover shall be limited to the excess remaining after the enrollee has been fully compensated for his or her loss minus a proportionate share of the enrollee's costs and fees in bringing the action. The proportionate share shall be determined by:

      (i) The fees and costs approved by the court in which the action was initiated; or

      (ii) The written agreement between the attorney and client that established fees and costs when fees and costs are not addressed by the court.

      When fees and costs have been approved by a court, after notice to the certified health plan, the certified health plan shall have the right to be heard on the matter of attorneys' fees and costs or its proportionate share;

      (b) If the certified health plan has intervened in the action by an injured enrollee against a negligent third party, then the amount of costs the certified health plan can recover shall be the excess remaining after the enrollee has been fully compensated for his or her loss or the amount of the plan's incurred costs, whichever is less;

      (((11))) (14) Establish and maintain a grievance procedure approved by the commissioner, to provide a reasonable and effective resolution of complaints initiated by enrollees concerning any matter relating to the provision of benefits under the ((uniform benefits package)) minimum list of health services and supplemental benefits, access to health care services, and quality of services. Each certified health plan shall respond to complaints filed with the insurance commissioner within fifteen working days. The insurance commissioner in consultation with the commission shall establish standards for resolution of grievances;

      (((12))) (15) Comply with the provisions of chapter 48.30 RCW prohibiting unfair and deceptive acts and practices to the extent such provisions are not specifically modified or superseded by the provisions of chapter 492, Laws of 1993 and be prohibited from offering or supplying incentives that would have the effect of avoiding the requirements of subsection (((3))) (4) of this section;

      (((13))) (16) Have culturally sensitive health promotion programs that include approaches that are specifically effective for persons of color and accommodating to different cultural value systems, gender, and age;

      (((14))) (17) Permit every category of health care provider to provide health services or care for conditions included in the ((uniform benefits package)) minimum list of health services to the extent that:

      (a) The provision of such health services or care is within the health care providers' permitted scope of practice; and

      (b) The providers agree to abide by standards related to:

      (i) Provision, utilization review, and cost containment of health services;

      (ii) Management and administrative procedures; and

      (iii) Provision of cost-effective and clinically efficacious health services;

      (((15))) (18) Establish the geographic boundaries in which they will obligate themselves to deliver the services required under the ((uniform benefits package)) minimum list of health services and include such information in their application for certification, but the commissioner shall review such boundaries and may disapprove, in conformance with guidelines adopted by the commission, those that have been clearly drawn to be exclusionary within a health care catchment area;

      (((16))) (19) Annually report the names and addresses of all officers, directors, or trustees of the certified health plan during the preceding year, and the amount of wages, expense reimbursements, or other payments to such individuals;

      (((17))) (20) Annually report the number of residents enrolled and terminated during the previous year. Additional information regarding the enrollment and termination pattern for a certified health plan may be required by the commissioner to determine compliance with the open enrollment and free access requirements of chapter 492, Laws of 1993; and

      (((18))) (21) Disclose any financial interests held by officers and directors in any facilities associated with or operated by the certified health plan.

      NEW SECTION. Sec. 6. A new section is added to chapter 43.72 RCW to read as follows:

      (1) On July 1, 1995, the commission shall file as proposed rules the draft and adopted rules in WAC 245-04-010 through 245-04-240, which establish certified health plan standards as they were submitted to the legislature by the health services commission on January 10, 1995. The commission may modify these rules according to the terms of chapter 34.05 RCW, the administrative procedure act, but must adopt them in final form no later than October 1, 1995.

      (2) On July 1, 1995, the commission shall file as proposed rules the draft rules in WAC 245-04-300 through 245-04-350, which establish certified health plan quality standards as they were submitted to the legislature by the health services commission on January 10, 1995. The commission may modify these rules according to chapter 34.05 RCW, the administrative procedure act, but must adopt the rules in final form no later than October 1, 1995.

      (3) The legislature does not approve, as of the effective date of this act, the health services commission's proposed uniform benefits package, nor does it approve the proposed medical risk adjustment mechanism under RCW 43.72.040(7) and indefinitely suspends the application of medical risk adjustment mechanisms, and the application of the uniform benefits package description contained in RCW 43.72.130.

      NEW SECTION. Sec. 7. A new section is added to chapter 70.47 RCW to read as follows:

      The administrator shall expand the schedule of covered basic health services that were available to an enrollee of the basic health plan as of July 1, 1994, to include services of licensed midwives, limited chiropractic care, limited chemical dependency services, limited mental health services, and limited medical rehabilitation. Such expansion shall not increase the actuarially determined average member per month cost, excluding adjustments for inflation and utilization by more than five percent. After the administrator has made the modifications to the basic health plan that are necessary to include these services, the basic health plan may not be further modified in a manner that will increase the average per member per month cost except by an act of law.

      NEW SECTION. Sec. 8. A new section is added to chapter 41.05 RCW to read as follows:

      The authority shall study and report to the legislature on the feasibility of including long-term care services in a medicare supplemental insurance policy offered according to RCW 41.05.197.

      NEW SECTION. Sec. 9. (1) This chapter shall be known as the medical care savings account act.

      (2) Medical care savings accounts are authorized in Washington state as options to employers and residents.

      Sec. 10. RCW 43.72.190 and 1993 c 492 s 455 are each amended to read as follows:

      (1) Nothing in chapter 492, Laws of 1993 or chapter . . ., Laws of 1995 (this act) shall preclude insurers, health care service contractors, health maintenance organizations, or certified health plans from insuring, providing, or contracting for benefits not included in the ((uniform benefits package or in supplemental benefits)) minimum list of health services.

      (2) Nothing in chapter 492, Laws of 1993 or chapter . . ., Laws of 1995 (this act) shall restrict the right of an employer to offer, an employee representative to negotiate for, or an individual or employer to purchase ((supplemental or additional)) any benefits not included in the ((uniform benefits package)) minimum list of health services.

      (3) Nothing in chapter 492, Laws of 1993 or chapter . . ., Laws of 1995 (this act) shall restrict the right of an employer to offer or provide or an employee representative to negotiate for employer payment ((of up to one hundred percent of the premium of the lowest priced uniform benefits package available in the geographic area where the employer is located)) of the entire premium for any health insurance or for employer reimbursement of any point-of-service cost-sharing amounts that may be required under such health insurance.

      (4) Nothing in chapter 492, Laws of 1993 or chapter . . ., Laws of 1995 (this act) shall be construed to affect the collective bargaining rights of employee organizations ((to the extent that federal law specifically restricts the ability of states to limit collective bargaining rights of employee organizations)).

