ONE-HUNDRED THIRD DAY

MORNING SESSION

Senate Chamber, Olympia, Friday, April 22, 2005

      The Senate was called to order at 9:00 a.m. by the President Pro Tempore. The Secretary called the roll and announced to the President Pro Tempore that all Senators were present except Senators Fairley, Mulliken and Poulsen.

      The Sergeant at Arms Color Guard consisting of Pages Zoe Hamilton and Jonathan Strannigan, presented the Colors. Senator Kline offered the prayer.

 

MOTION

 

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

 

MOTION

 

      There being no objection, the Senate advanced to the first order of business.

 

REPORTS OF STANDING COMMITTEES

GUBERNATORIAL APPOINTMENTS

 

April 21, 2005

SGA 9329          STEVE HILL, appointed May 2, 2005, for the term ending at the governor's pleasure, as Administrator of the Washington State Health Care Authority. Reported by Committee on Health & Long-Term Care

 

MAJORITY recommendation: That said appointment be confirmed. Signed by Senators Keiser, Chair; Thibaudeau, Vice Chair; Benson, Brandland, Deccio, Kastama, Kline and Parlette

 

Passed to Committee on Rules for second reading.

 

MOTION

 

On motion of Senator Eide, the measure listed on the Standing Committee report was referred to the committee as designated.

 

MOTION

 

      On motion of Senator Eide, the Senate advanced to the third order of business.

 

MESSAGES FROM THE STATE OFFICES

 

April 15, 2005

STATE OF WASHINGTON

Olympia, Washington 98504-5000

 

Mr. Thomas Hoemann

Secretary of the Senate

P.O. Box 40482

Olympia, Washington 98504-0482

 

Dear Mr. Hoemann:

Enclosed is Columbia Basin Community College Audit Report.

If you have any questions about the report, please call 360-902-0370.

Sincerely,

Brian Sonntag, State Auditor

The Columbia Basin Community College is on file in the Office of the Secretary of the Senate.

 

MESSAGES FROM THE STATE OFFICES


 

April 15, 2005

STATE OF WASHINGTON

 

Olympia, Washington 98504-5000

Mr. Thomas Hoemann

Secretary of the Senate

P.O. Box 40482

Olympia, Washington 98504-0482

 

Dear Mr. Hoemann:

Enclosed is Seattle Community Colleges, Audit Report.

If you have any questions about the report, please call 360-902-0370.

Sincerely,

Brian Sonntag, State Auditor

The Seattle Community Colleges, Audit Report is on file in the Office of the Secretary of the Senate.

 

MESSAGES FROM THE STATE OFFICES

 

April 15, 2005

STATE OF WASHINGTON

Olympia, Washington 98504-5000

 

Mr. Thomas Hoemann

Secretary of the Senate

P.O. Box 40482

Olympia, Washington 98504-0482

 

Dear Mr. Hoemann:

Enclosed is Central Washington University Audit Report.

If you have any questions about the report, please call 360-902-0370.

Sincerely,

Brian Sonntag, State Auditor

The Central Washington University Audit Report is on file in the Office of the Secretary of the Senate.

 

MESSAGES FROM THE STATE OFFICES

 

April 19, 2005

STATE OF WASHINGTON

 

Olympia, Washington 98504-5000

Mr. Thomas Hoemann

Secretary of the Senate

P.O. Box 40482

Olympia, Washington 98504-0482

 

Dear Mr. Hoemann:

Enclosed is Washington State Treasurer, Certification of Debt Limitation. This report is mandated under Chapter 39.42 RCW.

If you have any questions about the report, please call 360-902-9000.

Sincerely,

Michael Murphy, State Treasurer

The Washington State Treasurer, Certification of Debt Limitation is on file in the Office of the Secretary of the Senate.

 

MOTION

 

      On motion of Senator Eide, the Senate advanced to the fifth order of business.

 

INTRODUCTION AND FIRST READING

 

ESHB 1044        by House Committee on Appropriations (originally sponsored by Representative Sommers)

 

AN ACT Relating to pension funding methodology; amending RCW 41.45.060, 41.45.010, and 41.45.010; reenacting and amending RCW 41.45.060; adding a new section to chapter 41.45 RCW; decodifying RCW 41.45.054; providing effective dates; providing an expiration date; and declaring an emergency.

 

2SHB 1240        by House Committee on Finance (originally sponsored by Representatives Kessler and DeBolt)

 

AN ACT Relating to real estate excise tax fees and electronic processing of affidavits; amending RCW 82.45.180; adding new sections to chapter 82.45 RCW; creating a new section; making an appropriation; providing an effective date; and declaring an emergency.

 

SHB 2304          by House Committee on Appropriations (originally sponsored by Representatives Sommers, McCoy and Williams)

 

AN ACT Relating to debts owed to the department of social and health services for medical assistance and recovery of those debts; amending RCW 65.04.050, 6.13.080, 43.20B.030, and 43.20B.080; adding a new section to chapter 43.20B RCW; and adding a new section to chapter 64.04 RCW.

 

MOTION

 

      On motion of Senator Eide, the measures listed on the Introduction and First Reading report; Engrossed Substitute House Bill No. 1044, Second Substitute House Bill No. 1240 and Substitute House Bill No. 2304 were held at the desk.

 

MOTION

 

      On motion of Senator Eide, the Senate reverted to the third order of business.

 

SECOND READING

CONFIRMATION OF GUBERNATORIAL APPOINTMENTS

 

MOTION

 

      Senator Rockefeller, moved that Gubernatorial Appointment No. 9278, Mark Sidran, as Chair of the Utilities & Transportation Commission, be confirmed.

      Senators Rockefeller, Johnson, Esser, Kohl-Welles, McCaslin, Kline, Roach, Thibaudeau, Deccio and Regala spoke in favor of the motion.

 

MOTIONS

 

On motion of Senator Regala, Senators Fairley and Poulsen were excused.

On motion of Senator Hewitt, Senators Mulliken and Pflug were excused.

 

APPOINTMENT OF MARK SIDRAN

 

The President Pro Tempore declared the question before the Senate to be the confirmation of Gubernatorial Appointment No. 9278, Mark Sidran as Chair of the Utilities & Transportation Commission.

 

      The Secretary called the roll on the confirmation of Gubernatorial Appointment No. 9278, Mark Sidran as Chair of the Utilities & Transportation Commission and the appointment was confirmed by the following vote: Yeas, 46; Nays, 0; Absent, 0; Excused, 3.

      Voting yea: Senators Benson, Benton, Berkey, Brandland, Brown, Carrell, Deccio, Delvin, Doumit, Eide, Esser, Finkbeiner, Franklin, Fraser, Hargrove, Haugen, Hewitt, Honeyford, Jacobsen, Johnson, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, McCaslin, Morton, Oke, Parlette, Pflug, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 46

      Excused: Senators Fairley, Mulliken and Poulsen - 3

Gubernatorial Appointment No. 9278, Mark Sidran, having received the constitutional majority was declared confirmed as Chair of the Utilities & Transportation Commission.

 

MOTION

 

On motion of Senator Regala, Senator Brown was excused.

 

SECOND READING

CONFIRMATION OF GUBERNATORIAL REAPPOINTMENTS

 

MOTION

 

      Senator Rockefeller, moved that Gubernatorial Reappointment No. 9296, Philip Jones, as a member of the Utilities & Transportation Commission, be confirmed.

      Senators Rockefeller and Esser spoke in favor of the motion.

 

REAPPOINTMENT OF PHILIP JONES

 

The President Pro Tempore declared the question before the Senate to be the confirmation of Gubernatorial Reappointment No. 9296, Philip Jones as a member of the Utilities & Transportation Commission.

 

      The Secretary called the roll on the confirmation of Gubernatorial Reappointment No. 9296, Philip Jones as a member of the Utilities & Transportation Commission and the appointment was confirmed by the following vote: Yeas, 45; Nays, 0; Absent, 0; Excused, 4.

      Voting yea: Senators Benson, Benton, Berkey, Brandland, Carrell, Deccio, Delvin, Doumit, Eide, Esser, Finkbeiner, Franklin, Fraser, Hargrove, Haugen, Hewitt, Honeyford, Jacobsen, Johnson, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, McCaslin, Morton, Oke, Parlette, Pflug, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 45

      Excused: Senators Brown, Fairley, Mulliken and Poulsen - 4

Gubernatorial Reappointment No. 9296, Philip Jones, having received the constitutional majority was declared confirmed as a member of the Utilities & Transportation Commission.

 

PERSONAL PRIVILEGE

 

Senator Fraser: “My point of personal privilege is that I would like to wish a happy birthday to somebody who is very special in my life, very special in the life of my legislative assistant, Brenda Fitzsimmons, somebody who is very special in the life of the Senate and somebody whose very special in the life of constituents in the Twenty-second district. That person, whose having happy birthday today, is Ellie Dornan who is my session aide. She’s been my session aide for all thirteen years I’ve been here in the Senate. She is, amazingly, turning eighty years old today. The Senate has been an important part of her life. Before working in my office, she worked for Senator Bill Gissberg from Snohomish, for Senator Jimmy Keefe from Spokane. So my constituents, when they call the office and talk to her – and most people do – she handles all the inquiries and commentaries with great patience, with great depth of understanding and with great cheer. She’s famous for her great cheer. Whenever we want to have great conversation we tell Ellie stories. So I’m not going to tell you any here on the floor today, in spite of popular demand, but if you come by our office today there are refreshments. You can wish Ellie happy birthday. You can have a treat. You can sign her card and maybe you can hear an Ellie story. So, happy birthday, Ellie.”

 

PERSONAL PRIVILEGE

 

Senator Eide: “I want to talk about Ellie too. I have a special spot in my heart for this women and I wanted to recognize her. This women is light of foot and quick of wit and someone that I love to see everyday, look forward to seeing her. I just hope I can be like her when I grow up, but a lovely woman she is. She has a absolute special spot in my heart. Ellie, happy birthday, my dear.”

 

PERSONAL PRIVILEGE

 

Senator Swecker: “Well, Ellie and I have a history that pre-dates the legislature. She was the officer in charge of the office when I was an intern in cooperative education at Evergreen. I remember every letter that I wrote, I think, she’d type it up and then it’d get red marked with red pencil and it would come back to me. And for a year and a half I never sent a piece of correspondence out of that office without having an opportunity to correct my English. Because of that I’m a fairly good writer today and Ellie was the one that help make all that happen so I truly appreciate her, contribution to me and her contribution in my professional life. Thank you Ellie.”

 

PERSONAL PRIVILEGE

 

Senator Haugen: “I also want to congratulate Ellie. I think everyone of us should have an Ellie in our office. I mean she has really been somebody that I have really admired. I think one of the things we need to make sure is that she trains our LAs how to handle people. She has a way of sort of telling those difficult constituents what alternatives they might have other than harassing us. In fact, I really think they ought to make her in charge of giving a class to our LAs so that she could teach them in such a way that they could do it in a very diplomatic way and send the message that I think a lot of us would like to send. I heard one tale about one time when somebody called and was complaining about the Post Office she said, ‘Well sir, I think you could just go ‘tp’ the Post Office.’ There was little that we could do but he maybe he could feel better about that. But she’s an extraordinary person. She brightens everyone’s day who happens to wander her way and you know I just really do think we are really blessed that she’s a part of this process. Happy birthday, Ellie, look forward to next year.”

 

PERSONAL PRIVILEGE

 

Senator McAuliffe: “I stand to wish Ellie a very happy birthday. She brings fun and life to the fourth floor and she makes sure that things are properly taking care of. So she does bathroom patrol, and refrigerator control, and she captures people who do things they shouldn’t do. She makes sure that they know that, next time, they shouldn’t be doing that. But we really love having you Ellie. It’s been great. I know you’re going to have a great cruise. I hope you take your birthday present that I gave you with you. It’ll be very important.”

 

PERSONAL PRIVILEGE

 

Senator Spanel: “Well, I too want to add my happy birthdays to Ellie and welcome to the Leg Building. I almost feel jealous that I’m not on the fourth floor. I’m down on the third floor and that, but the stories are great. I won’t tell any that I heard but they’re great. So maybe when people come up for, whether it’s the morning event or the afternoon event or the evening event in your office, you’ll tell, some more stories will be told. Happy birthday.”

 

PERSONAL PRIVILEGE

 

Senator Fairley: “Well, I got here just in time to wish Ellie a happy birthday. I got to tell a story on her. She’s so funny. She comes and she says ‘You know what I did, Darlene. I saw somebody parked in the disabled stall and they ran in. They weren’t disabled, so I put big garbage can right behind their tire. Boy.’ She says, ‘I do that all the time.’ Then she tells me what she thinks about them and, oh my goodness, I’ve never used language like that, Ellie. You are one feisty eighty-year old lady. Happy birthday.”

 

INTRODUCTION OF SPECIAL GUEST

 

      The President Pro Tempore recognized Mrs. Ellie Dornan, Session Aide to Senator Fraser, who was seated in the gallery.

 

MOTION

 

At 9:40 a.m., on motion of Senator Eide, the Senate was declared to be at ease subject to the call of the President.

The Senate was called to order at 11:17 a.m. by President Owen.

 

MESSAGE FROM THE GOVERNOR

GUBERNATORIAL APPOINTMENTS

 

March 21, 2005

TO THE HONORABLE, THE SENATE OF THE STATE OF WASHINGTON

Ladies and Gentlemen:

I have the honor to submit the following appointment, subject to your confirmation.

JERALITA COSTA, appointed April 1, 2005, for the term ending April 15, 2009, as Chair of the Indeterminate Sentence Review Board.

Sincerely,

CHRISTINE O. GREGOIRE, Governor

 

SECOND READING

CONFIRMATION OF GUBERNATORIAL APPOINTMENTS

 

MOTION

 

      Senator Eide, moved that Gubernatorial Appointment No. 9332, Jeralita Costa, as Chair of the Indeterminate Sentence Review Board, be confirmed.

      Senators Eide, Hargrove and Deccio spoke in favor of the motion.

 

APPOINTMENT OF JERALITA COSTA

 

The President declared the question before the Senate to be the confirmation of Gubernatorial Appointment No. 9332, Jeralita Costa as Chair of the Indeterminate Sentence Review Board.

 

      The Secretary called the roll on the confirmation of Gubernatorial Appointment No. 9332, Jeralita Costa as Chair of the Indeterminate Sentence Review Board and the appointment was confirmed by the following vote: Yeas, 44; Nays, 0; Absent, 4; Excused, 1.

      Voting yea: Senators Benson, Benton, Berkey, Brandland, Deccio, Delvin, Eide, Esser, Fairley, Franklin, Fraser, Hargrove, Haugen, Hewitt, Honeyford, Jacobsen, Johnson, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, McCaslin, Morton, Mulliken, Oke, Parlette, Pflug, Poulsen, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 44

      Absent: Senators Carrell, Doumit, Finkbeiner and Prentice - 4

      Excused: Senator Brown - 1

Gubernatorial Appointment No. 9332, Jeralita Costa, having received the constitutional majority was declared confirmed as Chair of the Indeterminate Sentence Review Board.

 

MOTION

 

On motion of Senator Regala, Senators Brown, Doumit and Prentice were excused.

On motion of Senator Esser, Senators Carrell and Finkbeiner were excused.

 

MOTION

 

      On motion of Senator Eide, the Senate advanced to the fourth order of business.

 

MESSAGE FROM THE HOUSE

 

April 21, 2005

 

MR. PRESIDENT:

      The House grants the requests of Senate for a conference on SENATE BILL NO. 6094. The Speaker has appointed the following members as Conferees:

      Representatives Dunshee, Jarrett & Ormsby.

And the same is herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MESSAGE FROM THE HOUSE

 

April 21, 2005

 

MR. PRESIDENT:

      The House refuses to recede from the Senate amendments to ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 1291 and asks the Senate for a conference thereon. Speaker has appointed the following members as Conferees:

      Representatives Cody, Bailey and Morrell

and the same is herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MOTION

 

On motion of Senator Keiser, the Senate granted the request of the House for a conference on Engrossed Second Substitute House Bill No. 1291 and the Senate amendment(s) thereto.

 

APPOINTMENT OF CONFERENCE COMMITTEE


 

      The President appointed as members of the Conference Committee on Engrossed Second Substitute House Bill No. 1291 and the Senate amendment(s) thereto: Senators Keiser, Thibaudeau and Deccio.

 

MOTION

 

On motion of Senator Eide, the appointments to the conference committee were confirmed.

 

MESSAGE FROM THE HOUSE

 

April 21, 2005

 

MR. PRESIDENT:

The House concurred in Senate amendment{s} to the following bills and passed the bills as amended by the Senate:

      SUBSTITUTE HOUSE BILL NO. 1058,

      ENGROSSED HOUSE BILL NO. 1187,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1635,

      SECOND SUBSTITUTE HOUSE BILL NO. 1758,

and the same is herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MESSAGE FROM THE HOUSE

 

April 21, 2005

 

MR. PRESIDENT:

The House has passed the following bill{s}:

      ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 1441,

and the same is herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MESSAGE FROM THE HOUSE

 

April 19, 2005

 

MR. PRESIDENT:

      The House refuses to concur in the Senate amendments to SUBSTITUTE SENATE BILL NO. 5602 and ask the Senate for a conference thereon. Speaker has appointed the following members as Conferees:

      Representatives Pettigrew, Linville & Holmquist

and the same is herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MOTION

 

On motion of Senator Rasmussen, the Senate refused to grant the request of the House for a conference on Substitute Senate Bill No. 5602 and asked the House to recede therefrom.

 

PARLIAMENTARY INQUIRY

 

Senator Zarelli: “Mr. President, I believe yesterday I was assigned to be involved on a conference concerning the operating budget. My inquiry is: Do the rules provide that if there’s going to be meetings held concerning that item in which we’re assigned as conferees that notice should be given to all members as well as the public. I believe there are meetings being held, I’m just not sure where there at at this time.”

 

PARLIAMENTARY INQUIRY

 

Senator Eide: “Is it to my understanding that the rules do allow us to have an informal conference?”

 

REPLY BY THE PRESIDENT

 

President Owen: “Senator Eide, the rules do not allow for you to have an informal conference. Members certainly can get together to meet informally, if they want to. In answer to the inquiry by Senator Zarelli: If you’re having an official conference committee meeting, yes, the public is to be notified as are all the members of the conference committee.”

 

PARLIAMENTARY INQUIRY

 

Senator Zarelli: “Thank you Mr. President. I’d like to follow up on that to clarify. Then, if we’re assigned to a conference and then any group or a portion of those members that are assigned to that conference from both bodies gathers, is there a quorum requirement that then notice would have be given to all conferees as well as the public?”

 

REPLY BY THE PRESIDENT

 

President Owen: “Senator Zarelli, the President would just basically reiterate that, if there’s an official meeting of the committee, then notice must be given but nothing prohibits members from meeting informally if they choose to do so.”

 

PARLIAMENTARY INQUIRY

 

Senator Zarelli: “Thank you Mr. President. I’m not real stupid but I’m just trying best to understand this. So, if all the conferees that were assigned gather together absent one of those conferees, then that’s just a casual meeting? It’s not an actual conference?”

 

REPLY BY THE PRESIDENT

 

President Owen: “Senator, it’s up to the members to characterize the meetings.”

 

MESSAGE FROM THE HOUSE

 

April 19, 2005

 

MR. PRESIDENT:

      The House refuses to concur in the Senate amendments to ENGROSSED SUBSTITUTE HOUSE BILL NO. 2266 and ask the Senate for a conference thereon. The Speaker has appointed the following members as Conferees:

      Representatives Morrell, Campbell & Curtis

and the same is herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MOTIONS

 

Senator Kline moved that the Senate grant the request of the House for a conference on Engrossed Substitute House Bill No. 2266 and the Senate amendment(s) thereto.

 

Senator Johnson moved that the Senate insist on its position on the House amendment(s) to Engrossed Substitute House Bill No. 2266.

 

REMARKS BY THE PRESIDENT

 


      President Owen: “This motion is of higher rank, Senator Kline.”

Senator Johnson spoke in favor of the motion.

 

MOTION

 

On motion of Senator Eide, further consideration of Engrossed Substitute House Bill No. 2266 was deferred and the bill held its place on the day’s calendar.

 

MESSAGE FROM THE HOUSE

 

April 20, 2005

 

MR. PRESIDENT:

 

      The House refuses to concur in the Senate amendment(s) to HOUSE BILL NO. 1270 and asks Senate to recede therefrom.

and the same is herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MOTION

 

      Senator Fraser moved that the Senate recede from its position on House Bill No. 1270 and pass the bill without the Senate amendments.

      The President declared the question before the Senate to be motion by Senator Fraser that the Senate recede from its position on House Bill No. 1270.

      The motion by Senator Fraser carried and the Senate receded from its position on House Bill No. 1270 by voice vote.

 

      The President declared the question before the Senate to be the final passage of House Bill No. 1270 without the Senate amendments.

 

ROLL CALL

 

      The Secretary called the roll on the final passage of House Bill No. 1270, without the Senate amendments and the bill passed the Senate by the following vote: Yeas, 49; Nays, 0; Absent, 0; Excused, 0.

      Voting yea: Senators Benson, Benton, Berkey, Brandland, Brown, Carrell, Deccio, Delvin, Doumit, Eide, Esser, Fairley, Finkbeiner, Franklin, Fraser, Hargrove, Haugen, Hewitt, Honeyford, Jacobsen, Johnson, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, McCaslin, Morton, Mulliken, Oke, Parlette, Pflug, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 49

HOUSE BILL NO. 1270 without the Senate amendments, having received the constitutional majority, was declared passed. There being no objection, the title of the bill was ordered to stand as the title of the act.

 

      The Senate resumed consideration of Engrossed Substitute House Bill No. 2266 which had been deferred earlier in the day.

 

      Senators Kastama and Kline spoke against the motion by Senator Johnson that the Senate insist on its position on the House amendment(s) to Engrossed Substitute House Bill No. 2266.

      Senator Parlette spoke in favor of the motion.

      The President declared the question before the Senate to be the motion by Senator Johnson that the Senate insist on its position on Engrossed Substitute House Bill No. 2266.

 

MOTION

 

      A division was demanded.

      The motion by Senator Johnson failed and the Senate did not insist on its position by a rising voice vote.

 

      The President declared the question before the Senate to be the motion by Senator Kline that the Senate grant the request of the House for a conference on Engrossed Substitute House Bill No. 2266 and the Senate amendment(s) thereto.

      The motion by Senator Kline carried by voice vote.

 

APPOINTMENT OF CONFERENCE COMMITTEE

 

      The President appointed as members of the Conference Committee on Engrossed Substitute House Bill No. 2266 to the Senate amendment(s) there to: Senators Kline, Kastama and Johnson.

 

MOTION

 

      On motion of Senator Kline, the appointments to the conference committee were confirmed.

 

MOTION

 

      On motion of Senator Eide, the Senate advanced to the fifth order of business.

 

MOTION

 

      On motion of Senator Eide, the rules were suspended and the measures previously held at the desk; House Bill No. 1019, House Bill No. 1066, Engrossed House Bill No. 1241, House Bill No. 1485, Substitute House Bill No. 2289 and Engrossed Substitute House Bill No. 2309 were placed on the second reading calendar.

 

PERSONAL PRIVILEGE

 

Senator Delvin: “Thank you Mr. President. Real quick. Some of you may know, may not know that Mark Triplett is retiring at the end of this session. In fact right now, he’s on the way back home to celebrate his ten-year old son’s birthday and he’s not around here today but I think I just wanted to say that here in Olympia we make some friends, we make a lot of friends and some of them, I think I have a handful, of what I call, true friends that I don’t mind spending time with once we leave here. Well, you guys never invite me to your house, so... I’m certainly going to miss Mark around here. I know he’ll be back now and then but he’s going to be working the national scene. He had a hard job being the liquor and tobacco lobbyist around this area, this Olympia. I tell you, he’s done some good work. We got the OTB [off-track betting, Ed.] out and the Sunday sales – something him and I worked on for many years. But I just want to say how much respect I have for him while he’s been here and I hope to see in the future. I thought that I’d just pay a little compliment for him, since we’re not going to see him much around here anymore.”

 

PERSONAL PRIVILEGE

 

Senator Oke: “I’d like to add to those remarks. Mark and I have had a battle for a number of years. Mark, happy birthday and Godspeed and hurry up and move on to your new pasture.”

 

MOTION

 

      On motion of Senator Eide, the Senate advanced to the eighth order of business.

 

MOTION

 

      Senator Benton moved adoption of the following resolution:

 

SENATE RESOLUTION

8647

 

By Senator Benton

 

      WHEREAS, The United States Military, Army, Air Force, Navy, Coast Guard, and Marine Corps, have been called to serve the nation in the Middle East following the terrorist attacks of September 11, 2001; and

      WHEREAS, In the course of service, the men and women of the United States Military have fought bravely for a cause greater than themselves, sacrificing life and health, and the comforts of home and loved ones; and

      WHEREAS, Military families have endured significant losses; children have sacrificed the gentle embrace of a parent, husbands and wives have sacrificed time with each other, and mothers and fathers have sent their sons and daughters to war; and

      WHEREAS, Soldiers, Sailors, Airmen, and Marines have been called upon to serve this nation in the mountains of Afghanistan, deserts of Iraq, and along the rivers, streams, and in the oceans' waters and the skies above; they have answered this call proudly and carried out their duties admirably; and

      WHEREAS, The cause of democracy and international security has sustained the mission of the nation and the servicemen and women who serve it, their commitment to freedom has weathered the storms of death and has been weighed on the scales of righteousness and found to be just; and

      WHEREAS, Regard for one's own interest has been laid down for the will of the nation and the benefit of others, American soldiers continue the struggle for a free, secure, and independent Middle East; and

      WHEREAS, Elections in Afghanistan and Iraq are great victories for democracy and peace, they signal the beginning of a new era whose birth was born of the pains endured by the citizens of Afghanistan and Iraq and by American soldiers and their families;

      NOW, THEREFORE, BE IT RESOLVED, That the Senate of the State of Washington eagerly await the return of our nation's bravest heroes, the sons and daughters, men and women serving in the United States Military; and

      BE IT FURTHER RESOLVED, That it is with great respect and admiration that we honor the men and women of the United States Military; we pray for their safe return; and for their service, sacrifice, and courage we say, thank-you; and

      BE IT FURTHER RESOLVED, That copies of this resolution be immediately transmitted by the Secretary of the Senate to General Lowenberg, Washington State National Guard; General Michael W. Hagee, Commandant United States Marine Corps; The Honorable Francis J. Harvey, Secretary of the United States Army; The Honorable Gordon R. England, Secretary of the Navy; Admiral Thomas H. Collins Commandant, United States Coast Guard; and The Honorable Peter Teets, Secretary of the Air Force.

      Senators Benton, Kline, Franklin, Swecker, Rasmussen, Sheldon, Schmidt, Prentice, Parlette and Benson spoke in favor of adoption of the resolution.

      The President declared the question before the Senate to be the adoption of Senate Resolution No. 8647.

      The motion by Senator Benton carried and the resolution was adopted by voice vote.

 

INTRODUCTION OF SPECIAL GUESTS

 

      The President welcomed and introduced members of the U. S. Army, U.S. Air Force, U.S. Navy, U.S. Coast Guard and U.S. Marine Corps who were seated in the gallery.

 

MOTION

 

At 12:23 p.m., on motion of Senator Eide, the Senate was declared to be at recess until 1:30 p.m.

 

AFTERNOON SESSION

 

      The Senate was called to order at 1:30 p.m. by the President Pro Tempore.

 

MOTION

 

At 1:33 p.m., on motion of Senator Regala, the Senate was declared to be at ease subject to the call of the President.

The Senate was called to order at 2:33 p.m. by President Owen.

 

MOTION

 

      On motion of Senator Eide, the Senate reverted to the fifth order of business.

 

SUPPLEMENTAL INTRODUCTION AND FIRST READING

 

SB 6130             6130Introduction & 1st Reading by Senators Parlette, Keiser, Deccio, Hargrove, Benson, Mulliken and Prentice

 

AN ACT Relating to the public employees' benefits board; and amending RCW 41.05.006 and 41.05.065.

 

Referred to Committee on Ways & Means.

 

E2SHB 1441      1441-S2Introduction & 1st Reading by House Committee on Appropriations (originally sponsored by Representatives Clibborn, Morrell, Campbell, Cody, Tom, Moeller, Schual-Berke, Wallace, Grant, Williams, Lovick, Ormsby, Chase, Kessler, Kagi, Hunt, Appleton, Darneille, Upthegrove, Sells, Roberts, Conway, Miloscia, Fromhold, P. Sullivan, Santos, Takko, Green, Wood, Simpson, Hasegawa and Dickerson)

 

AN ACT Relating to health insurance coverage for children; amending RCW 74.09.415; adding a new section to chapter 74.09 RCW; providing an effective date; and declaring an emergency.

 

ESHB 2314        2314-SIntroduction & 1st Reading by House Committee on Finance (originally sponsored by Representative McIntire)

 

AN ACT Relating to revenue and taxation; amending RCW 82.04.060, 82.12.0251, 82.12.0255, 82.12.035, 82.08.010, 82.14.020, 82.14.020, 82.08.150, 69.50.520, 82.04.2908, 82.04.4463, 82.29A.130, 82.71.020, 82.04.4452, 84.52.068, 43.84.092, 43.84.092, 69.50.520, 70.146.030, and 83.100.---; amending 2004 c 153 s 502 (uncodified); amending 2003 1st sp.s. c 16 s 6 (uncodified); reenacting and amending RCW 82.04.050, 82.04.190, 82.12.010, 82.12.020, and 82.12.040; adding new sections to chapter 82.04 RCW; adding new sections to chapter 82.08 RCW; adding new sections to chapter 82.12 RCW; adding new sections to chapter 82.32 RCW; adding a new section to chapter 83.100 RCW; adding a new section to chapter 82.24 RCW; adding a new section to chapter 28A.505 RCW; adding a new chapter to Title 43 RCW; adding a new chapter to Title 82 RCW; creating new sections; providing effective dates; providing expiration dates; and declaring an emergency.

 

      AN ACT Relating to revenue and taxation.

 

MOTION

 

      On motion of Senator Eide, Senate Bill No. 6130 was referred to the committee as designated and Engrossed Second Substitute House Bill No. 1441, Engrossed Substitute House Bill No. 2314, Engrossed Substitute House Bill No. 1044 Second Substitute House Bill No. 1240 and Substitute House Bill No. 2304 were placed on the second reading calendar.

 

MOTION

 

      On motion of Senator Eide, the Senate reverted to the fourth order of business.