      (5) After July 1, 1999, no property or casualty insurance policy issued in this state may provide first-party coverage for health services to the extent that such services are provided under a uniform benefits package covering the resident to whom such property or casualty insurance policy is issued.

      NEW SECTION. Sec. 11. A new section is added to chapter 43.70 RCW to read as follows:

      (1) The identity of a whistleblower who complains, in good faith, to the department of health about the improper quality of care by a health care provider, by a certified health plan, or in a health care facility, as defined in RCW 43.72.010, shall remain confidential. The provisions of RCW 4.24.500 through 4.24.520, providing certain protections to persons who communicate to government agencies, shall apply to complaints filed under this section. The identity of the whistleblower shall remain confidential unless the department determines that the complaint was not made in good faith. An employee who is a whistleblower, as defined in this section, and who as a result of being a whistleblower has been subjected to workplace reprisal or retaliatory action has the remedies provided under chapter 49.60 RCW.

      (2)(a) "Improper quality of care" means any practice, procedure, action, or failure to act that violates any state law or rule of the applicable state health licensing authority under Title 18 RCW, or chapters 70.41, 70.96A, 70.127, 70.175, 71.05, 71.12, and 71.24 RCW, or certified health plan rules under the authority of this act and enforced by the insurance commissioner or the department of health. Each health disciplinary authority as defined in RCW 18.130.040 shall, with consultation and interdisciplinary coordination provided by the state department of health, adopt rules defining accepted standards of practice for their profession that shall further define improper quality of care. Improper quality of care shall not include personnel actions related to employee performance or taken according to established terms and conditions of employment.

      (b) "Reprisal or retaliatory action" means but is not limited to: Denial of adequate staff to perform duties; frequent staff changes; frequent and undesirable office changes; refusal to assign meaningful work; unwarranted and unsubstantiated report of misconduct pursuant to Title 18 RCW; letters of reprimand or unsatisfactory performance evaluations; demotion; reduction in pay; denial of promotion; suspension; dismissal; denial of employment; and a supervisor or superior encouraging coworkers to behave in a hostile manner toward the whistleblower.

      (c) "Whistleblower" means a consumer, employee, or health care professional who in good faith reports alleged quality of care concerns to the department of health.

      (3) Nothing in this section prohibits a health care facility from making any decision exercising its authority to terminate, suspend, or discipline an employee who engages in workplace reprisal or retaliatory action against a whistleblower.

      (4) The department shall adopt rules to implement this section, including procedures for filing, investigation, and resolution of whistleblower complaints that are integrated with complaint procedures under Title 18 RCW for health professionals and chapter 43.72 RCW for certified health plans.

      NEW SECTION. Sec. 12. A new section is added to chapter 43.70 RCW to read as follows:

      All health care facilities, certified health plans, and providers must develop and disclose a staffing plan to include professional and nonprofessional staff including direct registered nurse to patient ratios for each treatment setting and shift. This section does not require a certified health plan, health care facility, or health provider to adhere to any particular standard that may not be otherwise provided by law. The department shall set in rule the forms, frequency of disclosure, and posting requirements for such information.

      NEW SECTION. Sec. 13. A new section is added to chapter 70.41 RCW to read as follows:

      The department of health in consultation with the nursing quality assurance commission under chapter 18.79 RCW may, within funds appropriated specifically for the purpose, study staffing plans for hospitals, including the relationship between staffing ratios and patient care needs. The department shall develop a report with any recommendations it chooses to make to the legislature regarding specific changes in state law regarding these matters.

      Sec. 14. RCW 43.72.070 and 1993 c 492 s 409 are each amended to read as follows:

      To ensure the highest quality health services at the lowest total cost, the commission shall establish a total quality management system of continuous quality improvement. Such endeavor shall be based upon the recognized quality science for continuous quality improvement. The commission shall impanel a committee composed of persons from the private sector and related sciences who have broad knowledge and successful experiences in continuous quality improvement and total quality management applications. It shall be the responsibility of the committee to develop quality standards for ((a Washington state health services supplier certification process)) certified health plans and recommend such standards, and the process for assuring that plans meet such standards, to the commission for review and adoption. Once adopted, the commission shall establish a schedule, with full compliance no later than ((July 1, 1996)) four years from the date of the plan's first provisional approval by the office of the insurance commissioner to provide the minimum list of health services, whereby all health ((service providers and health service facilities)) plans shall ((be certified prior to providing uniform benefits package services)) meet the requirements of the commission's quality assurance and improvement rules and be accredited by an approved quality review organization.

      Sec. 15. RCW 48.30.010 and 1985 c 264 s 13 are each amended to read as follows:

      (1) No person engaged in the business of insurance shall engage in unfair methods of competition or in unfair or deceptive acts or practices in the conduct of such business as such methods, acts, or practices are defined pursuant to subsection (2) of this section.

      (2) In addition to such unfair methods and unfair or deceptive acts or practices as are expressly defined and prohibited by this code, the commissioner may from time to time by regulation promulgated pursuant to chapter 34.05 RCW, define other methods of competition and other acts and practices in the conduct of such business reasonably found by the commissioner to be unfair or deceptive, which shall include any act or practice that has the effect of changing access to appropriate and effective health services in a manner proscribed by the laws and rules of the state of Washington.

      (3) No such regulation shall be made effective prior to the expiration of thirty days after the date of the order by which it is promulgated.

      (4) If the commissioner has cause to believe that any person is violating any such regulation, the commissioner may order such person to cease and desist therefrom. The commissioner shall deliver such order to such person direct or mail it to the person by registered mail with return receipt requested. If the person violates the order after expiration of ten days after the cease and desist order has been received by him or her, he or she may be fined by the commissioner a sum not to exceed two hundred and fifty dollars for each violation committed thereafter.

      (5) If any such regulation is violated, the commissioner may take such other or additional action as is permitted under the insurance code for violation of a regulation.

      Sec. 16. RCW 48.44.490 and 1993 c 492 s 288 are each amended to read as follows:

      (1) With respect to all health care service contracts issued or renewed on and after July 1, 1994, except limited health care service contracts as defined in RCW 48.44.035:

      (a) Contracts shall guarantee continuity of coverage. Such provision, which shall be included in every contract, shall provide that:

      (i) The contract may be canceled or nonrenewed without the prior written approval of the commissioner only for nonpayment of premiums, for violation of published policies of the contractor that have been approved by the commissioner, for persons who are entitled to become eligible for medicare benefits and fail to subscribe to a medicare supplement plan offered by the contractor, for failure of such subscriber to pay any deductible or copayment amount owed to the contractor and not the provider of health care services, for fraud, or for a material breach of the contract; and

      (ii) The contract may be canceled or nonrenewed because of a change in the physical or mental condition or health of a covered person only with the prior written approval of the commissioner. Such approval shall be granted only when the contractor has discharged its obligation to continue coverage for such person by obtaining coverage with another insurer, health care service contractor, or health maintenance organization, which coverage is comparable in terms of premiums and benefits as defined by rule of the commissioner.