 

MESSAGE FROM THE HOUSE

 

April 21, 2005

 

MR. PRESIDENT:

The Speaker has signed:

      ENGROSSED SUBSTITUTE SENATE BILL NO. 5034,

      SUBSTITUTE SENATE BILL NO. 5038,

      SENATE BILL NO. 5039,

      ENGROSSED SENATE BILL NO. 5049,

      SUBSTITUTE SENATE BILL NO. 5052,

      SUBSTITUTE SENATE BILL NO. 5064,

      SUBSTITUTE SENATE BILL NO. 5085,

      ENGROSSED SENATE BILL NO. 5094,

      SUBSTITUTE SENATE BILL NO. 5101,

      ENGROSSED SENATE BILL NO. 5110,

      ENGROSSED SECOND SUBSTITUTE SENATE BILL NO. 5111,

      SUBSTITUTE SENATE BILL NO. 5112,

      ENGROSSED SUBSTITUTE SENATE BILL NO. 5121,

      SENATE BILL NO. 5127,

      SUBSTITUTE SENATE BILL NO. 5139,

      ENGROSSED SUBSTITUTE SENATE BILL NO. 5140,

      SUBSTITUTE SENATE BILL NO. 5145,

      ENGROSSED SUBSTITUTE SENATE BILL NO. 5158,

      SUBSTITUTE SENATE BILL NO. 5169,

      SUBSTITUTE SENATE BILL NO. 5182,

      ENGROSSED SUBSTITUTE SENATE BILL NO. 5186,

      SENATE BILL NO. 5196,

and the same are herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MESSAGE FROM THE HOUSE

 

April 21, 2005

 

MR. PRESIDENT:

 

The Speaker has signed:

      ENGROSSED SENATE BILL NO. 5583,

      ENGROSSED SUBSTITUTE SENATE BILL NO. 5599,

      SUBSTITUTE SENATE BILL NO. 5631,

      SUBSTITUTE SENATE BILL NO. 5664,

      SUBSTITUTE SENATE BILL NO. 5692,

      ENGROSSED SUBSTITUTE SENATE BILL NO. 5699,

      SENATE BILL NO. 5707,

      SUBSTITUTE SENATE BILL NO. 5708,

      ENGROSSED SUBSTITUTE SENATE BILL NO. 5719,

      SENATE BILL NO. 5733,

      SUBSTITUTE SENATE BILL NO. 5752,

      SUBSTITUTE SENATE BILL NO. 5767,

      ENGROSSED SUBSTITUTE SENATE BILL NO. 5788,

      ENGROSSED SUBSTITUTE SENATE BILL NO. 5806,

      SUBSTITUTE SENATE BILL NO. 5828,

      SUBSTITUTE SENATE BILL NO. 5841,

      ENGROSSED SUBSTITUTE SENATE BILL NO. 5872,

      SENATE BILL NO. 5898,

      SUBSTITUTE SENATE BILL NO. 5899,

and the same are herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MESSAGE FROM THE HOUSE

 

April 21, 2005

 

MR. PRESIDENT:

 

The Speaker has signed:

      ENGROSSED SUBSTITUTE SENATE BILL NO. 5415,

and the same is herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MESSAGE FROM THE HOUSE

 

April 21, 2005

 

MR. PRESIDENT:

 

The House has passed the following bill{s}:

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 2314

and the same is herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

SIGNED BY THE PRESIDENT

 

The President signed:

      ENGROSSED SUBSTITUTE SENATE BILL NO. 5432,

      ENGROSSED SUBSTITUTE SENATE BILL NO. 5620,

      SECOND SUBSTITUTE SENATE BILL NO. 5663

      ENGROSSED SUBSTITUTE SENATE BILL NO. 5732,

      SECOND SUBSTITUTE SENATE BILL NO. 5782.

 

MESSAGE FROM THE HOUSE

 

April 19, 2005

 

MR. PRESIDENT:

 

      The House receded from its committee amendment to SUBSTITUTE SENATE BILL NO. 5850 and passed the bill.

and the same is herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MOTION

 

Senator Spanel moved that the Senate concur in the House amendment(s) to Substitute Senate Bill No. 5850.

      Senators Spanel and Parlette spoke in favor of the motion.

 


MOTIONS

 

On motion of Senator Esser, Senators Deccio and Mulliken were excused.

 

The President declared the question before the Senate to be the motion by Senator Spanel that the Senate concur in the House amendment(s) to Substitute Senate Bill No. 5850.

The motion by Senator Spanel carried and the Senate concurred in the House amendment(s) to Substitute Senate Bill No. 5850 by voice vote.

The President declared the question before the Senate to be the final passage of Substitute Senate Bill No. 5850, as amended by the House.

 

ROLL CALL

 

      The Secretary called the roll on the final passage of Substitute Senate Bill No. 5850, as amended by the House, and the bill passed the Senate by the following vote: Yeas, 38; Nays, 4; Absent, 5; Excused, 2.

      Voting yea: Senators Benson, Berkey, Brandland, Carrell, Delvin, Doumit, Eide, Esser, Fairley, Finkbeiner, Franklin, Hargrove, Haugen, Jacobsen, Keiser, Kohl-Welles, McAuliffe, McCaslin, Morton, Oke, Parlette, Pflug, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau and Weinstein - 38

      Voting nay: Senators Benton, Hewitt, Honeyford and Zarelli - 4

      Absent: Senators Brown, Fraser, Johnson, Kastama and Kline - 5

      Excused: Senators Deccio and Mulliken - 2

SUBSTITUTE SENATE BILL NO. 5850, as amended by the House, having received the constitutional majority, was declared passed. There being no objection, the title of the bill was ordered to stand as the title of the act.

 

MESSAGE FROM THE HOUSE

 

April 14, 2005

 

MR. PRESIDENT:

 

      The House has passed SUBSTITUTE SENATE BILL NO. 5610, with the following amendment{s}:

      Strike everything after the enacting clause and insert the following:

      "Sec. 1. RCW 77.85.005 and 1999 sp.s. c 13 s 1 are each amended to read as follows:

      The legislature finds that repeated attempts to improve salmonid fish runs throughout the state of Washington have failed to avert listings of salmon and steelhead runs as threatened or endangered under the federal endangered species act (16 U.S.C. Sec. 1531 et seq.). These listings threaten the sport, commercial, and tribal fishing industries as well as the economic well-being and vitality of vast areas of the state. It is the intent of the legislature to begin activities required for the recovery of salmon stocks as soon as possible, although the legislature understands that successful recovery efforts may not be realized for many years because of the life cycle of salmon and the complex array of natural and human-caused problems they face.

      The legislature finds that it is in the interest of the citizens of the state of Washington for the state to retain primary responsibility for managing the natural resources of the state, rather than abdicate those responsibilities to the federal government, and that the state may best accomplish this objective by integrating local and regional recovery activities into a statewide ((plan)) strategy that can make the most effective use of provisions of federal laws allowing for a state lead in salmon recovery, delivered through implementation activities consistent with regional and watershed recovery plans. The legislature also finds that a statewide salmon recovery ((plan)) strategy must be developed and implemented through an active public involvement process in order to ensure public participation in, and support for, salmon recovery. The legislature also finds that there is a substantial link between the provisions of the federal endangered species act and the federal clean water act (33 U.S.C. Sec. 1251 et seq.). The legislature further finds that habitat restoration is a vital component of salmon recovery efforts. Therefore, it is the intent of the legislature to specifically address salmon habitat restoration in a coordinated manner and to develop a structure that allows for the coordinated delivery of federal, state, and local assistance to communities for habitat projects that will assist in the recovery and enhancement of salmon stocks. A strong watershed-based locally implemented plan is essential for local, regional, and statewide salmon recovery.

      The legislature also finds that credible scientific review and oversight is essential for any salmon recovery effort to be successful.

      The legislature further finds that it is important to monitor the overall health of the salmon resource to determine if recovery efforts are providing expected returns. It is important to monitor salmon habitat projects and salmon recovery activities to determine their effectiveness in order to secure federal acceptance of the state's approach to salmon recovery. Adaptive management cannot exist without monitoring. For these reasons, the legislature believes that a coordinated and integrated monitoring ((process)) system should be developed and implemented.

      The legislature therefore finds that a coordinated framework for responding to the salmon crisis is needed immediately. To that end, the salmon recovery office should be created within the governor's office to provide overall coordination of the state's response; an independent science panel is needed to provide scientific review and oversight; a coordinated state funding process should be established through a salmon recovery funding board; the appropriate local or tribal government should provide local leadership in identifying and sequencing habitat projects to be funded by state agencies; habitat projects should be implemented without delay; and a strong locally based effort to restore salmon habitat should be established by providing a framework to allow citizen volunteers to work effectively.

      Sec. 2. RCW 77.85.010 and 2002 c 210 s 1 are each amended to read as follows:

      The definitions in this section apply throughout this chapter unless the context clearly requires otherwise.

      (1) "Adaptive management" means reliance on scientific methods to test the results of actions taken so that the management and related policy can be changed promptly and appropriately.

      (2) "Critical pathways methodology" means a project scheduling and management process for examining interactions between habitat projects and salmonid species, prioritizing habitat projects, and assuring positive benefits from habitat projects.

      (3) "Habitat project list" is the list of projects resulting from the critical pathways methodology under RCW 77.85.060(2). Each project on the list must have a written agreement from the landowner on whose land the project will be implemented. Projects include habitat restoration projects, habitat protection projects, habitat projects that improve water quality, habitat projects that protect water quality, habitat-related mitigation projects, and habitat project maintenance and monitoring activities.

      (4) "Habitat work schedule" means those projects from the habitat project list that will be implemented during the current funding cycle. The schedule shall also include a list of the entities and individuals implementing projects, the start date, duration, estimated date of completion, estimated cost, and funding sources for the projects.

      (5) "Limiting factors" means conditions that limit the ability of habitat to fully sustain populations of salmon. These factors are primarily fish passage barriers and degraded estuarine areas, riparian corridors, stream channels, and wetlands.

      (6) "Project sponsor" is a county, city, special district, tribal government, state agency, a combination of such governments through interlocal or interagency agreements, a nonprofit organization, regional fisheries enhancement group, or one or more private citizens. A project sponsored by a state agency may be funded by the board only if it is included on the habitat project list submitted by the lead entity for that area and the state agency has a local partner that would otherwise qualify as a project sponsor.

      (7) "Regional recovery organization" or "regional salmon recovery organization" means an entity formed under RCW 77.85.090 for the purpose of recovering salmon, which is recognized in statute or by the salmon recovery office.

      (8) "Salmon" includes all species of the family Salmonidae which are capable of self-sustaining, natural production.

      (((8))) (9) "Salmon recovery plan" means a state or regional plan developed in response to a proposed or actual listing under the federal endangered species act that addresses limiting factors including, but not limited to harvest, hatchery, hydropower, habitat, and other factors of decline.

      (((9))) (10) "Salmon recovery region" means geographic areas of the state identified or formed under RCW 77.85.090 that encompass groups of watersheds in the state with common stocks of salmon identified for recovery activities, and that generally are consistent with the geographic areas within the state identified by the national oceanic and atmospheric administration or the United States fish and wildlife service for activities under the federal endangered species act.

      (11) "Tribe" or "tribes" means federally recognized Indian tribes.

      (((10))) (12) "WRIA" means a water resource inventory area established in chapter 173-500 WAC as it existed on January 1, 1997.

      (((11))) (13) "Owner" means the person holding title to the land or the person under contract with the owner to lease or manage the legal owner's property.

      Sec. 3. RCW 77.85.020 and 1998 c 246 s 4 are each amended to read as follows:

      ((Beginning in)) (1) By December ((2000)) 1, 2006, the governor shall submit a ((biennial state of the salmon)) report to the legislature ((during the first week of December)) regarding the implementation of the state's salmon recovery strategy. The report may include the following:

      (((1))) (a) A description of the amount of in-kind and financial contributions, including volunteer, private, and state, federal, tribal as available, and local government money directly spent on salmon recovery in response to actual, proposed, or expected endangered species act listings;

      (((2))) (b) A summary of habitat projects including but not limited to:

      (((a))) (i) A summary of accomplishments in removing barriers to salmon passage and an identification of existing barriers;

      (((b))) (ii) A summary of salmon restoration efforts undertaken in the past two years;

      (((c))) (iii) A summary of the role which private volunteer initiatives contribute in salmon habitat restoration efforts; and

      (((d))) (iv) A summary of efforts taken to protect salmon habitat;

      (((3))) (c) A summary of collaborative efforts undertaken with adjoining states or Canada;

      (((4))) (d) A summary of harvest and hatchery management activities affecting salmon recovery;

      (((5))) (e) A summary of information regarding impediments to successful salmon recovery efforts;

      (((6))) (f) A summary of the number and types of violations of existing laws pertaining to: (((a))) (i) Water quality; and (((b))) (ii) salmon. The summary shall include information about the types of sanctions imposed for these violations;

      (((7))) (g) Information on the estimated carrying capacity of new habitat created pursuant to chapter 246, Laws of 1998; and

      (((8))) (h) Recommendations to the legislature that would further the success of salmon recovery. The recommendations may include:

      (((a))) (i) The need to expand or improve nonregulatory programs and activities; ((and

      (b))) (ii) The need to expand or improve state and local laws and regulations; and

      (iii) Recommendations for state funding assistance to recovery activities and projects.

      (2) The report shall summarize the monitoring data coordinated by the monitoring forum. The summary must include but is not limited to data and analysis related to:

      (a) Measures of progress in fish recovery;

      (b) Measures of factors limiting recovery as well as trends in such factors; and

      (c) The status of implementation of projects and activities.

      Sec. 4. RCW 77.85.030 and 2000 c 107 s 93 are each amended to read as follows:

      (1) The salmon recovery office is created within the office of the governor to coordinate state strategy to allow for salmon recovery to healthy sustainable population levels with productive commercial and recreational fisheries. The primary purpose of the office is to coordinate and assist in the development of regional salmon recovery plans ((for evolutionarily significant units, and submit those plans to the appropriate tribal governments and federal agencies)) as an integral part of a statewide strategy developed consistent with the guiding principles and procedures under RCW 77.85.150. The governor's salmon recovery office ((may also:

      (a))) shall assist regional recovery organizations in submitting plans to the federal fish services for adoption as federal recovery plans. The governor's salmon recovery office may also:

      (a) Assist state agencies, local governments, landowners, and other interested parties in obtaining federal assurances that plans, programs, or activities are consistent with fish recovery under the federal endangered species act;

      (b) Act as liaison to local governments, the state congressional delegation, the United States congress, federally recognized tribes, and the federal executive branch agencies for issues related to the state's ((endangered species act)) salmon recovery plans; and

      (((b))) (c) Provide ((the biennial state of the salmon report to the legislature)) periodic reports pursuant to RCW 77.85.020.

      (2) This section expires June 30, ((2006)) 2007.

      Sec. 5. RCW 77.85.040 and 2000 c 107 s 94 are each amended to read as follows:

      (1) The governor shall request the national academy of sciences, the American fisheries society, or a comparable institution to screen candidates to serve as members on the independent science panel. The institution that conducts the screening of the candidates shall submit a list of the nine most qualified candidates to the governor, the speaker of the house of representatives, and the majority leader of the senate. The candidates shall reflect expertise in habitat requirements of salmon, protection and restoration of salmon populations, artificial propagation of salmon, hydrology, or geomorphology.

      (2) The speaker of the house of representatives and the majority leader in the senate may each remove one name from the nomination list. The governor shall consult with tribal representatives and the governor shall appoint five scientists from the remaining names on the nomination list.