      (b) It is an unfair practice for a contractor to modify the coverage provided or rates applying to an in-force contract and to fail to make such modification in all such issued and outstanding contracts.

      (c) Subject to rules adopted by the commissioner, it is an unfair practice for a health care service contractor to:

      (i) Cease the sale of a contract form unless it has received prior written authorization from the commissioner and has offered all subscribers covered under such discontinued contract the opportunity to purchase comparable coverage without health screening; or

      (ii) Engage in a practice that subjects subscribers to rate increases on discontinued contract forms unless such subscribers are offered the opportunity to purchase comparable coverage without health screening.

      (2) The health care service contractor may limit an offer of comparable coverage without health screening to a period not less than thirty days from the date the offer is first made.

      (3) In addition to such unfair methods and unfair or deceptive acts or practices as are expressly defined and prohibited by this code, the commissioner may from time to time by rule adopted pursuant to chapter 34.05 RCW, define other methods of competition and other acts and practices in the conduct of such business reasonably found by the commissioner to be unfair or deceptive, which shall include any act or practice that has the effect of changing access to appropriate and effective health services in a manner proscribed by the laws and rules of the state of Washington.

      Sec. 17. RCW 48.46.560 and 1993 c 492 s 289 are each amended to read as follows:

      (1) With respect to all health maintenance agreements issued or renewed on and after July 1, 1994, and in addition to the restrictions and limitations contained in RCW 48.46.060(4):

      (a) Agreements shall guarantee continuity of coverage. Such provision, which shall be included in every agreement, shall provide that the agreement may be canceled or nonrenewed because of a change in the physical or mental condition or health of a covered person only with the prior written approval of the commissioner. Such approval shall be granted only when the organization has discharged its obligation to continue coverage for such person by obtaining coverage with another insurer, health care service contractor, or health maintenance organization, which coverage is comparable in terms of premiums and benefits as defined by rule of the commissioner.

      (b) It is an unfair practice for an organization to modify the coverage provided or rates applying to an in-force agreement and to fail to make such modification in all such issued and outstanding agreements.

      (c) Subject to rules adopted by the commissioner, it is an unfair practice for a health maintenance organization to:

      (i) Cease the sale of an agreement form unless it has received prior written authorization from the commissioner and has offered all enrollees covered under such discontinued agreement the opportunity to purchase comparable coverage without health screening; or

      (ii) Engage in a practice that subjects enrollees to rate increases on discontinued agreement forms unless such enrollees are offered the opportunity to purchase comparable coverage without health screening.

      (2) The health maintenance organization may limit an offer of comparable coverage without health screening to a period not less than thirty days from the date the offer is first made.

      (3) In addition to such unfair methods and unfair or deceptive acts or practices as are expressly defined and prohibited by this code, the commissioner may from time to time by rule adopted pursuant to chapter 34.05 RCW, define other methods of competition and other acts and practices in the conduct of such business reasonably found by the commissioner to be unfair or deceptive, which shall include any act or practice that has the effect of changing access to appropriate and effective health services in a manner proscribed by the laws and rules of the state of Washington.

      NEW SECTION. Sec. 18. A new section is added to Title 48 RCW to read as follows:

      The legislature recognizes that every individual possesses a fundamental right to exercise their religious beliefs and conscience. The legislature further recognizes that in developing public policy, conflicting religious and moral beliefs must be respected. Therefore, while recognizing the right of conscientious objection to participating in specific health services, the state shall also recognize the right of individuals enrolled with a certified health plan to receive the full range of services covered under the minimum list of health services.

      NEW SECTION. Sec. 19. A new section is added to Title 48 RCW to read as follows:

      (1) No individual health care provider, health care facility, or religiously sponsored certified health plan may be required by law or contract in any circumstances to directly participate in the provision of or payment for a specific service in this minimum list of health services if they object to so doing for reason of conscience or religion. No person may be discriminated against in employment or professional privileges because of such objection.

      (2) The provisions of this section are not intended to result in an enrollee being denied timely access to any service included in the minimum list of health services. Each certified health plan shall:

      (a) Provide written notice to enrollees, upon enrollment with the plan and upon enrollee request thereafter, listing, by provider, services that any provider refuses to perform for reason of conscience or religion;

      (b) Develop written information describing how an enrollee may directly access, in an expeditious manner, services that the provider refuses to perform; and

      (c) Ensure that enrollees refused services under this section have prompt access to the information developed pursuant to (b) of this subsection.

      (3) The health services commission shall adopt rules to implement this section and establish a mechanism to ensure enrollees timely access to the minimum list of health services and to assure prompt payment to service providers.

      NEW SECTION. Sec. 20. A new section is added to Title 48 RCW to read as follows:

      (1) No individual or organization with a religious or moral tenet opposed to a specific service on the minimum list of health services may be required to purchase coverage for that service or services if the individual or organization objects to doing so for reason of conscience or religion.

      (2) The provisions of this section shall not result in an enrollee being denied coverage of, and timely access to, any service or services excluded from their benefits package as a result of their employer's or another individual's exercise of the conscience clause outlined in subsection (1) of this section.

      (3) The health services commission shall define the process through which certified health plans may offer the minimum list of health services to individuals and organizations identified in subsections (1) and (2) of this section in accordance to the provisions of section 19(3) of this act.

      NEW SECTION. Sec. 21. A new section is added to chapter 70.47 RCW to read as follows:

      Insurance brokers and agents who hold the proper license pursuant to chapter 43.17 RCW shall be entitled to sell the basic health plan and shall receive from the health care authority a three percent commission for each individual sale of the basic health plan to anyone not previously signed up and a one percent commission for each group sale of the basic health plan. No commission shall be provided upon a renewal. Commissions shall be determined based on the estimated annual cost of the basic health plan. The health care authority shall use moneys in the basic health plan trust account for this purpose.

      NEW SECTION. Sec. 22. A new section is added to chapter 43.70 RCW to read as follows:

      The legislature finds that assuring adequate access to quality health services in rural and medically underserved areas requires special efforts to recruit and train health service providers and the development of health care systems in these areas. The state department of health has provided valuable coordination and technical assistance in these efforts through its office of rural health. The University of Washington's rural and underserved opportunities program and its community health systems development program have voluntarily initiated various creative efforts, which have made solid progress in meeting these essential state needs, despite the lack of explicit financial support from state government for these purposes. The legislature recognizes that increased price competition in health services delivery may jeopardize the University of Washington's laudatory efforts in these areas, and in other teaching and research endeavors that are critical to promoting universal access to quality health services. Therefore, the department of health is authorized to ensure the continuation of these efforts as well as their coordination in the context of overall health systems development, within funds specially appropriated for this purpose.

      There is appropriated to the department of health from the health services account, the amount of five hundred thousand dollars for the 1995-1997 biennium to contract with the University of Washington to support community health systems development services and rural and underserved health provider opportunities in communities targeted by the department of health in consultation with selected local health jurisdictions and hospital districts in rural and medically underserved areas. This contract may contain no more than a ten percent indirect cost, overhead, or administrative allocation to the University of Washington. No less than fifty percent of the funds provided in this section must support expanded efforts in these areas.

      NEW SECTION. Sec. 23. The sum of . . . . . . dollars, or as much thereof as may be necessary, is appropriated for the biennium ending June 30, 1997, from the health services account to the health care authority to expand basic health plan subsidized enrollment to a total of at least two hundred thousand adults, including at least one hundred thousand employer-sponsored adults with income below two hundred percent of the federal poverty level.

      NEW SECTION. Sec. 24. In addition to other moneys appropriated to the department of social and health services for medical assistance, the sum of . . . . . . dollars, or as much thereof as may be necessary, is appropriated for the biennium ending June 30, 1997, from the health services account to the department of social and health services, to serve an additional one hundred twenty-five thousand children.

      NEW SECTION. Sec. 25. The health care authority, the office of financial management, the department of social and health services, and the state treasurer shall together monitor the enrollee level in the basic health plan and medicaid and adjust the funding levels by transfers of funds between the basic health plan and medicaid and adjust the funding levels by transfers of funds between the basic health plan subscription accounts and the medicaid dollars appropriated in sections 23 and 24 of this act to maximize enrollment.

      NEW SECTION. Sec. 26. A new section is added to chapter 43.19 RCW to read as follows:

      Any person, firm, or organization that makes any bid to provide any goods or services to any state agency shall be granted a preference over other bidders if at the time the bid is submitted the vendor provides the minimum list of health services as defined in chapter 43.72 RCW to ninety-five percent of their employees and pays at least fifty percent of the related premium. The preference provided under this section shall be equal to ten percent of the total points awarded in the bid process. For purposes of this section employees of under three months are not included in the computation.

      NEW SECTION. Sec. 27. A new section is added to Title 51 RCW to read as follows:

      The department of labor and industries and the health care authority shall develop an easy employer payment method for the basic health plan under which an employer can make his or her basic health plan payment on the same forms and in the same check he or she uses to make workers' compensation payments.

      Sec. 28. RCW 18.130.320 and 1993 c 492 s 408 are each amended to read as follows:

      The Washington health services commission established by RCW 43.72.020, in consultation with the secretary of health, and the health care disciplinary authorities under RCW 18.130.040(2)(b), shall establish standards and monetary penalties in rule prohibiting provider investments and referrals that present a conflict of interest resulting from inappropriate financial gain for the provider or his or her immediate family. These standards are not intended to inhibit the efficient operation of managed health care systems or certified health plans. ((The commission shall report to the health policy committees of the senate and house of representatives by December 1, 1994, on the development of the standards and any recommended statutory changes necessary to implement the standards.))

      NEW SECTION. Sec. 29. The following acts or parts of acts are each repealed:

      (1) RCW 43.72.200 and 1993 c 492 s 456;

      (2) RCW 43.72.220 and 1993 c 494 s 3 & 1993 c 492 s 464;

      (3) RCW 43.72.240 and 1993 c 494 s 4 & 1993 c 492 s 466;

      (4) RCW 43.72.810 and 1993 c 492 s 474;

      (5) RCW 43.72.210 and 1993 c 492 s 463;

      (6) RCW 43.72.120 and 1993 c 492 s 430;

      (7) RCW 43.72.090 and 1995 c 2 s 1 & 1993 c 492 s 427;

      (8) RCW 48.43.010 and 1993 c 492 s 432;

      (9) RCW 48.43.020 and 1993 c 492 s 433;

      (10) RCW 48.43.030 and 1993 c 492 s 434;

      (11) RCW 48.43.040 and 1993 c 492 s 435;

      (12) RCW 48.43.050 and 1993 c 492 s 436;

      (13) RCW 48.43.060 and 1993 c 492 s 437;

      (14) RCW 48.43.070 and 1993 c 492 s 438;

      (15) RCW 48.43.080 and 1993 c 492 s 439;

      (16) RCW 48.43.090 and 1993 c 492 s 440;

      (17) RCW 48.43.100 and 1993 c 492 s 441;

      (18) RCW 48.43.110 and 1993 c 492 s 442;

      (19) RCW 48.43.120 and 1993 c 492 s 443;

      (20) RCW 48.43.130 and 1993 c 492 s 444;

      (21) RCW 48.43.150 and 1993 c 492 s 446;

      (22) RCW 43.72.060 and 1994 c 4 s 2 & 1993 c 492 s 404;

      (23) RCW 43.72.140 and 1993 c 492 s 450; and

      (24) RCW 43.72.150 and 1993 c 492 s 451.

      NEW SECTION. Sec. 30. Section 9 of this act shall constitute a new chapter in Title 48 RCW.

      NEW SECTION. Sec. 31. This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect immediately."

      The President declared the question before the Senate to be the motion by Senator Quigley that the Committee on Health and Long-Term Care striking amendment to Engrossed Substitute House Bill No. 1046 not be adopted.

      The motion by Senator Quigley carried and the committee striking amendment was not adopted.


MOTIONS


      Senator Quigley moved that the following amendment by Senators Quigley, Owen, Moyer and Deccio be adopted:

      Strike everything after the enacting clause and insert the following:

      "NEW SECTION. Sec. 1. A new section is added to chapter 70.47 RCW to read as follows:

      BASIC HEALTH PLAN--EXPANDED ENROLLMENT. (1) The legislature finds that the basic health plan has been an effective program in providing health coverage for uninsured residents. Further, since 1993, substantial amounts of public funds have been allocated for subsidized basic health plan enrollment.

      (2) It is the intent of the legislature that the basic health plan enrollment be expanded expeditiously, consistent with funds available in the health services account, with the goal of two hundred thousand adult subsidized basic health plan enrollees and one hundred thirty thousand children covered through expanded medical assistance services by June 30, 1997, with the priority of providing needed health services to children in conjunction with other public programs.

      (3) Effective January 1, 1996, basic health plan enrollees whose income is less than one hundred twenty-five percent of the federal poverty level shall pay at least a ten-dollar premium share.