      (3) The members of the independent science panel shall serve four-year terms. Vacant positions on the panel shall be filled in the same manner as the original appointments. Members shall serve no more than two full terms. The independent science panel members shall elect the chair of the panel among themselves every two years. Based upon available funding, the governor's salmon recovery office may contract for services with members of the independent science panel for compensation under chapter 39.29 RCW.

      (4) The independent science panel shall be governed by generally accepted guidelines and practices governing the activities of independent science boards such as the national academy of sciences. The purpose of the independent science panel is to help ensure that sound science is used in salmon recovery efforts. The governor's salmon recovery office ((shall)) may request review of regional salmon recovery plans by the science review panel. The science panel does not have the authority to review individual projects or habitat project lists developed under RCW 77.85.050((,)) or 77.85.060((, and 75.46.080)) or to make policy decisions. The panel shall periodically submit its findings and recommendations under this subsection to the legislature and the governor.

      (((5) The independent science panel, in conjunction with the technical review team, shall recommend standardized monitoring indicators and data quality guidelines for use by entities involved in habitat projects and salmon recovery activities across the state.

      (6) The independent science panel, in conjunction with the technical review team, shall also recommend criteria for the systematic and periodic evaluation of monitoring data in order for the state to be able to answer critical questions about the effectiveness of the state's salmon recovery efforts.

      (7) The recommendations on monitoring as required in this section shall be provided in a report to the governor and to the legislature by the independent science panel, in conjunction with the salmon recovery office, no later than December 31, 2000. The report shall also include recommendations on the level of effort needed to sustain monitoring of salmon projects and other recovery efforts, and any other recommendations on monitoring deemed important by the independent science panel and the technical review team. The report may be included in the biennial state of the salmon report required under RCW 77.85.020.))

      Sec. 6. RCW 77.85.050 and 1999 sp.s. c 13 s 11 are each amended to read as follows:

      (1)(a) Counties, cities, and tribal governments must jointly designate, by resolution or by letters of support, the area for which a habitat project list is to be developed and the lead entity that is to be responsible for submitting the habitat project list. No project included on a habitat project list shall be considered mandatory in nature and no private landowner may be forced or coerced into participation in any respect. The lead entity may be a county, city, conservation district, special district, tribal government, regional recovery organization, or other entity.

      (b) The lead entity shall establish a committee that consists of representative interests of counties, cities, conservation districts, tribes, environmental groups, business interests, landowners, citizens, volunteer groups, regional fish enhancement groups, and other habitat interests. The purpose of the committee is to provide a citizen-based evaluation of the projects proposed to promote salmon habitat. ((The technical review team may provide the lead entity with organizational models that may be used in establishing the committees.))

      (c) The committee shall compile a list of habitat projects, establish priorities for individual projects, define the sequence for project implementation, and submit these activities as the habitat project list. The committee shall also identify potential federal, state, local, and private funding sources.

      (2) The area covered by the habitat project list must be based, at a minimum, on a WRIA, combination of WRIAs, or any other area as agreed to by the counties, cities, and tribes in resolutions or in letters of support meeting the requirements of this subsection. Preference will be given to projects in an area that contain a salmon species that is listed or proposed for listing under the federal endangered species act.

      (3) The lead entity shall submit the habitat project list to the ((technical review team)) board in accordance with procedures adopted by the board.

      Sec. 7. RCW 77.85.090 and 2000 c 107 s 99 are each amended to read as follows:

      (1) The southwest Washington salmon recovery region, whose boundaries are provided in chapter 60, Laws of 1998, is created.

      (2) Lead entities within a salmon recovery region that agree to form a regional salmon recovery organization may be recognized by the salmon recovery office as a regional recovery organization. The regional recovery organization may plan, coordinate, and monitor the implementation of a regional recovery plan.

      Sec. 8. RCW 77.85.130 and 2000 c 107 s 102 and 2000 c 15 s 1 are each reenacted and amended to read as follows:

      (1) The salmon recovery funding board shall develop procedures and criteria for allocation of funds for salmon habitat projects and salmon recovery activities on a statewide basis to address the highest priorities for salmon habitat protection and restoration. To the extent practicable the board shall adopt an annual allocation of funding. The allocation should address both protection and restoration of habitat, and should recognize the varying needs in each area of the state on an equitable basis. The board has the discretion to partially fund, or to fund in phases, salmon habitat projects. The board may annually establish a maximum amount of funding available for any individual project, subject to available funding. No projects required solely as a mitigation or a condition of permitting are eligible for funding.

      (2)(a) In evaluating, ranking, and awarding funds for projects and activities the board shall give preference to projects that:

      (i) Are based upon the limiting factors analysis identified under RCW 77.85.060;

      (ii) Provide a greater benefit to salmon recovery based upon the stock status information contained in the department of fish and wildlife salmonid stock inventory (SASSI), the salmon and steelhead habitat inventory and assessment project (SSHIAP), and any comparable science-based assessment when available;

      (iii) Will benefit listed species and other fish species; ((and))

      (iv) Will preserve high quality salmonid habitat; and

      (v) Are included in a regional or watershed-based salmon recovery plan that accords the project, action, or area a high priority for funding.

      (b) In evaluating, ranking, and awarding funds for projects and activities the board shall also give consideration to projects that:

      (i) Are the most cost-effective;

      (ii) Have the greatest matched or in-kind funding; ((and))

      (iii) Will be implemented by a sponsor with a successful record of project implementation; and

      (iv) Are part of a regionwide list developed by lead entities.

      (3) The board may reject, but not add, projects from a habitat project list submitted by a lead entity for funding.

      (4) ((For fiscal year 2000, the board may authorize the interagency review team to evaluate, rank, and make funding decisions for categories of projects or activities or from funding sources provided for categories of projects or activities. In delegating such authority the board shall consider the review team's staff resources, procedures, and technical capacity to meet the purposes and objectives of this chapter. The board shall maintain general oversight of the team's exercise of such authority.

      (5) The board shall seek the guidance of the technical review team to ensure that scientific principles and information are incorporated into the allocation standards and into proposed projects and activities. If the technical review team determines that a habitat project list complies with the critical pathways methodology under RCW 77.85.060, it shall provide substantial weight to the list's project priorities when making determinations among applications for funding of projects within the area covered by the list.

      (6))) The board shall establish criteria for determining when block grants may be made to a lead entity ((or other recognized regional recovery entity consistent with one or more habitat project lists developed for that region. Where a lead entity has been established pursuant to RCW 77.85.050,)). The board may provide block grants to the lead entity to ((assist in carrying out lead entity functions under this chapter,)) implement habitat project lists developed under RCW 77.85.050, subject to available funding. The board shall determine an equitable minimum amount of project funds for each recovery region, and shall distribute the remainder of funds on a competitive basis. The board may also provide block grants to the lead entity or regional recovery organization to assist in carrying out functions described under this chapter. Block grants must be expended consistent with the priorities established for the board in subsection (2) of this section. Lead entities or regional recovery organizations receiving block grants under this subsection shall provide an annual report to the board summarizing how funds were expended for activities consistent with this chapter, including the types of projects funded, project outcomes, monitoring results, and administrative costs.

      (((7))) (5) The board may waive or modify portions of the allocation procedures and standards adopted under this section in the award of grants or loans to conform to legislative appropriations directing an alternative award procedure or when the funds to be awarded are from federal or other sources requiring other allocation procedures or standards as a condition of the board's receipt of the funds. The board shall develop an integrated process to manage the allocation of funding from federal and state sources to minimize delays in the award of funding while recognizing the differences in state and legislative appropriation timing.

      (((8))) (6) The board may award a grant or loan for a salmon recovery project on private or public land when the landowner has a legal obligation under local, state, or federal law to perform the project, when expedited action provides a clear benefit to salmon recovery, and there will be harm to salmon recovery if the project is delayed. For purposes of this subsection, a legal obligation does not include a project required solely as a mitigation or a condition of permitting.

      (((9))) (7) The board may condition a grant or loan to include the requirement that property may only be transferred to a federal agency if the agency that will acquire the property agrees to comply with all terms of the grant or loan to which the project sponsor was obligated. Property acquired or improved by a project sponsor may be conveyed to a federal agency, but only if the agency agrees to comply with all terms of the grant or loan to which the project sponsor was obligated.

      Sec. 9. RCW 77.85.150 and 1999 sp.s. c 13 s 9 are each amended to read as follows:

      (1) ((By September 1, 1999,)) The governor, with the assistance of the salmon recovery office, shall ((submit a statewide salmon recovery strategy to the appropriate federal agencies administering the federal endangered species act)) maintain and revise a statewide salmon recovery strategy.

      (2) The governor and the salmon recovery office shall be guided by the following considerations in ((developing)) maintaining and revising the strategy:

      (a) The strategy should identify statewide initiatives and responsibilities with regional recovery plans and local watershed initiatives as the principal ((mechanism)) means for implementing the strategy;

      (b) The strategy should emphasize collaborative, incentive-based approaches;

      (c) The strategy should address all factors limiting the recovery of Washington's listed salmon stocks, including habitat and water quality degradation, harvest and hatchery management, inadequate streamflows, and other barriers to fish passage. Where other limiting factors are beyond the state's jurisdictional authorities to respond to, such as some natural predators and high seas fishing, the strategy shall include the state's requests for federal action to effectively address these factors;

      (d) The strategy should identify immediate actions necessary to prevent extinction of a listed salmon stock, establish performance measures to determine if restoration efforts are working, recommend effective monitoring and data management, and recommend to the legislature clear and certain measures to be implemented if performance goals are not met;

      (e) The strategy shall rely on the best scientific information available and provide for incorporation of new information as it is obtained;

      (f) The strategy should seek a fair allocation of the burdens and costs upon economic and social sectors of the state whose activities may contribute to limiting the recovery of salmon; and

      (g) The strategy should seek clear measures and procedures from the appropriate federal agencies for removing Washington's salmon stocks from listing under the federal act.

      (3) Beginning on September 1, 2000, the strategy shall be updated through an active public involvement process, including early and meaningful opportunity for public comment. In obtaining public comment, the salmon recovery office shall hold public meetings throughout the state and shall encourage regional and local recovery planning efforts to similarly ensure an active public involvement process.

      (4) This section shall apply prospectively only and not retroactively. Nothing in this section shall be construed to invalidate actions taken in recovery planning at the local, regional, or state level prior to July 1, 1999.

      NEW SECTION. Sec. 10. The following acts or parts of acts are each repealed:

      (1) RCW 77.85.070 (Technical advisory groups) and 2000 c 107 s 97 & 1998 c 246 s 10; and

      (2) RCW 77.85.210 (Monitoring activities--Monitoring oversight committee--Legislative steering committee--Report to the legislature--Monitoring strategy and action plan) and 2001 c 298 s 3."

      Correct the title.

and the same is herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MOTION

 

      Senator Jacobsen moved that the Senate refuse to concur in the House amendment(s) to Substitute Senate Bill No. 5610 and ask the House to recede therefrom.

      Senators Jacobsen spoke in favor of the motion.

      The President declared the question before the Senate to be motion by Senator Jacobsen that the Senate refuse to concur in the House amendment(s) to Substitute Senate Bill No. 5610 and ask the House to recede therefrom.

      The motion by Senator Jacobsen carried and the Senate refused to concur in the House amendment(s) to Substitute Senate Bill No. 5610 and asked the House to recede therefrom by voice vote.

 

MOTIONS

 

On motion of Senator Hewitt, Senator Finkbeiner was excused.

On motion of Senator Regala, Senators Fraser, Kastama and Kline were excused.

 

MESSAGE FROM THE HOUSE

 

April 18, 2005


 

MR. PRESIDENT:

 

      The House refuses to concur in the Senate amendment(s) to SUBSTITUTE HOUSE BILL NO. 2124 and asks Senate to recede therefrom.

and the same is herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MOTION

 

Senator Haugen moved that the Senate recede from its position on Substitute House Bill No. 2124.

      The President declared the question before the Senate to be the motion by Senator Haugen that the Senate recede from its position on Substitute House Bill No. 2124.

The motion by Senator Haugen carried and the Senate receded from its position on Substitute House Bill No. 2124 by voice vote.

 

MOTION

 

On motion of Senator Haugen, the rules were suspended and Substitute House Bill No. 2124 was returned to second reading for the purposes of amendment.

 

SECOND READING

 

      SUBSTITUTE HOUSE BILL NO. 2124, by House Committee on Transportation (originally sponsored by Representatives Murray, Jarrett, Simpson, Hudgins, Upthegrove, Sells, Wallace, Dickerson, B. Sullivan, Moeller, Kenney and Hasegawa)

 

      Increasing state participation in public transportation service and planning.

 

      The measure was read the second time.

 

MOTION

 

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

      Strike everything after the enacting clause and insert the following:

      "NEW SECTION. Sec. 1. The legislature finds that the state needs to reestablish itself as a leader in public transportation.

      The legislature also finds that increased demands on transportation resources require increased coordination among public transportation service providers.

      The legislature also finds that the efficiency of transportation corridors would be enhanced by a more proactive and integrated approach to public transportation service delivery and planning.

      The legislature also finds that the state department of transportation is in the unique position of being able to improve connectivity between service territories of transit agencies and modes of transportation.

      The legislature also finds that the state should be a center of excellence in public transportation planning and research and providing technical assistance to transit agencies serving urban, suburban, and rural areas.

      Therefore, it is the intent of the legislature that the state department of transportation be a leader in public transportation. The department shall play a guiding role in coordinating decentralized public transportation services, increasing connectivity between them, advocating for public transportation as a means to increase corridor efficiency, and increasing the integration of public transportation and the highway system.

      NEW SECTION. Sec. 2. A new section is added to chapter 47.01 RCW to read as follows:

      (1) The secretary shall establish an office of transit mobility. The purpose of the office is to facilitate the integration of decentralized public transportation services with the state transportation system. The goals of the office of transit mobility are: (a) To facilitate connection and coordination of transit services and planning; and (b) maximizing opportunities to use public transportation to improve the efficiency of transportation corridors.

      (2) The duties of the office include, but are not limited to, the following:

      (a) Developing a statewide strategic plan that creates common goals for transit agencies and reduces competing plans for cross-jurisdictional service;

      (b) Developing a park and ride lot program;

      (c) Encouraging long-range transit planning;

      (d) Providing public transportation expertise to improve linkages between regional transportation planning organizations and transit agencies;

      (e) Strengthening policies for inclusion of transit and transportation demand management strategies in route development, corridor plan standards, and budget proposals;

      (f) Recommending best practices to integrate transit and demand management strategies with regional and local land use plans in order to reduce traffic and improve mobility and access;

      (g) Producing recommendations for the public transportation section of the Washington transportation plan; and

      (h) Participating in all aspects of corridor planning, including freight planning, ferry system planning, and passenger rail planning.

      (3) In forming the office, the secretary shall use existing resources to the greatest extent possible.

      (4) The office of transit mobility shall establish measurable performance objectives for evaluating the success of its initiatives and progress toward accomplishing the overall goals of the office.

      (5) The office of transit mobility must report quarterly to the secretary, and annually to the transportation committees of the legislature, on the progress of the office in meeting the goals and duties provided in this section.

      NEW SECTION. Sec. 3. A new section is added to chapter 47.01 RCW to read as follows:

      Local and regional transportation agencies shall adopt common transportation goals. The office of transit mobility shall review local and regional transportation plans, including plans required under RCW 35.58.2795, 36.70A.070(6), 36.70A.210, and 47.80.023, to provide for the efficient integration of multimodal and multijurisdictional transportation planning.