      (4) No later than July 1, 1996, the administrator shall implement procedures whereby hospitals licensed under chapters 70.41 and 71.12 RCW, health carrier, rural health care facilities regulated under chapter 70.175 RCW, and community and migrant health centers funded under RCW 41.05.220, may expeditiously assist patients and their families in applying for basic health plan or medical assistance coverage, and in submitting such applications directly to the health care authority or the department of social and health services. The health care authority and the department of social and health services shall make every effort to simplify and expedite the application and enrollment process.

      (5) No later than July 1, 1996, the administrator shall implement procedures whereby health insurance agents and brokers, licensed under chapter 48.17 RCW, may expeditiously assist patients and their families in applying for basic health plan or medical assistance coverage, and in submitting such applications directly to the health care authority or the department of social and health services. Brokers and agents shall be entitled to receive a commission for each individual sale of the basic health plan to anyone not at anytime previously signed up and a commission for each group sale of the basic health plan. No commission shall be provided upon a renewal. Commissions shall be determined based on the estimated annual cost of the basic health plan, however, commissions shall not result in a reduction in the premium amount paid to health carriers. For purposes of this section "health carrier" is as defined in section 4 of this act. The health care authority and the department of social and health services shall make every effort to simplify and expedite the application and enrollment process.

      NEW SECTION. Sec. 2. HEALTH CARE SAVINGS ACCOUNTS. (1) This chapter shall be known as the health care savings account act.

      (2) The legislature recognizes that the costs of health care are increasing rapidly and most individuals are removed from participating in the purchase of their health care.

      As a result, it becomes critical to encourage and support solutions to alleviate the demand for diminishing state resources. In response to these increasing costs in health care spending, the legislature intends to clarify that health care savings accounts may be offered as health benefit options to all residents as incentives to reduce unnecessary health services utilization, administration, and paperwork, and to encourage individuals to be in charge of and participate directly in their use of service and health care spending. To alleviate the possible impoverishment of residents requiring long-term care, health care savings accounts may promote savings for long-term care and provide incentives for individuals to protect themselves from financial hardship due to a long-term health care need.

      (3) Health care savings accounts are authorized in Washington state as options to employers and residents.

      NEW SECTION. Sec. 3. HEALTH CARE SAVINGS ACCOUNTS--REQUEST FOR TAX EXEMPTION. The governor and responsible agencies shall:

      (1) Request that the United States congress amend the internal revenue code to treat premiums and contributions to health benefits plans, such as health care savings account programs, basic health plans, conventional and standard health plans offered through a health carrier, by employers, self-employed persons, and individuals, as fully excluded employer expenses and deductible from individual adjusted gross income for federal tax purposes.

      (2) Request that the United States congress amend the internal revenue code to exempt from federal income tax interest that accrues in health care savings accounts until such money is withdrawn for expenditures other than eligible health expenses as defined in law.

      (3) If all federal statute or regulatory waivers necessary to fully implement this chapter have not been obtained by the effective date of this section, this chapter shall remain in effect.

      NEW SECTION. Sec. 4. DEFINITIONS. Unless otherwise specifically provided, the definitions in this section apply throughout this chapter.

      (1) "Adjusted community rate" means the rating method used to establish the premium for health plans adjusted to reflect actuarially demonstrated differences in utilization or cost attributable to geographic region, age, family size, and use of wellness activities.

      (2) "Covered person" or "enrollee" means a person covered by a health plan including an enrollee, subscriber, policyholder, beneficiary of a group plan, or individual covered by any other health plan.

      (3) "Eligible employee" means an employee who works on a full-time basis with a normal work week of thirty or more hours. The term includes a self-employed individual, including a sole proprietor, a partner of a partnership, and may include an independent contractor, if the self-employed individual, sole proprietor, partner, or independent contractor is included as an employee under a health benefit plan of a small employer, but does not work less than thirty hours per week and derives at least seventy-five percent of his or her income from a trade or business through which he or she has attempted to earn taxable income and for which he or she has filed the appropriate internal revenue service form. Persons covered under a health benefit plan pursuant to the consolidated omnibus budget reconciliation act of 1986 shall not be considered eligible employees for purposes of minimum participation requirements of this act.

      (4) "Enrollee point-of-service cost-sharing" means amounts paid to health carriers directly providing services, health care providers, or health care facilities by enrollees and may include copayments, coinsurance, or deductibles.

      (5) "Health care facility" or "facility" means hospices licensed under chapter 70.127 RCW, hospitals licensed under chapter 70.41 RCW, rural health care facilities as defined in RCW 70.175.020, psychiatric hospitals licensed under chapter 71.12 RCW, nursing homes licensed under chapter 18.51 RCW, community mental health centers licensed under chapter 71.05 or 71.24 RCW, kidney disease treatment centers licensed under chapter 70.41 RCW, ambulatory diagnostic, treatment, or surgical facilities licensed under chapter 70.41 RCW, drug and alcohol treatment facilities licensed under chapter 70.96A RCW, and home health agencies licensed under chapter 70.127 RCW, and includes such facilities if owned and operated by a political subdivision or instrumentality of the state and such other facilities as required by federal law and implementing regulations.

      (6) "Health care provider" or "provider" means:

      (a) A person regulated under Title 18 or chapter 70.127 RCW, to practice health or health-related services or otherwise practicing health care services in this state consistent with state law; or

      (b) An employee or agent of a person described in (a) of this subsection, acting in the course and scope of his or her employment.

      (7) "Health care service" means that service offered or provided by health care facilities and health care providers relating to the prevention, cure, or treatment of illness, injury, or disease. 

      (8) "Health carrier" or "carrier" means a disability insurer regulated under chapter 48.20 or 48.21 RCW, a health care service contractor as defined in RCW 48.44.010, or a health maintenance organization as defined in RCW 48.46.020.

      (9) "Health plan" or "health benefit plan" means any policy, contract, or agreement offered by a health carrier to provide, arrange, reimburse, or pay for health care service except the following:

      (a) Long-term care insurance governed by chapter 48.84 RCW;

      (b) Medicare supplemental health insurance governed by chapter 48.66 RCW;

      (c) Limited health care service offered by limited health care service contractors in accordance with RCW 48.44.035;

      (d) Disability income;

      (e) Coverage incidental to a property/casualty liability insurance policy such as automobile personal injury protection coverage and homeowner guest medical;

      (f) Workers' compensation coverage;

      (g) Accident only coverage;

      (h) Specified disease and hospital confinement indemnity when marketed solely as a supplement to a health plan;

      (i) Employer-sponsored self-funded health plans; and

      (j) Dental only and vision only coverage.