      Sec. 4. RCW 47.66.030 and 1996 c 49 s 3 are each amended to read as follows:

      (1)(((a))) The ((transportation improvement board is authorized and responsible for the final selection of programs and projects funded from the central Puget Sound public transportation account; public transportation systems account; and the intermodal surface transportation and efficiency act of 1991, surface transportation program, statewide competitive)) department shall establish a regional mobility grant program. The purpose of the grant program is to aid local governments in funding projects such as intercounty connectivity service, park and ride lots, rush hour transit service, and capital projects that improve the connectivity and efficiency of our transportation system. The department shall identify cost-effective projects that reduce delay for people and goods and improve connectivity between counties and regional population centers. The department shall submit a prioritized list of all projects requesting funding to the legislature by December 1st of each year.


      (((b))) (2) The ((board)) department may establish ((subcommittees as well as technical)) an advisory committee((s)) to carry out the mandates of this chapter.

      (((2) Expenses of the board, including administrative expenses for managing the program, shall be paid in accordance with RCW 47.26.140.))

      (3) The department must report annually to the transportation committees of the legislature on the status of any grants projects funded by the program created under this section.

      Sec. 5. RCW 47.66.040 and 1995 c 269 s 2606 are each amended to read as follows:

      (1) The ((transportation improvement board)) department shall select ((programs and)) projects based on a competitive process ((consistent with the mandates governing each account or source of funds)). The competition shall be consistent with the following criteria:

      (a) Local, regional, and state transportation plans;

      (b) Local transit development plans; and

      (c) Local comprehensive land use plans.

      (2) The following criteria shall be considered by the ((board)) department in selecting programs and projects:

      (a) Objectives of the growth management act, the high capacity transportation act, the commute trip reduction act, transportation demand management programs, federal and state air quality requirements, and federal Americans with Disabilities Act and related state accessibility requirements; and

      (b) Enhancing the efficiency of regional corridors in moving people among jurisdictions and modes of transportation, energy efficiency issues, reducing delay for people and goods, freight and goods movement as related to economic development, regional significance, rural isolation, the leveraging of other funds ((including funds administered by this board)), and safety and security issues.

      (3) The ((board)) department shall determine the appropriate level of local match required for each ((program and)) project based on the source of funds.

      NEW SECTION. Sec. 6. A new section is added to chapter 47.66 RCW to read as follows:

      Beginning in 2005, and every other year thereafter, the department shall examine the division's existing grant programs, and the methods used to allocate grant funds, to determine the program's effectiveness, and whether the methods used to allocate funds result in an equitable distribution of the grants. The department shall submit a report of the findings to the transportation committees of the legislature.

      NEW SECTION. Sec. 7. If Senate Bill No. 6103 is not enacted by June 30, 2005, this act is null and void."

 

MOTION

 

Senator Benton moved that the following amendment by Senator Benton to the striking amendment be adopted.

      Beginning on page 1, line 3 of the amendment, strike all of sections 1 through 6

      On page 4, after line 29 of the amendment, insert the following:

      "NEW SECTION. Sec. 1. The joint legislative audit and review committee shall perform an evaluation of the public transportation and rail division, and the urban planning office within the department of transportation. The evaluation must include an examination of the existing transit and other multimodal planning coordination efforts of local, regional, and state governments. The evaluation must also review the resources, such as studies and data, currently available to local, regional, and state government. Based on the evaluation the committee must make recommendations regarding the best methods to: (1) Facilitate connection and coordination of transit services and planning at the local, regional, and state level; and (2) maximize opportunities to use public transportation to improve the efficiency of transportation corridors.

      By December 1, 2006, the joint legislative audit and review committee shall prepare a report to the transportation committees of the legislature detailing the evaluation findings and recommendations."

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

      On page 5, line 1 of the title amendment, after "insert" strike all material through "sections" on line 4 and insert "and creating a new section"

      Senator Benton spoke in favor of adoption of the amendment to the striking amendment.

      Senators Haugen and Pridemore spoke against adoption of the amendment to the striking amendment.

 

The President declared the question before the Senate to be the adoption of the amendment by Senator Benton on page 1, line 3 to the striking amendment to Substitute House Bill No. 2124.

The motion by Senator Benton failed and the amendment to the striking amendment was not adopted by voice vote.

 

      Senator Swecker spoke in favor of adoption of the striking amendment.

      The President declared the question before the Senate to be the adoption of the striking amendment by Senators Haugen and Swecker to Substitute House Bill No. 2124.

      The motion by Senator Haugen carried and the striking amendment was adopted by voice vote.

 

MOTION

 

      There being no objection, the following title amendment was adopted:

      In line 2 of the title, after "planning;" strike the remainder of the title and insert "amending RCW 47.66.030 and 47.66.040; adding new sections to chapter 47.01 RCW; adding a new section to chapter 47.66 RCW; and creating new sections."

 

MOTION

 

On motion of Senator Pflug, Senator Mulliken was excused.

 

MOTION

 

      On motion of Senator Haugen, the rules were suspended, Substitute House Bill No. 2124, as amended by the Senate was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      Senators Haugen and Jacobsen spoke in favor of passage of the bill.

      Senator Esser spoke against passage of the bill.

      The President declared the question before the Senate to be the final passage of Substitute House Bill No. 2124, as amended by the Senate.

 

ROLL CALL

 

      The Secretary called the roll on the final passage of Substitute House Bill No. 2124, as amended by the Senate and the bill passed the Senate by the following vote: Yeas, 29; Nays, 14; Absent, 1; Excused, 5.

      Voting yea: Senators Berkey, Brown, Doumit, Eide, Fairley, Franklin, Fraser, Hargrove, Haugen, Jacobsen, Keiser, Kohl-Welles, McAuliffe, McCaslin, Oke, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Rockefeller, Schmidt, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau and Weinstein - 29


      Voting nay: Senators Benson, Benton, Brandland, Carrell, Delvin, Esser, Hewitt, Honeyford, Morton, Parlette, Pflug, Roach, Schoesler and Zarelli - 14

      Absent: Senator Johnson - 1

      Excused: Senators Deccio, Finkbeiner, Kastama, Kline and Mulliken - 5

      SUBSTITUTE HOUSE BILL NO. 2124, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill was ordered to stand as the title of the act.

 

MOTION

 

      On motion of Senator Eide, the Senate reverted to the fourth order of business.

 

MESSAGE FROM THE HOUSE

 

April 21, 2005

 

MR. PRESIDENT:

 

The Speaker has signed:

      ENGROSSED HOUSE BILL NO. 1003,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1064,

      ENGROSSED HOUSE BILL NO. 1068,

      ENGROSSED HOUSE BILL NO. 1074,

      HOUSE BILL NO. 1128,

      ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 1152,

      SUBSTITUTE HOUSE BILL NO. 1185,

      SUBSTITUTE HOUSE BILL NO. 1216,

      SUBSTITUTE HOUSE BILL NO. 1218,

      ENGROSSED HOUSE BILL NO. 1222,

      SUBSTITUTE HOUSE BILL NO. 1236,

      HOUSE BILL NO. 1247,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1252,

      HOUSE BILL NO. 1254,

      SUBSTITUTE HOUSE BILL NO. 1266,

      SUBSTITUTE HOUSE BILL NO. 1280,

      ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 1290,

      SUBSTITUTE HOUSE BILL NO. 1304,

      HOUSE BILL NO. 1307,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1314,

      SUBSTITUTE HOUSE BILL NO. 1347,

      SUBSTITUTE HOUSE BILL NO. 1366,

      SUBSTITUTE HOUSE BILL NO. 1379,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1397,

      ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 1418,

      SUBSTITUTE HOUSE BILL NO. 1463,

      SUBSTITUTE HOUSE BILL NO. 1495,

      SUBSTITUTE HOUSE BILL NO. 1496,

      SUBSTITUTE HOUSE BILL NO. 1541,

      SUBSTITUTE HOUSE BILL NO. 1652,

      SUBSTITUTE HOUSE BILL NO. 1699,

      SUBSTITUTE HOUSE BILL NO. 1711,

      HOUSE BILL NO. 1739,

      SUBSTITUTE HOUSE BILL NO. 1754,

      HOUSE BILL NO. 1771,

and the same are herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MESSAGE FROM THE HOUSE

 

April 21, 2005

 

MR. PRESIDENT:

 

The Speaker has signed:

      HOUSE BILL NO. 1303,

      SUBSTITUTE HOUSE BILL NO. 1313,

      HOUSE BILL NO. 1315,

      HOUSE BILL NO. 1330,

      SUBSTITUTE HOUSE BILL NO. 1345,

      SUBSTITUTE HOUSE BILL NO. 1381,

      HOUSE BILL NO. 1386,

      SUBSTITUTE HOUSE BILL NO. 1393,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1402,

      SUBSTITUTE HOUSE BILL NO. 1408,

      SUBSTITUTE HOUSE BILL NO. 1426,

      HOUSE BILL NO. 1469,

      SUBSTITUTE HOUSE BILL NO. 1478,

      SUBSTITUTE HOUSE BILL NO. 1486,

      SUBSTITUTE HOUSE BILL NO. 1512,

      HOUSE BILL NO. 1533,

      ENGROSSED HOUSE BILL NO. 1561,

      ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 1605,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1631,

      SUBSTITUTE HOUSE BILL NO. 1636,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1640,

      SUBSTITUTE HOUSE BILL NO. 1681,

      SUBSTITUTE HOUSE BILL NO. 1687,

      ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 1688,

      SUBSTITUTE HOUSE BILL NO. 1689,

      HOUSE BILL NO. 1690,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1696,

      SUBSTITUTE HOUSE BILL NO. 1756,

      SUBSTITUTE HOUSE BILL NO. 1847,

      SUBSTITUTE HOUSE BILL NO. 1856,

      HOUSE BILL NO. 1864,

      ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 1888,

      SUBSTITUTE HOUSE BILL NO. 1951

      SUBSTITUTE HOUSE BILL NO. 1995,

      HOUSE BILL NO. 1999,

      SUBSTITUTE HOUSE BILL NO. 2085,

      HOUSE BILL NO. 2101,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 2126,

      SUBSTITUTE HOUSE BILL NO. 2173,

      HOUSE BILL NO. 2189,

and the same are herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

SIGNED BY THE PRESIDENT

 

The President signed:

      ENGROSSED HOUSE BILL NO. 1003,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1064,

      ENGROSSED HOUSE BILL NO. 1068,

      ENGROSSED HOUSE BILL NO. 1074,

      HOUSE BILL NO. 1128,

      ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 1152,

      SUBSTITUTE HOUSE BILL NO. 1185,

      SUBSTITUTE HOUSE BILL NO. 1216,

      SUBSTITUTE HOUSE BILL NO. 1218,

      ENGROSSED HOUSE BILL NO. 1222,

      SUBSTITUTE HOUSE BILL NO. 1236,

      HOUSE BILL NO. 1247,


      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1252,

      HOUSE BILL NO. 1254,

      SUBSTITUTE HOUSE BILL NO. 1266,

      SUBSTITUTE HOUSE BILL NO. 1280,

      ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 1290,

      SUBSTITUTE HOUSE BILL NO. 1304,

      HOUSE BILL NO. 1307,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1314,

      SUBSTITUTE HOUSE BILL NO. 1347,

      SUBSTITUTE HOUSE BILL NO. 1366,

      SUBSTITUTE HOUSE BILL NO. 1379,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1397,

      ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 1418,

      SUBSTITUTE HOUSE BILL NO. 1463,

      SUBSTITUTE HOUSE BILL NO. 1495,

      SUBSTITUTE HOUSE BILL NO. 1496,

      SUBSTITUTE HOUSE BILL NO. 1541,

      SUBSTITUTE HOUSE BILL NO. 1652,

      SUBSTITUTE HOUSE BILL NO. 1699,

      SUBSTITUTE HOUSE BILL NO. 1711,

      HOUSE BILL NO. 1739,

      SUBSTITUTE HOUSE BILL NO. 1754,

      HOUSE BILL NO. 1771

 

The President signed:

      HOUSE BILL NO. 1303,

      SUBSTITUTE HOUSE BILL NO. 1313,

      HOUSE BILL NO. 1315,

      HOUSE BILL NO. 1330,

      SUBSTITUTE HOUSE BILL NO. 1345,

      SUBSTITUTE HOUSE BILL NO. 1381,

      HOUSE BILL NO. 1386,

      SUBSTITUTE HOUSE BILL NO. 1393,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1402,

      SUBSTITUTE HOUSE BILL NO. 1408,

      SUBSTITUTE HOUSE BILL NO. 1426,

      HOUSE BILL NO. 1469,

      SUBSTITUTE HOUSE BILL NO. 1478,

      SUBSTITUTE HOUSE BILL NO. 1486,

      SUBSTITUTE HOUSE BILL NO. 1512,

      HOUSE BILL NO. 1533,

      ENGROSSED HOUSE BILL NO. 1561,

      ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 1605,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1631,

      SUBSTITUTE HOUSE BILL NO. 1636,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1640,

      SUBSTITUTE HOUSE BILL NO. 1681,

      SUBSTITUTE HOUSE BILL NO. 1687,

      ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 1688,

      SUBSTITUTE HOUSE BILL NO. 1689,

      HOUSE BILL NO. 1690,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1696,

      SUBSTITUTE HOUSE BILL NO. 1756,

      SUBSTITUTE HOUSE BILL NO. 1847,

      SUBSTITUTE HOUSE BILL NO. 1856,

      HOUSE BILL NO. 1864,

      ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 1888,

      SUBSTITUTE HOUSE BILL NO. 1951,

      SUBSTITUTE HOUSE BILL NO. 1995,

      HOUSE BILL NO. 1999,

      SUBSTITUTE HOUSE BILL NO. 2085,

      HOUSE BILL NO. 2101,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 2126,

      SUBSTITUTE HOUSE BILL NO. 2173,

      HOUSE BILL NO. 2189.

 

MOTION

 

      On motion of Senator Eide, the Senate reverted to the third order of business.

 

INTRODUCTION OF SPECIAL GUESTS

 

      The President welcomed and introduced City Council members from the Dalseong-gun District, City of Deagu, South Korea, guests of Senator Shin, who were seated in the gallery.

 

MOTION

 

At 3:03 p.m., on motion of Senator Eide, the Senate was declared to be at ease subject to the call of the President.

The Senate was called to order at 4:15 p.m. by President Owen.

 

SECOND READING

CONFIRMATION OF GUBERNATORIAL REAPPOINTMENTS

 

MOTION

 

      Senator Brown, moved that Gubernatorial Reappointment No. 9088, Tom Karier, as a member of the Pacific Northwest Electric Power and Conservation Planning Council, be confirmed.

      Senators Brown and Spanel spoke in favor of the motion.

 

MOTION

 

On motion of Senator Hewitt, Senators Honeyford and Brandland were excused.

 

REAPPOINTMENT OF TOM KARIER

 

The President declared the question before the Senate to be the confirmation of Gubernatorial Reappointment No. 9088, Tom Karier as a member of the Pacific Northwest Electric Power and Conservation Planning Council.

 

      The Secretary called the roll on the confirmation of Gubernatorial Reappointment No. 9088, Tom Karier as a member of the Pacific Northwest Electric Power and Conservation Planning Council and the appointment was confirmed by the following vote: Yeas, 33; Nays, 0; Absent, 13; Excused, 3.