      (10) "Basic health plan services" means that schedule of covered health services, including the description of how those benefits are to be administered, that are required to be delivered to an enrollee under the basic health plan, as revised from time to time.

      (11) "Preexisting condition" means any medical condition, illness, or injury that existed any time prior to the effective date of coverage.

      (12) "Premium" means all sums charged, received, or deposited by a health carrier as consideration for a health plan or the continuance of a health plan. Any assessment or any "membership," "policy," "contract," "service," or similar fee or charge made by a health carrier in consideration for a health plan is deemed part of the premium. "Premium" shall not include amounts paid as enrollee point-of-service cost-sharing.

      (13) "Small employer" means any person, firm, corporation, partnership, association, political subdivision, or self-employed individual that is actively engaged in business that, on at least fifty percent of its working days during the preceding calendar quarter, employed no more than fifty eligible employees, with a normal work week of thirty or more hours, the majority of whom were employed within this state, and is not formed primarily for purposes of buying health insurance and in which a bona fide employer-employee relationship exists. In determining the number of eligible employees, companies that are affiliated companies, or that are eligible to file a combined tax return for purposes of taxation by this state, shall be considered an employer. Subsequent to the issuance of a health plan to a small employer and for the purpose of determining eligibility, the size of a small employer shall be determined annually. Except as otherwise specifically provided, a small employer shall continue to be considered a small employer until the plan anniversary following the date the small employer no longer meets the requirements of this definition. The term "small employer" includes a self-employed individual or sole proprietor. The term "small employer" also includes a self-employed individual or sole proprietor who derives at least seventy-five percent of his or her income from a trade or business through which the individual or sole proprietor has attempted to earn taxable income and for which he or she has filed the appropriate Internal Revenue Service form 1040, Schedule C or F, for the previous taxable year.

      (14) "Wellness activity" means an explicit program of an activity consistent with department of health guidelines, such as, smoking cessation, injury and accident prevention, reduction of alcohol misuse, appropriate weight reduction, exercise, automobile and motorcycle safety, blood cholesterol reduction, and nutrition education for the purpose of improving enrollee health status and reducing health service costs.

      (15) "Basic health plan" means the plan described under chapter 70.47 RCW, as revised from time to time.

      NEW SECTION. Sec. 5. INSURANCE REFORM--PORTABILITY. (1) Every health carrier shall waive any preexisting condition exclusion or limitation for persons or groups who had similar health coverage under a different health plan at any time during the three-month period immediately preceding the date of application for the new health plan if such person was continuously covered under the immediately preceding health plan. If the person was continuously covered for at least three months under the immediately preceding health plan, the carrier may not impose a waiting period for coverage of preexisting conditions. If the person was continuously covered for less than three months under the immediately preceding health plan, the carrier must credit any waiting period under the immediately preceding health plan toward the new health plan. For the purposes of this subsection, a preceding health plan includes an employer provided self-funded health plan.

      (2) Subject to the provisions of subsection (1) of this section, nothing contained in this section requires a health carrier to amend a health plan to provide new benefits in its existing health plans. In addition, nothing in this section requires a carrier to waive benefit limitations not related to an individual or group's preexisting conditions or health history.

      NEW SECTION. Sec. 6. INSURANCE REFORM--PREEXISTING CONDITIONS. (1) No carrier may reject an individual for health plan coverage based upon preexisting conditions of the individual and no carrier may deny, exclude, or otherwise limit coverage for an individual's preexisting health conditions; except that a carrier may impose a three-month benefit waiting period for preexisting conditions for which medical advice was given, or for which a health care provider recommended or provided treatment within three months before the effective date of coverage.

      (2) No carrier may avoid the requirements of this section through the creation of a new rate classification or the modification of an existing rate classification. A new or changed rate classification will be deemed an attempt to avoid the provisions of this section if the new or changed classification would substantially discourage applications for coverage from individuals or groups who are higher than average health risks. These provisions apply only to individuals who are Washington residents.

      NEW SECTION. Sec. 7. INSURANCE REFORM--GUARANTEED ISSUE. (1) All health carriers shall accept for enrollment any state resident within the carrier's service area and provide or assure the provision of all covered services regardless of age, sex, family structure, ethnicity, race, health condition, geographic location, employment status, socioeconomic status, other condition or situation, or the provisions of RCW 49.60.174(2). The insurance commissioner may grant a temporary exemption from this subsection, if, upon application by a health carrier the commissioner finds that the clinical, financial, or administrative capacity to serve existing enrollees will be impaired if a health carrier is required to continue enrollment of additional eligible individuals.

      (2) Except as provided in subsection (5) of this section, all health plans shall contain or incorporate by endorsement a guarantee of the continuity of coverage of the plan. For the purposes of this section, a plan is "renewed" when it is continued beyond the earliest date upon which, at the carrier's sole option, the plan could have been terminated for other than nonpayment of premium. In the case of group plans, the carrier may consider the group's anniversary date as the renewal date for purposes of complying with the provisions of this section.

      (3) The guarantee of continuity of coverage required in health plans shall not prevent a carrier from canceling or nonrenewing a health plan for:

      (a) Nonpayment of premium;

      (b) Violation of published policies of the carrier approved by the insurance commissioner;

      (c) Covered persons entitled to become eligible for medicare benefits by reason of age who fail to apply for a medicare supplement plan or medicare cost, risk, or other plan offered by the carrier pursuant to federal laws and regulations;

      (d) Covered persons who fail to pay any deductible or copayment amount owed to the carrier and not the provider of health care services;

      (e) Covered persons committing fraudulent acts as to the carrier;

      (f) Covered persons who materially breach the health plan; or

      (g) Change or implementation of federal or state laws that no longer permit the continued offering of such coverage.

      (4) The provisions of this section do not apply in the following cases:

      (a) A carrier has zero enrollment on a product; or

      (b) A carrier replaces a product and the replacement product is provided to all covered persons within that class or line of business, includes all of the services covered under the replaced product, and does not significantly limit access to the kind of services covered under the replaced product. The health plan may also allow unrestricted conversion to a fully comparable product; or

      (c) A carrier is withdrawing from a service area or from a segment of its service area because the carrier has demonstrated to the insurance commissioner that the carrier's clinical, financial, or administrative capacity to serve enrollees would be exceeded.

      (5) The provisions of this section do not apply to health plans deemed by the insurance commissioner to be unique or limited or have a short-term purpose, after a written request for such classification by the carrier and subsequent written approval by the insurance commissioner.

      NEW SECTION. Sec. 8. A new section is added to chapter 48.43 RCW to read as follows:

      Every health plan delivered, issued for delivery, or renewed by a health carrier on and after January 1, 1996, shall:

      (1) Permit every category of health care provider to provide health services or care for conditions included in the basic health plan services to the extent that:

      (a) The provision of such health services or care is within the health care providers' permitted scope of practice; and

      (b) The providers agree to abide by standards related to:

      (i) Provision, utilization review, and cost containment of health services;

      (ii) Management and administrative procedures; and

      (iii) Provision of cost-effective and clinically efficacious health services.

      (2) Annually report the names and addresses of all officers, directors, or trustees of the health carrier during the preceding year, and the amount of wages, expense reimbursements, or other payments to such individuals.

      NEW SECTION. Sec. 9. WASHINGTON HEALTH CARE POLICY BOARD. (1) There is hereby created the Washington health care policy board. The board shall consist of: (a) Five members appointed by the governor; (b) two members of the senate appointed by the president of the senate, one of whom shall be a member of the minority party; and (c) two members of the house of representatives appointed by the speaker of the house of representatives, one of whom shall be a member of the minority party. One member of the board shall be designated by the governor as chair and shall serve at the pleasure of the governor. All legislative members shall be appointed before the close of each regular or special session during an odd-numbered year.

      (2) Of the members appointed by the governor, two shall be appointed to two-year terms and two shall be appointed to three-year terms. Thereafter, members shall be appointed to three-year terms. The chair shall serve at the pleasure of the governor. Vacancies shall be filled by appointment for the remainder of the unexpired term of the position being vacated. A majority of the voting members shall constitute a quorum.

      (3) Members of the board appointed by the governor shall occupy their positions on a full-time basis and are exempt from the provisions of chapter 41.06 RCW. They shall be paid a salary to be fixed by the governor in accordance with RCW 43.03.040.

      NEW SECTION. Sec. 10. CHAIR--POWERS AND DUTIES. The chair shall be the chief administrative officer and the appointing authority of the board. The chair shall have the authority to employ personnel of the board in accordance with chapter 41.06 RCW and prescribe their duties. The chair may employ up to eight personnel exempt from the provisions of chapter 41.06 RCW. The chair shall also have the following powers and duties:

      (1) Enter into contracts on behalf of the board;

      (2) Accept and expend donations, grants, and other funds received by the board;

      (3) Appoint advisory committees and undertake studies, research, and analysis necessary to support activities of the board.

      NEW SECTION. Sec. 11. BOARD--POWERS AND DUTIES. The board shall have the following powers and duties:

      (1) Periodically make recommendations to the appropriate committees of the legislature and the governor on issues including, but not limited to the following:

      (a) The scope, financing, and delivery of health care benefit plans including access for both the insured and uninsured population;

      (b) Long-term care services including the finance and delivery of such services in conjunction with the basic health plan by 1999;

      (c) The use of health care savings accounts including their impact on the health of participants and the cost of health insurance;

      (d) Rural health care needs;

      (e) Whether Washington is experiencing an increase in immigration as a result of health insurance reforms and the availability of subsidized and unsubsidized health care benefits;

      (f) The status of medical education and make recommendations regarding steps possible to encourage adequate availability of health care professionals to meet the needs of the state's populations with particular attention to rural areas;

      (g) The implementation of community rating and its impacts on the marketplace including costs and access;

      (h) The status of quality improvement programs in both the public and private sectors;

      (i) Models for billing and claims processing forms, ensuring that these procedures minimize administrative burdens on health care providers, facilities, carriers, and consumers. These standards shall also apply to state-purchased health services where appropriate;

      (j) Guidelines to health carriers for utilization management and review, provider selection and termination policies, and coordination of benefits and premiums; and

      (k) Study the feasibility of including long-term care services in a medicare supplemental insurance policy offered according to RCW 41.05.197;

      (2) Review rules prepared by the insurance commissioner, health care authority, department of social and health services, department of labor and industries, and department of health, and make recommendations where appropriate to facilitate consistency with the goals of health reform;

      (3) Make recommendations on a system for managing health care services to children with special needs and report to the governor and the legislature on their findings by January 1, 1997;

      (4) Conduct a comparative analysis of individual and group insurance markets addressing: Relative costs; utilization rates; adverse selection; and specific impacts upon small businesses and individuals. The analysis shall address, also, the necessity and feasibility of establishing explicit related policies, to include, but not be limited to, establishing the maximum allowable individual premium rate as a percentage of the small group premium rate. The board shall submit an interim report on its findings to the governor and appropriate committees of the legislature by December 15, 1995, and a final report on December 15, 1996;

      (5) Develop sample enrollee satisfaction surveys that may be used by health carriers.

      NEW SECTION. Sec. 12. STUDY. In January 1999 the legislative budget committee shall commence a study of the necessity of the existence of the board and report its recommendations to the appropriate committees of the legislature by December 1, 1999.

      NEW SECTION. Sec. 13. A new section is added to chapter 48.20 RCW to read as follows:

      (1)(a) An insurer offering any health benefit plan to any individual shall offer and actively market to all individuals a health benefit plan providing benefits identical to the schedule of covered health services that are required to be delivered to an individual enrolled in the basic health plan. Nothing in this subsection shall preclude an insurer from offering, or an individual from purchasing, other health benefit plans that may have more or less comprehensive benefits than the basic health plan, provided such plans are in accordance with this chapter. An insurer offering a health benefit plan that does not include benefits provided in the basic health plan shall clearly disclose these differences to the individual in a brochure approved by the commissioner.

      (b) A health benefit plan shall provide coverage for hospital expenses and services rendered by a physician licensed under chapter 18.57 or 18.71 RCW but is not subject to the requirements of RCW 48.20.390, 48.20.393, 48.20.395, 48.20.397, 48.20.410, 48.20.411, 48.20.412, 48.20.416, and 48.20.420 if the health benefit plan is the mandatory offering under (a) of this subsection that provides benefits identical to the basic health plan, to the extent these requirements differ from the basic health plan.

      (2) Premiums for health benefit plans for individuals shall be calculated using the adjusted community rating method that spreads financial risk across the carrier's entire individual product population. All such rates shall conform to the following:

      (a) The insurer shall develop its rates based on an adjusted community rate and may only vary the adjusted community rate for:

      (i) Geographic area;

      (ii) Family size;

      (iii) Age; and

      (iv) Wellness activities.

      (b) The adjustment for age in (a)(iii) of this subsection may not use age brackets smaller than five-year increments which shall begin with age twenty and end with age sixty-five. Individuals under the age of twenty shall be treated as those age twenty.

      (c) The insurer shall be permitted to develop separate rates for individuals age sixty-five or older for coverage for which medicare is the primary payer and coverage for which medicare is not the primary payer. Both rates shall be subject to the requirements of this subsection.