      Voting yea: Senators Benson, Benton, Berkey, Brown, Delvin, Esser, Fairley, Finkbeiner, Franklin, Fraser, Hargrove, Hewitt, Honeyford, Jacobsen, Kastama, Kline, McCaslin, Morton, Oke, Parlette, Poulsen, Prentice, Regala, Roach, Rockefeller, Schmidt, Schoesler, Shin, Spanel, Stevens, Swecker, Weinstein and Zarelli - 33

      Absent: Senators Carrell, Doumit, Eide, Haugen, Johnson, Keiser, Kohl-Welles, McAuliffe, Pflug, Pridemore, Rasmussen, Sheldon and Thibaudeau - 13

      Excused: Senators Brandland, Deccio and Mulliken - 3

Gubernatorial Reappointment No. 9088, Tom Karier, having received the constitutional majority was declared confirmed as a member of the Pacific Northwest Electric Power and Conservation Planning Council.

 

SECOND READING

CONFIRMATION OF GUBERNATORIAL APPOINTMENTS


 

MOTION

 

      Senator Rockefeller, moved that Gubernatorial Appointment No. 9018, J A Bricker, as a member of the State Board for Community and Technical Colleges, be confirmed.

      Senators Rockefeller, McCaslin, Poulsen and Haugen spoke in favor of the motion.

 

MOTION

 

On motion of Senator Regala, Senators Keiser and Eide were excused.

 

APPOINTMENT OF J A BRICKER

 

The President declared the question before the Senate to be the confirmation of Gubernatorial Appointment No. 9018, J A Bricker as a member of the State Board for Community and Technical Colleges.

 

      The Secretary called the roll on the confirmation of Gubernatorial Appointment No. 9018, J A Bricker as a member of the State Board for Community and Technical Colleges and the appointment was confirmed by the following vote: Yeas, 41; Nays, 0; Absent, 4; Excused, 4.

      Voting yea: Senators Benson, Benton, Berkey, Brown, Carrell, Deccio, Delvin, Doumit, Esser, Fairley, Finkbeiner, Franklin, Fraser, Hargrove, Haugen, Hewitt, Honeyford, Jacobsen, Kastama, Kline, Kohl-Welles, McAuliffe, McCaslin, Morton, Oke, Parlette, Poulsen, Prentice, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 41

      Absent: Senators Johnson, Pflug, Pridemore and Rasmussen - 4

      Excused: Senators Brandland, Eide, Keiser and Mulliken - 4

Gubernatorial Appointment No. 9018, J A Bricker, having received the constitutional majority was declared confirmed as a member of the State Board for Community and Technical Colleges.

 

SECOND READING

CONFIRMATION OF GUBERNATORIAL APPOINTMENTS

 

MOTION

 

      Senator Rockefeller, moved that Gubernatorial Appointment No. 9075, David Harrison, as Chair of the Work Force Training and Education Coordinating Board, be confirmed.

      Senator Rockefeller spoke in favor of the motion.

 

MOTION

 

On motion of Senator Regala, Senators Kohl-Welles, Rasmussen and Pridemore were excused.

 

APPOINTMENT OF DAVID HARRISON

 

The President declared the question before the Senate to be the confirmation of Gubernatorial Appointment No. 9075, David Harrison as Chair of the Work Force Training and Education Coordinating Board.

 

      The Secretary called the roll on the confirmation of Gubernatorial Appointment No. 9075, David Harrison as Chair of the Work Force Training and Education Coordinating Board and the appointment was confirmed by the following vote: Yeas, 43; Nays, 0; Absent, 1; Excused, 5.

      Voting yea: Senators Benson, Benton, Berkey, Brown, Carrell, Deccio, Delvin, Doumit, Eide, Esser, Fairley, Finkbeiner, Franklin, Fraser, Hargrove, Haugen, Hewitt, Honeyford, Jacobsen, Johnson, Kastama, Kline, McAuliffe, McCaslin, Morton, Mulliken, Oke, Parlette, Poulsen, Prentice, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 43

      Absent: Senator Pflug - 1

      Excused: Senators Brandland, Keiser, Kohl-Welles, Pridemore and Rasmussen - 5

Gubernatorial Appointment No. 9075, David Harrison, having received the constitutional majority was declared confirmed as Chair of the Work Force Training and Education Coordinating Board.

 

MOTION

 

      On motion of Senator Eide, the Senate advanced to the fourth order of business.

 

MESSAGE FROM THE HOUSE

 

April 21, 2005

 

MR. PRESIDENT:

 

The Speaker has signed:

      HOUSE BILL NO. 1081,

and the same is herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MESSAGE FROM THE HOUSE

 

April 22, 2005

 

MR. PRESIDENT:

 

The House has passed the following bill{s}:

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 2299,

and the same is herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

SIGNED BY THE PRESIDENT

 

The President signed

      HOUSE BILL NO. 1081.

 

MESSAGE FROM THE HOUSE

 

April 21, 2005

 

MR. PRESIDENT:

 

      The House refuses to concur in the Senate amendment(s) to SUBSTITUTE HOUSE BILL NO. 1708 and asks Senate to recede therefrom.

and the same is herewith transmitted.

 


RICHARD NAFZIGER, Chief Clerk

 

MOTION

 

Senator McAuliffe moved that the Senate recede from its position on Substitute House Bill No. 1708.

      The President declared the question before the Senate to be motion by Senator McAuliffe that the Senate recede from its position on Substitute House Bill No. 1708.

The motion by Senator McAuliffe carried and the Senate receded from its position on Substitute House Bill No. 1708 by voice vote.

 

MOTION

 

On motion of Senator McAuliffe, the rules were suspended and Substitute House Bill No. 1708 was returned to second reading for the purposes of amendment.

 

SECOND READING

 

      SUBSTITUTE HOUSE BILL NO. 1708, by House Committee on Education (originally sponsored by Representatives Lovick, Quall, Dickerson, Cox, Haigh, Kenney, McDermott, O'Brien, Sells, B. Sullivan, Appleton, Simpson, Kagi, Darneille, Morrell, Green, P. Sullivan, Ormsby, McCoy, Chase and Moeller)

 

      Regarding dropout prevention.

 

      The measure was read the second time.

 

MOTION

 

      Senator McAuliffe moved that the following striking amendment by Senators McAuliffe and Schmidt be adopted:

      Strike everything after the enacting clause and insert the following:

      "NEW SECTION. Sec. 1. A new section is added to chapter 28A.175 RCW to read as follows:

      The superintendent of public instruction shall review and evaluate promising programs and practices for dropout prevention. The superintendent may consult with education administrators and providers, parents, students, and researchers as appropriate, and shall include in the review dropout prevention programs using nonpunitive approaches to school discipline. The superintendent shall report to the legislature by December 1, 2005, and recommend:

      (1) The most promising comprehensive dropout prevention programs and practices that encompass school-wide or district-wide restructuring of the delivery of educational services;

      (2) The most promising targeted dropout prevention programs and practices designed to provide social and other services in coordination with educational services to students who are at risk of dropping out due to the presence of family, personal, economic, or cultural circumstances; and

      (3) Policy and other changes to enhance the ability of career and technical education and skills center programs to further contribute to dropout prevention efforts.

      NEW SECTION. Sec. 2. (1) To the extent funds are appropriated, the office of the superintendent of public instruction in conjunction with the administrative office of the courts, shall convene a work group to evaluate the following:

      (a) Review the implementation of the Becca bill and other school attendance measures to determine their consistent application across the state and their conformance with state law;

      (b) The definition of excused and unexcused absences;

      (c) Creating incentives for school districts to improve student attendance; and

      (d) Related data collection requirements on graduation, dropouts, student transfer, and other issues related to student attendance.

      (2) The work group shall include representatives of the following groups, agencies, and organizations:

      (a) The office of the superintendent of public instruction;

      (b) The state board of education;

      (c) Teachers;

      (d) School administrators;

      (e) School counselors;

      (f) Truancy officers and truancy board members;

      (g) The administrator for the courts;

      (h) Court judges;

      (i) Prosecuting attorneys;

      (j) The office of attorney general;

      (k) Institutions of higher education;

      (l) Members of the legislature; and

      (m) Other interested education organizations and personnel.

      (3) The office of the superintendent of public instruction shall report the findings of the work group under this section to the governor, the state board of education, and the legislature no later than January 10, 2006.

      Sec. 3. RCW 28A.175.010 and 1991 c 235 s 4 are each amended to read as follows:

      Each school district shall account for the educational progress of each of its students. To achieve this, school districts shall be required to report annually to the superintendent of public instruction:

      (1) For students enrolled in each of a school district's high school programs:

      (a) The number of students ((eligible for graduation)) who graduate in fewer than four years;

      (b) The number of students who graduate in four years;

      (c) The number of students who remain in school for more than four years but who eventually graduate and the number of students who remain in school for more than four years but do not graduate;

      (d) The number of students who transfer to other schools;

      (e) ((The number of students who enter from other schools;

      (f))) The number of students in the ninth through twelfth grade who drop out of school over a four-year period; and

      (((g))) (f) The number of students whose status is unknown.

      (2) Dropout rates of students in each of the grades ((nine)) seven through twelve.

      (3) Dropout rates for student populations in each of the grades ((nine)) seven through twelve by:

      (a) Ethnicity;

      (b) Gender;

      (c) Socioeconomic status; and

      (d) Disability status.

      (4) The causes or reasons, or both, attributed to students for having dropped out of school in grades ((nine)) seven through twelve.

      (5) The superintendent of public instruction shall adopt rules under chapter 34.05 RCW to assure uniformity in the information districts are required to report under subsections (1) through (4) of this section. In developing rules, the superintendent of public instruction shall consult with school districts, including administrative and counseling personnel, with regard to the methods through which information is to be collected and reported.

      (6) In reporting on the causes or reasons, or both, attributed to students for having dropped out of school, school building officials shall, to the extent reasonably practical, obtain such information directly from students. In lieu of obtaining such information directly from students, building principals and counselors shall identify the causes or reasons, or both, based on their professional judgment.

      (7) The superintendent of public instruction shall report annually to the legislature the information collected under subsections (1) through (4) of this section.

      NEW SECTION. Sec. 4. The legislature finds that the dropout rate of the state's Native American students is the highest in the state. Approximately one-half of all Native American high school students drop out before graduating with a diploma. The legislature also finds that culturally relevant educational opportunities are important contributors to other efforts to increase the rates of high school graduation for Native American students. The legislature further finds that the higher education participation rate for Native American students is the lowest in the state, and that more can be done to encourage Native American students to pursue higher educational opportunities. The legislature intends to authorize accredited public tribal colleges to participate in the running start program for the purposes of reducing the dropout rate of Native American students and encouraging greater participation rates in higher education.

      Sec. 5. RCW 28A.600.300 and 2002 c 80 s 1 are each amended to read as follows:

      For the purposes of RCW 28A.600.310 through 28A.600.400, "participating institution of higher education" or "institution of higher education" means:

      (1) A community or technical college as defined in RCW 28B.50.030; ((and))

      (2) A public tribal college located in Washington and accredited by the northwest commission on colleges and universities or another accrediting association recognized by the United States department of education; and

      (3) Central Washington University, Eastern Washington University, Washington State University, and The Evergreen State College, if the institution's governing board decides to participate in the program in RCW 28A.600.310 through 28A.600.400."

      Senator McAuliffe spoke in favor of adoption of the striking amendment.

      The President declared the question before the Senate to be the adoption of the striking amendment by Senators McAuliffe and Schmidt to Substitute House Bill No. 1708.

      The motion by Senator McAuliffe carried and the striking amendment was adopted by voice vote.

 

MOTION

 

      There being no objection, the following title amendment was adopted:

      On page 1, line 1 of the title, after "prevention;" strike the remainder of the title and insert "amending RCW 28A.175.010 and 28A.600.300; adding a new section to chapter 28A.175 RCW; and creating new sections."

 

MOTION

 

      On motion of Senator McAuliffe, the rules were suspended, Substitute House Bill No. 1708, 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 final passage of Substitute House Bill No. 1708, as amended by the Senate.

 

ROLL CALL

 

      The Secretary called the roll on the final passage of Substitute House Bill No. 1708, as amended by the Senate and the bill passed the Senate by the following vote: Yeas, 44; Nays, 0; Absent, 3; Excused, 2.

      Voting yea: Senators Benson, Berkey, Brandland, Carrell, Deccio, Delvin, Doumit, Eide, Esser, Fairley, Finkbeiner, Franklin, Fraser, Hargrove, Haugen, Hewitt, Honeyford, Jacobsen, Johnson, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, McCaslin, Morton, Mulliken, Oke, Parlette, Pflug, Prentice, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 44

      Absent: Senators Benton, Brown and Poulsen - 3

      Excused: Senators Pridemore and Rasmussen - 2

      SUBSTITUTE HOUSE BILL NO. 1708, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill was ordered to stand as the title of the act.

 

REPORT OF THE CONFERENCE REPORT

Substitute House Bill No. 1791

April 21, 2005

 

MR. PRESIDENT:

MR. SPEAKER:

      We of your conference committee, to whom was referred Substitute House Bill No. 1791, have had the same under consideration and recommend that all previous amendments not be adopted and that the following striking amendment be adopted:

And the bill do pass as recommended by the conference committee.

      Signed by Senators Prentice, Regala and Zarelli; Representatives Dunshee, Chase and Jarrett.

      Strike everything after the enacting clause and insert the following:

      "NEW SECTION. Sec. 1. A new section is added to chapter 71A.20 RCW to read as follows:

      (1) The developmental disabilities community trust account is created in the state treasury. All proceeds from the use of excess property identified in the 2002 joint legislative audit and review committee capital study of the division of developmental disabilities residential habilitation centers at Lakeland Village and Rainier school that would not impact current residential habilitation center operations must be deposited into the account. Income may come from the lease of the land, conservation easements, sale of timber, or other activities short of sale of the property. "Excess property" includes that portion of the property at Rainier school previously under the cognizance and control of Washington State University for use as a dairy/forage research facility. "Proceeds" include the net receipts from the use of all or a portion of the properties. Only investment income from the principal of the proceeds deposited into the trust account may be spent from the account. Moneys in the account may be spent only after appropriation. Expenditures from the account shall be used exclusively to provide family support and/or employment/day services to eligible persons with developmental disabilities who can be served by community-based developmental disability services. It is the intent of the legislature that the account should not be used to replace, supplant, or reduce existing appropriations.

      (2) The department shall report on its efforts and strategies to provide income to the developmental disabilities community trust account from the excess property identified in subsection (1) of this section from the lease of the property, sale of timber, or other activity short of sale of the property. The department shall report by June 30, 2006.

      (3) The account shall be known as the Dan Thompson memorial developmental disabilities community trust account.


      Sec. 2. RCW 43.84.092 and 2003 c 361 s 602, 2003 c 324 s 1, and 2003 c 48 s 2 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 developmental disabilities community trust account, the drinking water assistance account, the drinking water assistance administrative account, the drinking water assistance repayment account, the Eastern Washington University capital projects account, the education construction fund, the election account, the emergency reserve fund, The Evergreen State College capital projects account, 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 state higher education construction account, the higher education construction account, the highway infrastructure 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 mobile home park relocation fund, the multimodal transportation account, the municipal criminal justice assistance account, the municipal sales and use tax equalization account, the natural resources deposit account, the oyster reserve land account, the perpetual surveillance and maintenance account, the public employees' retirement system plan 1 account, the public employees' retirement system combined plan 2 and plan 3 account, the public facilities construction loan revolving account beginning July 1, 2004, the public health supplemental account, the Puyallup tribal settlement account, the regional transportation investment district 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 Tacoma Narrows toll bridge account, the teachers' retirement system plan 1 account, the teachers' retirement system combined plan 2 and plan 3 account, the tobacco prevention and control account, the tobacco settlement account, the transportation infrastructure account, the tuition recovery trust fund, the University of Washington bond retirement fund, the University of Washington building account, the volunteer fire fighters' and reserve officers' relief and pension principal fund, the volunteer fire fighters' and reserve officers' administrative fund, the Washington fruit express account, the Washington judicial retirement system account, the Washington law enforcement officers' and fire fighters' system plan 1 retirement account, the Washington law enforcement officers' and fire fighters' system plan 2 retirement account, the Washington school employees' retirement system combined plan 2 and 3 account, the Washington state health insurance pool 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, 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 aeronautics account, the aircraft search and rescue account, the county arterial preservation account, the department of licensing services account, the essential rail assistance account, the ferry bond retirement fund, the grade crossing protective fund, the high capacity transportation account, the highway bond retirement fund, the highway safety account, the motor vehicle fund, the motorcycle safety education account, the pilotage account, the public transportation systems account, the Puget Sound capital construction account, the Puget Sound ferry operations account, the recreational vehicle account, the rural arterial trust account, the safety and education account, the special category C account, the state patrol highway account, the transportation 2003 account (nickel account), the transportation equipment fund, the transportation fund, the transportation improvement account, the transportation improvement board bond retirement account, and the urban arterial trust account.


      (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.

      Sec. 3. RCW 43.84.092 and 2003 c 361 s 602, 2003 c 324 s 1, 2003 c 150 s 2, and 2003 c 48 s 2 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 developmental disabilities community trust account, the drinking water assistance account, the drinking water assistance administrative account, the drinking water assistance repayment account, the Eastern Washington University capital projects account, the education construction fund, the election account, the emergency reserve fund, The Evergreen State College capital projects account, 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 state higher education construction account, the higher education construction account, the highway infrastructure 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 mobile home park relocation fund, the multimodal transportation account, the municipal criminal justice assistance account, the municipal sales and use tax equalization account, the natural resources deposit account, the oyster reserve land account, the perpetual surveillance and maintenance account, the public employees' retirement system plan 1 account, the public employees' retirement system combined plan 2 and plan 3 account, the public facilities construction loan revolving account beginning July 1, 2004, the public health supplemental account, the public works assistance account, the Puyallup tribal settlement account, the regional transportation investment district 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 Tacoma Narrows toll bridge account, the teachers' retirement system plan 1 account, the teachers' retirement system combined plan 2 and plan 3 account, the tobacco prevention and control account, the tobacco settlement account, the transportation infrastructure account, the tuition recovery trust fund, the University of Washington bond retirement fund, the University of Washington building account, the volunteer fire fighters' and reserve officers' relief and pension principal fund, the volunteer fire fighters' and reserve officers' administrative fund, the Washington fruit express account, the Washington judicial retirement system account, the Washington law enforcement officers' and fire fighters' system plan 1 retirement account, the Washington law enforcement officers' and fire fighters' system plan 2 retirement account, the Washington school employees' retirement system combined plan 2 and 3 account, the Washington state health insurance pool 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, 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 aeronautics account, the aircraft search and rescue account, the county arterial preservation account, the department of licensing services account, the essential rail assistance account, the ferry bond retirement fund, the grade crossing protective fund, the high capacity transportation account, the highway bond retirement fund, the highway safety account, the motor vehicle fund, the motorcycle safety education account, the pilotage account, the public transportation systems account, the Puget Sound capital construction account, the Puget Sound ferry operations account, the recreational vehicle account, the rural arterial trust account, the safety and education account, the special category C account, the state patrol highway account, the transportation 2003 account (nickel account), the transportation equipment fund, the transportation fund, the transportation improvement account, the transportation improvement board bond retirement account, and the urban arterial trust account.

      (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.

      Sec. 4. RCW 43.84.092 and 2004 c 242 s 60 are each 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 developmental disabilities community trust account, the drinking water assistance account, the drinking water assistance administrative account, the drinking water assistance repayment account, the Eastern Washington University capital projects account, the education construction fund, the election account, the emergency reserve fund, The Evergreen State College capital projects account, 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 state higher education construction account, the higher education construction account, the highway infrastructure 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 mobile home park relocation fund, the multimodal transportation account, the municipal criminal justice assistance account, the municipal sales and use tax equalization account, the natural resources deposit account, the oyster reserve land account, the perpetual surveillance and maintenance account, the public employees' retirement system plan 1 account, the public employees' retirement system combined plan 2 and plan 3 account, the public facilities construction loan revolving account beginning July 1, 2004, the public health supplemental account, the public works assistance account, the Puyallup tribal settlement account, the regional transportation investment district 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 Tacoma Narrows toll bridge account, the teachers' retirement system plan 1 account, the teachers' retirement system combined plan 2 and plan 3 account, the tobacco prevention and control account, the tobacco settlement account, the transportation infrastructure account, the tuition recovery trust fund, the University of Washington bond retirement fund, the University of Washington building account, the volunteer fire fighters' and reserve officers' relief and pension principal fund, the volunteer fire fighters' and reserve officers' administrative fund, the Washington fruit express account, the Washington judicial retirement system account, the Washington law enforcement officers' and fire fighters' system plan 1 retirement account, the Washington law enforcement officers' and fire fighters' system plan 2 retirement account, the Washington public safety employees' plan 2 retirement account, the Washington school employees' retirement system combined plan 2 and 3 account, the Washington state health insurance pool 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, 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 aeronautics account, the aircraft search and rescue account, the county arterial preservation account, the department of licensing services account, the essential rail assistance account, the ferry bond retirement fund, the grade crossing protective fund, the high capacity transportation account, the highway bond retirement fund, the highway safety account, the motor vehicle fund, the motorcycle safety education account, the pilotage account, the public transportation systems account, the Puget Sound capital construction account, the Puget Sound ferry operations account, the recreational vehicle account, the rural arterial trust account, the safety and education account, the special category C account, the state patrol highway account, the transportation 2003 account (nickel account), the transportation equipment fund, the transportation fund, the transportation improvement account, the transportation improvement board bond retirement account, and the urban arterial trust account.

      (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.

      Sec. 5. RCW 72.01.140 and 1981 c 238 s 1 are each amended to read as follows:

      The secretary shall:

      (1) Make a survey, investigation, and classification of the lands connected with the state institutions under his control, and determine which thereof are of such character as to be most profitably used for agricultural, horticultural, dairying, and stock raising purposes, taking into consideration the costs of making them ready for cultivation, the character of the soil, its depth and fertility, the number of kinds of crops to which it is adapted, the local climatic conditions, the local annual rainfall, the water supply upon the land or available, the needs of all state institutions for the food products that can be grown or produced, and the amount and character of the available labor of inmates at the several institutions;

      (2) Establish and carry on suitable farming operations at the several institutions under his control;

      (3) Supply the several institutions with the necessary food products produced thereat;

      (4) Exchange with, or furnish to, other institutions, food products at the cost of production;

      (5) Sell and dispose of surplus food products produced.

      ((This section shall not apply to the Rainier school for which cognizance of farming operations has been transferred to Washington State University by RCW 72.01.142.))

      NEW SECTION. Sec. 6. The following acts or parts of acts are each repealed:

      (1) RCW 28B.30.820 (Dairy/forage and agricultural research facility--Transfer of property and facilities for) and 1981 c 238 s 3; and

      (2) RCW 72.01.142 (Transfer of dairy operation from Rainier school) and 1981 c 238 s 2.

      NEW SECTION. Sec. 7. 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 takes effect immediately, except for section 3 of this act which takes effect July 1, 2005, and section 4 of this act which takes effect July 1, 2006.

      NEW SECTION. Sec. 8. (1) Section 2 of this act expires July 1, 2005.

      (2) Section 3 of this act expires July 1, 2006."

      Correct the title.

 

MOTION

 

Senator Regala moved the Report of the Conference Committee on Substitute House Bill No. 1791 be adopted.

      Senator Regala spoke in favor of the motion.

      The President declared the question before the Senate to be the motion by Senator Regala that the Report of the Conference Committee on Substitute House Bill No. 1791 be adopted.

The motion by Senator Regala carried and the Report of the Conference Committee was adopted by voice vote.

 

MOTION

 

      On motion of Senator Mulliken, Senators Benton and Schoesler were excused.

 

The President declared the question before the Senate to be the final passage of Substitute House Bill No. 1791, as recommended by the Conference Committee.

 

ROLL CALL

 

      The Secretary called the roll on the final passage of Substitute House Bill No. 1791, as recommended by the Conference Committee, and the bill passed the Senate by the following vote: Yeas, 45; Nays, 0; Absent, 2; Excused, 2.

      Voting yea: Senators Benson, Berkey, Brandland, Carrell, Deccio, Delvin, Doumit, Eide, Esser, Fairley, Finkbeiner, Franklin, Fraser, Hargrove, Haugen, Hewitt, Honeyford, Jacobsen, Johnson, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, McCaslin, Morton, Mulliken, Oke, Parlette, Pflug, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 45

      Absent: Senators Brown and Poulsen - 2

      Excused: Senators Benton and Schoesler - 2

SUBSTITUTE HOUSE BILL NO. 1791, as recommended by the Conference Committee, having received the constitutional majority, was declared passed. There being no objection, the title of the bill was ordered to stand as the title of the act.

 

REPORT OF THE CONFERENCE REPORT

Engrossed Second Substitute Senate Bill No. 5763

April 20, 2005

 

MR. PRESIDENT:

MR. SPEAKER:

      We of your conference committee, to whom was referred Engrossed Second Substitute Senate Bill No. 5763, have had the same under consideration and recommend that all previous amendments not be adopted and that the following striking amendment be adopted:

      Strike everything after the enacting clause and insert the following:

 

"PART I

GENERAL PROVISIONS

 

      NEW SECTION. Sec. 101. The legislature finds that persons with mental disorders, chemical dependency disorders, or co-occurring mental and substance abuse disorders are disproportionately more likely to be confined in a correctional institution, become homeless, become involved with child protective services or involved in a dependency proceeding, or lose those state and federal benefits to which they may be entitled as a result of their disorders. The legislature finds that prior state policy of addressing mental health and chemical dependency in isolation from each other has not been cost-effective and has often resulted in longer-term, more costly treatment that may be less effective over time. The legislature finds that a substantial number of persons have co-occurring mental and substance abuse disorders and that identification and integrated treatment of co-occurring disorders is critical to successful outcomes and recovery. Consequently, the legislature intends, to the extent of available funding, to:


      (1) Establish a process for determining which persons with mental disorders and substance abuse disorders have co-occurring disorders;

      (2) Reduce the gap between available chemical dependency treatment and the documented need for treatment;

      (3) Improve treatment outcomes by shifting treatment, where possible, to evidence-based, research-based, and consensus-based treatment practices and by removing barriers to the use of those practices;

      (4) Expand the authority for and use of therapeutic courts including drug courts, mental health courts, and therapeutic courts for dependency proceedings;

      (5) Improve access to treatment for persons who are not enrolled in medicaid by improving and creating consistency in the application processes, and by minimizing the numbers of eligible confined persons who leave confinement without medical assistance;

      (6) Improve access to inpatient treatment by creating expanded services facilities for persons needing intensive treatment in a secure setting who do not need inpatient care, but are unable to access treatment under current licensing restrictions in other settings;

      (7) Establish secure detoxification centers for persons involuntarily detained as gravely disabled or presenting a likelihood of serious harm due to chemical dependency and authorize combined crisis responders for both mental disorders and chemical dependency disorders on a pilot basis and study the outcomes;

      (8) Slow or stop the loss of inpatient and intensive residential beds and children's long-term inpatient placements and refine the balance of state hospital and community inpatient and residential beds;

      (9) Improve cross-system collaboration including collaboration with first responders and hospital emergency rooms, schools, primary care, developmental disabilities, law enforcement and corrections, and federally funded and licensed programs;

      (10) Following the receipt of outcomes from the pilot programs in Part II of this act, if directed by future legislative enactment, implement a single, comprehensive, involuntary treatment act with a unified set of standards, rights, obligations, and procedures for adults and children with mental disorders, chemical dependency disorders, and co-occurring disorders; and

      (11) Amend existing state law to address organizational and structural barriers to effective use of state funds for treating persons with mental and substance abuse disorders, minimize internal inconsistencies, clarify policy and requirements, and maximize the opportunity for effective and cost-effective outcomes.

      NEW SECTION. Sec. 102. (1) The department of social and health services shall explore and report to the appropriate committees of the legislature by December 1, 2005, on the feasibility, costs, benefits, and time frame to access federal medicaid funds for mental health and substance abuse treatment under the following provisions:

      (a) The optional clinic provisions;

      (b) Children's mental health treatment or co-occurring disorders treatment under the early periodic screening, diagnosis, and treatment provisions.

      (2) The department shall provide the appropriate committees of the legislature with a clear and concise explanation of the reasons for reducing state hospital capacity and the differences in costs and benefits of treatment in state and community hospital treatment.

      (3) The department may not reduce the capacity of either state hospital until at least an equal number of skilled nursing, residential, expanded services facility, or supported housing placements are available in the community to the persons displaced by the capacity reduction.

 

Mental Health Treatment

 

    NEW SECTION. Sec. 103. A new section is added to chapter 71.05 RCW to read as follows:

    (1) Not later than January 1, 2007, all persons providing treatment under this chapter shall also implement the integrated comprehensive screening and assessment process for chemical dependency and mental disorders adopted pursuant to section 601 of this act and shall document the numbers of clients with co-occurring mental and substance abuse disorders based on a quadrant system of low and high needs. 

    (2) Treatment providers and regional support networks who fail to implement the integrated comprehensive screening and assessment process for chemical dependency and mental disorders by July 1, 2007, shall be subject to contractual penalties established under section 601 of this act.

    Sec. 104. RCW 71.05.020 and 2000 c 94 s 1 are each amended to read as follows:

    The definitions in this section apply throughout this chapter unless the context clearly requires otherwise.