      (d) The permitted rates for any age group shall be no more than four hundred twenty-five percent of the lowest rate for all age groups on January 1, 1996, four hundred percent on January 1, 1997, and three hundred seventy-five percent on January 1, 2000, and thereafter.

      (e) A discount for wellness activities shall be permitted to reflect actuarially justified differences in utilization or cost attributed to such programs not to exceed twenty percent.

      (f) The rate charged for a health benefit plan offered under this section may not be adjusted more frequently than annually except that the premium may be changed to reflect:

      (i) Changes to the family composition;

      (ii) Changes to the health benefit plan requested by the individual; or

      (iii) Changes in government requirements affecting the health benefit plan.

      (g) For the purposes of this section, a health benefit plan that contains a restricted network provision shall not be considered similar coverage to a health benefit plan that does not contain such a provision, provided that the restrictions of benefits to network providers result in substantial differences in claims costs. This subsection does not restrict or enhance the portability of benefits as provided in section 5 of this act.

      (3) Adjusted community rates established under this section shall pool the medical experience of all individuals purchasing coverage, and shall not be required to be pooled with the medical experience of health benefit plans offered to small employers under RCW 48.21.045.

      (4) As used in this section, "health benefit plan," "basic health plan," "adjusted community rate," and "wellness activities" mean the same as defined in section 4 of this act.

      Sec. 14. RCW 48.21.045 and 1990 c 187 s 2 are each amended to read as follows:

      ((A basic group disability insurance policy may be offered to employers of fewer than twenty-five employees. Such a basic group disability insurance policy)) (1)(a) An insurer offering any health benefit plan to a small employer shall offer and actively market to the small employer a health benefit plan providing benefits identical to the schedule of covered health services that are required to be delivered to an individual enrolled in the basic health plan. Nothing in this subsection shall preclude an insurer from offering, or a small employer from purchasing, other health benefit plans that may have more or less comprehensive benefits than the basic health plan, provided such plans are in accordance with this chapter. An insurer offering a health benefit plan that does not include benefits in the basic health plan shall clearly disclose these differences to the small employer in a brochure approved by the commissioner.

      (b) A health benefit plan shall provide coverage for hospital expenses and services rendered by a physician licensed under chapter 18.57 or 18.71 RCW but is not subject to the requirements of RCW 48.21.130, 48.21.140, 48.21.141, 48.21.142, 48.21.144, 48.21.146, 48.21.160 through 48.21.197, 48.21.200, 48.21.220, 48.21.225, 48.21.230, 48.21.235, 48.21.240, 48.21.244, 48.21.250, 48.21.300, 48.21.310, or 48.21.320 if: (i) The health benefit plan is the mandatory offering under (a) of this subsection that provides benefits identical to the basic health plan, to the extent these requirements differ from the basic health plan; or (ii) the health benefit plan is offered to employers with not more than twenty-five employees.

      (2) Nothing in this section shall prohibit an insurer from offering, or a purchaser from seeking, benefits in excess of the basic ((coverage authorized herein)) health plan services. All forms, policies, and contracts shall be submitted for approval to the commissioner, and the rates of any plan offered under this section shall be reasonable in relation to the benefits thereto.

      (3) Premium rates for health benefit plans for small employers as defined in this section shall be subject to the following provisions:

      (a) The insurer shall develop its rates based on an adjusted community rate and may only vary the adjusted community rate for:

      (i) Geographic area;

      (ii) Family size;

      (iii) Age; and

      (iv) Wellness activities.

      (b) The adjustment for age in (a)(iii) of this subsection may not use age brackets smaller than five-year increments, which shall begin with age twenty and end with age sixty-five. Employees under the age of twenty shall be treated as those age twenty.

      (c) The insurer shall be permitted to develop separate rates for individuals age sixty-five or older for coverage for which medicare is the primary payer and coverage for which medicare is not the primary payer. Both rates shall be subject to the requirements of this subsection (3).

      (d) The permitted rates for any age group shall be no more than four hundred twenty-five percent of the lowest rate for all age groups on January 1, 1996, four hundred percent on January 1, 1997, and three hundred seventy-five percent on January 1, 2000, and thereafter.

      (e) A discount for wellness activities shall be permitted to reflect actuarially justified differences in utilization or cost attributed to such programs not to exceed twenty percent.

      (f) The rate charged for a health benefit plan offered under this section may not be adjusted more frequently than annually except that the premium may be changed to reflect:

      (i) Changes to the enrollment of the small employer;

      (ii) Changes to the family composition of the employee;

      (iii) Changes to the health benefit plan requested by the small employer; or

      (iv) Changes in government requirements affecting the health benefit plan.

      (g) Rating factors shall produce premiums for identical groups that differ only by the amounts attributable to plan design, with the exception of discounts for health improvement programs.

      (h) For the purposes of this section, a health benefit plan that contains a restricted network provision shall not be considered similar coverage to a health benefit plan that does not contain such a provision, provided that the restrictions of benefits to network providers result in substantial differences in claims costs. This subsection does not restrict or enhance the portability of benefits as provided in section 5 of this act.

      (i) Adjusted community rates established under this section shall pool the medical experience of all small groups purchasing coverage.

      (4) The ((policy)) health benefit plans authorized by this section that are lower than the required offering shall not supplant or supersede any existing policy for the benefit of employees in this state. Nothing in this section shall restrict the right of employees to collectively bargain for insurance providing benefits in excess of those provided herein.

      (5)(a) Except as provided in this subsection, requirements used by an insurer in determining whether to provide coverage to a small employer shall be applied uniformly among all small employers applying for coverage or receiving coverage from the carrier.

      (b) An insurer shall not require a minimum participation level greater than:

      (i) One hundred percent of eligible employees working for groups with three or less employees; and

      (ii) Seventy-five percent of eligible employees working for groups with more than three employees.

      (c) In applying minimum participation requirements with respect to a small employer, a small employer shall not consider employees or dependents who have similar existing coverage in determining whether the applicable percentage of participation is met.

      (d) An insurer may not increase any requirement for minimum employee participation or modify any requirement for minimum employer contribution applicable to a small employer at any time after the small employer has been accepted for coverage.

      (6) An insurer must offer coverage to all eligible employees of a small employer and their dependents. An insurer may not offer coverage to only certain individuals or dependents in a small employer group or to only part of the group. An insurer may not modify a health plan with respect to a small employer or any eligible employee or dependent, through riders, endorsements or otherwise, to restrict or exclude coverage or benefits for specific diseases, medical conditions, or services otherwise covered by the plan.

      (7) As used in this section, "health benefit plan," "small employer," "basic health plan," "adjusted community rate," and "wellness activities" mean the same as defined in section 4 of this act.