    (1) "Admission" or "admit" means a decision by a physician that a person should be examined or treated as a patient in a hospital;

    (2) "Antipsychotic medications" means that class of drugs primarily used to treat serious manifestations of mental illness associated with thought disorders, which includes, but is not limited to atypical antipsychotic medications;

    (3) "Attending staff" means any person on the staff of a public or private agency having responsibility for the care and treatment of a patient;

    (4) "Commitment" means the determination by a court that a person should be detained for a period of either evaluation or treatment, or both, in an inpatient or a less restrictive setting;

    (5) "Conditional release" means a revocable modification of a commitment, which may be revoked upon violation of any of its terms;

    (6) (("County designated mental health professional" means a mental health professional appointed by the county to perform the duties specified in this chapter;

    (7))) "Custody" means involuntary detention under the provisions of this chapter or chapter 10.77 RCW, uninterrupted by any period of unconditional release from commitment from a facility providing involuntary care and treatment;

    (((8))) (7) "Department" means the department of social and health services;

    (((9))) (8) "Designated chemical dependency specialist" means a person designated by the county alcoholism and other drug addiction program coordinator designated under RCW 70.96A.310 to perform the commitment duties described in chapter 70.96A RCW and sections 202 through 216 of this act;

    (9) "Designated crisis responder" means a mental health professional appointed by the county or the regional support network to perform the duties specified in this chapter;

    (10) "Designated mental health professional" means a mental health professional designated by the county or other authority authorized in rule to perform the duties specified in this chapter;


   (11) "Detention" or "detain" means the lawful confinement of a person, under the provisions of this chapter;

   (((10))) (12) "Developmental disabilities professional" means a person who has specialized training and three years of experience in directly treating or working with persons with developmental disabilities and is a psychiatrist, psychologist, or social worker, and such other developmental disabilities professionals as may be defined by rules adopted by the secretary;

   (((11))) (13) "Developmental disability" means that condition defined in RCW 71A.10.020(3);

   (((12))) (14) "Discharge" means the termination of hospital medical authority. The commitment may remain in place, be terminated, or be amended by court order;

   (((13))) (15) "Evaluation and treatment facility" means any facility which can provide directly, or by direct arrangement with other public or private agencies, emergency evaluation and treatment, outpatient care, and timely and appropriate inpatient care to persons suffering from a mental disorder, and which is certified as such by the department. A physically separate and separately operated portion of a state hospital may be designated as an evaluation and treatment facility. A facility which is part of, or operated by, the department or any federal agency will not require certification. No correctional institution or facility, or jail, shall be an evaluation and treatment facility within the meaning of this chapter;

   (((14))) (16) "Gravely disabled" means a condition in which a person, as a result of a mental disorder: (a) Is in danger of serious physical harm resulting from a failure to provide for his or her essential human needs of health or safety; or (b) manifests severe deterioration in routine functioning evidenced by repeated and escalating loss of cognitive or volitional control over his or her actions and is not receiving such care as is essential for his or her health or safety;

   (((15))) (17) "Habilitative services" means those services provided by program personnel to assist persons in acquiring and maintaining life skills and in raising their levels of physical, mental, social, and vocational functioning. Habilitative services include education, training for employment, and therapy. The habilitative process shall be undertaken with recognition of the risk to the public safety presented by the ((individual)) person being assisted as manifested by prior charged criminal conduct;

   (((16))) (18) "History of one or more violent acts" refers to the period of time ten years prior to the filing of a petition under this chapter, excluding any time spent, but not any violent acts committed, in a mental health facility or in confinement as a result of a criminal conviction;

   (((17))) (19) "Individualized service plan" means a plan prepared by a developmental disabilities professional with other professionals as a team, for ((an individual)) a person with developmental disabilities, which shall state:

   (a) The nature of the person's specific problems, prior charged criminal behavior, and habilitation needs;

   (b) The conditions and strategies necessary to achieve the purposes of habilitation;

   (c) The intermediate and long-range goals of the habilitation program, with a projected timetable for the attainment;

   (d) The rationale for using this plan of habilitation to achieve those intermediate and long-range goals;

   (e) The staff responsible for carrying out the plan;

   (f) Where relevant in light of past criminal behavior and due consideration for public safety, the criteria for proposed movement to less-restrictive settings, criteria for proposed eventual discharge or release, and a projected possible date for discharge or release; and

    (g) The type of residence immediately anticipated for the person and possible future types of residences;

    (((18))) (20) "Judicial commitment" means a commitment by a court pursuant to the provisions of this chapter;

    (((19))) (21) "Likelihood of serious harm" means:

    (a) A substantial risk that: (i) Physical harm will be inflicted by ((an individual)) a person upon his or her own person, as evidenced by threats or attempts to commit suicide or inflict physical harm on oneself; (ii) physical harm will be inflicted by ((an individual)) a person upon another, as evidenced by behavior which has caused such harm or which places another person or persons in reasonable fear of sustaining such harm; or (iii) physical harm will be inflicted by ((an individual)) a person upon the property of others, as evidenced by behavior which has caused substantial loss or damage to the property of others; or

    (b) The ((individual)) person has threatened the physical safety of another and has a history of one or more violent acts;

    (((20))) (22) "Mental disorder" means any organic, mental, or emotional impairment which has substantial adverse effects on ((an individual's)) a person's cognitive or volitional functions;

    (((21))) (23) "Mental health professional" means a psychiatrist, psychologist, psychiatric nurse, or social worker, and such other mental health professionals as may be defined by rules adopted by the secretary pursuant to the provisions of this chapter;

    (((22))) (24) "Peace officer" means a law enforcement official of a public agency or governmental unit, and includes persons specifically given peace officer powers by any state law, local ordinance, or judicial order of appointment;

    (((23))) (25) "Private agency" means any person, partnership, corporation, or association that is not a public agency, whether or not financed in whole or in part by public funds, which constitutes an evaluation and treatment facility or private institution, or hospital((, or sanitarium)), which is conducted for, or includes a department or ward conducted for, the care and treatment of persons who are mentally ill;

    (((24))) (26) "Professional person" means a mental health professional and shall also mean a physician, registered nurse, and such others as may be defined by rules adopted by the secretary pursuant to the provisions of this chapter;

    (((25))) (27) "Psychiatrist" means a person having a license as a physician and surgeon in this state who has in addition completed three years of graduate training in psychiatry in a program approved by the American medical association or the American osteopathic association and is certified or eligible to be certified by the American board of psychiatry and neurology;

    (((26))) (28) "Psychologist" means a person who has been licensed as a psychologist pursuant to chapter 18.83 RCW;

    (((27))) (29) "Public agency" means any evaluation and treatment facility or institution, or hospital((, or sanitarium)) which is conducted for, or includes a department or ward conducted for, the care and treatment of persons who are mentally ill((;[,])), if the agency is operated directly by, federal, state, county, or municipal government, or a combination of such governments;

    (((28))) (30) "Registration records" include all the records of the department, regional support networks, treatment facilities, and other persons providing services to the department, county departments, or facilities which identify persons who are receiving or who at any time have received services for mental illness;

    (31) "Release" means legal termination of the commitment under the provisions of this chapter;

    (((29))) (32) "Resource management services" has the meaning given in chapter 71.24 RCW;


   (((30))) (33) "Secretary" means the secretary of the department of social and health services, or his or her designee;

   (((31))) (34) "Social worker" means a person with a master's or further advanced degree from an accredited school of social work or a degree deemed equivalent under rules adopted by the secretary;

   (((32))) (35) "Treatment records" include registration and all other records concerning persons who are receiving or who at any time have received services for mental illness, which are maintained by the department, by regional support networks and their staffs, and by treatment facilities. Treatment records do not include notes or records maintained for personal use by a person providing treatment services for the department, regional support networks, or a treatment facility if the notes or records are not available to others;

   (36) "Violent act" means behavior that resulted in homicide, attempted suicide, nonfatal injuries, or substantial damage to property.

   Sec. 105. RCW 71.24.025 and 2001 c 323 s 8 are each amended to read as follows:

   Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.

   (1) "Acutely mentally ill" means a condition which is limited to a short-term severe crisis episode of:

   (a) A mental disorder as defined in RCW 71.05.020 or, in the case of a child, as defined in RCW 71.34.020;

   (b) Being gravely disabled as defined in RCW 71.05.020 or, in the case of a child, a gravely disabled minor as defined in RCW 71.34.020; or

   (c) Presenting a likelihood of serious harm as defined in RCW 71.05.020 or, in the case of a child, as defined in RCW 71.34.020.

   (2) "Available resources" means funds appropriated for the purpose of providing community mental health programs ((under RCW 71.24.045)), federal funds, except those provided according to Title XIX of the Social Security Act, and state funds appropriated under this chapter or chapter 71.05 RCW by the legislature during any biennium for the purpose of providing residential services, resource management services, community support services, and other mental health services. This does not include funds appropriated for the purpose of operating and administering the state psychiatric hospitals, except as negotiated according to RCW 71.24.300(1)(e).

   (3) "Child" means a person under the age of eighteen years.

   (4) "Chronically mentally ill adult" means an adult who has a mental disorder and meets at least one of the following criteria:

   (a) Has undergone two or more episodes of hospital care for a mental disorder within the preceding two years; or

   (b) Has experienced a continuous psychiatric hospitalization or residential treatment exceeding six months' duration within the preceding year; or

   (c) Has been unable to engage in any substantial gainful activity by reason of any mental disorder which has lasted for a continuous period of not less than twelve months. "Substantial gainful activity" shall be defined by the department by rule consistent with Public Law 92-603, as amended.

   (5) "Community mental health program" means all mental health services, activities, or programs using available resources.

   (6) "Community mental health service delivery system" means public or private agencies that provide services specifically to persons with mental disorders as defined under RCW 71.05.020 and receive funding from public sources.

   (7) "Community support services" means services authorized, planned, and coordinated through resource management services including, at a minimum, assessment, diagnosis, emergency crisis intervention available twenty-four hours, seven days a week, prescreening determinations for mentally ill persons being considered for placement in nursing homes as required by federal law, screening for patients being considered for admission to residential services, diagnosis and treatment for acutely mentally ill and severely emotionally disturbed children discovered under screening through the federal Title XIX early and periodic screening, diagnosis, and treatment program, investigation, legal, and other nonresidential services under chapter 71.05 RCW, case management services, psychiatric treatment including medication supervision, counseling, psychotherapy, assuring transfer of relevant patient information between service providers, recovery services, and other services determined by regional support networks.

    (8) "County authority" means the board of county commissioners, county council, or county executive having authority to establish a community mental health program, or two or more of the county authorities specified in this subsection which have entered into an agreement to provide a community mental health program.

    (9) "Department" means the department of social and health services.

    (10) "Emerging best practice" or "promising practice" means a practice that presents, based on preliminary information, potential for becoming a research-based or consensus-based practice.

    (11) "Evidence-based" means a program or practice that has had multiple site random controlled trials across heterogeneous populations demonstrating that the program or practice is effective for the population.

    (12) "Licensed service provider" means an entity licensed according to this chapter or chapter 71.05 RCW or an entity deemed to meet state minimum standards as a result of accreditation by a recognized behavioral health accrediting body recognized and having a current agreement with the department, that meets state minimum standards or ((individuals)) persons licensed under chapter 18.57, 18.71, 18.83, or 18.79 RCW, as it applies to registered nurses and advanced registered nurse practitioners.

    (((11))) (13) "Mental health services" means all services provided by regional support networks and other services provided by the state for the mentally ill.

    (((12))) (14) "Mentally ill persons" and "the mentally ill" mean persons and conditions defined in subsections (1), (4), (((17))) (23), and (((18))) (24) of this section.

    (((13))) (15) "Recovery" means the process in which people are able to live, work, learn, and participate fully in their communities.

    (16) "Regional support network" means a county authority or group of county authorities or other entity recognized by the secretary ((that enter into joint operating agreements to contract with the secretary pursuant to this chapter)) in contract in a defined area.

    (((14))) (17) "Registration records" include all the records of the department, regional support networks, treatment facilities, and other persons providing services to the department, county departments, or facilities which identify persons who are receiving or who at any time have received services for mental illness.

    (18) "Residential services" means a complete range of residences and supports authorized by resource management services and which may involve a facility, a distinct part thereof, or services which support community living, for acutely mentally ill persons, chronically mentally ill adults, severely emotionally disturbed children, or seriously disturbed adults determined by the regional support network to be at risk of becoming acutely or chronically mentally ill. The services shall include at least evaluation and treatment services as defined in chapter 71.05 RCW, acute crisis respite care, long-term adaptive and rehabilitative care, and supervised and supported living services, and shall also include any residential services developed to service mentally ill persons in nursing homes, boarding homes, and adult family homes, and may include outpatient services provided as an element in a package of services in a supported housing model. Residential services for children in out-of-home placements related to their mental disorder shall not include the costs of food and shelter, except for children's long-term residential facilities existing prior to January 1, 1991.

   (((15))) (19) "Research-based" means a program or practice that has some research demonstrating effectiveness, but that does not yet meet the standard of evidence-based practices.

   (20) "Resilience" means the personal and community qualities that enable individuals to rebound from adversity, trauma, tragedy, threats, or other stresses, and to live productive lives.

   (21) "Resource management services" mean the planning, coordination, and authorization of residential services and community support services administered pursuant to an individual service plan for: (a) Acutely mentally ill adults and children; (b) chronically mentally ill adults; (c) severely emotionally disturbed children; or (d) seriously disturbed adults determined solely by a regional support network to be at risk of becoming acutely or chronically mentally ill. Such planning, coordination, and authorization shall include mental health screening for children eligible under the federal Title XIX early and periodic screening, diagnosis, and treatment program. Resource management services include seven day a week, twenty-four hour a day availability of information regarding mentally ill adults' and children's enrollment in services and their individual service plan to ((county-))designated mental health professionals, evaluation and treatment facilities, and others as determined by the regional support network.

   (((16))) (22) "Secretary" means the secretary of social and health services.

   (((17))) (23) "Seriously disturbed person" means a person who:

   (a) Is gravely disabled or presents a likelihood of serious harm to himself or herself or others, or to the property of others, as a result of a mental disorder as defined in chapter 71.05 RCW;

   (b) Has been on conditional release status, or under a less restrictive alternative order, at some time during the preceding two years from an evaluation and treatment facility or a state mental health hospital;

   (c) Has a mental disorder which causes major impairment in several areas of daily living;

   (d) Exhibits suicidal preoccupation or attempts; or

   (e) Is a child diagnosed by a mental health professional, as defined in chapter 71.34 RCW, as experiencing a mental disorder which is clearly interfering with the child's functioning in family or school or with peers or is clearly interfering with the child's personality development and learning.

   (((18))) (24) "Severely emotionally disturbed child" means a child who has been determined by the regional support network to be experiencing a mental disorder as defined in chapter 71.34 RCW, including those mental disorders that result in a behavioral or conduct disorder, that is clearly interfering with the child's functioning in family or school or with peers and who meets at least one of the following criteria:

   (a) Has undergone inpatient treatment or placement outside of the home related to a mental disorder within the last two years;

    (b) Has undergone involuntary treatment under chapter 71.34 RCW within the last two years;

    (c) Is currently served by at least one of the following child-serving systems: Juvenile justice, child-protection/welfare, special education, or developmental disabilities;

    (d) Is at risk of escalating maladjustment due to:

    (i) Chronic family dysfunction involving a mentally ill or inadequate caretaker;

    (ii) Changes in custodial adult;

    (iii) Going to, residing in, or returning from any placement outside of the home, for example, psychiatric hospital, short-term inpatient, residential treatment, group or foster home, or a correctional facility;

    (iv) Subject to repeated physical abuse or neglect;

    (v) Drug or alcohol abuse; or

    (vi) Homelessness.

    (((19))) (25) "State minimum standards" means minimum requirements established by rules adopted by the secretary and necessary to implement this chapter for: (a) Delivery of mental health services; (b) licensed service providers for the provision of mental health services; (c) residential services; and (d) community support services and resource management services.

    (((20))) (26) "Treatment records" include registration and all other records concerning persons who are receiving or who at any time have received services for mental illness, which are maintained by the department, by regional support networks and their staffs, and by treatment facilities. Treatment records do not include notes or records maintained for personal use by a person providing treatment services for the department, regional support networks, or a treatment facility if the notes or records are not available to others.

    (27) "Tribal authority," for the purposes of this section and RCW 71.24.300 only, means: The federally recognized Indian tribes and the major Indian organizations recognized by the secretary insofar as these organizations do not have a financial relationship with any regional support network that would present a conflict of interest.

    Sec. 106. RCW 10.77.010 and 2004 c 157 s 2 are each amended to read as follows:

    As used in this chapter:

    (1) "Admission" means acceptance based on medical necessity, of a person as a patient.

    (2) "Commitment" means the determination by a court that a person should be detained for a period of either evaluation or treatment, or both, in an inpatient or a less-restrictive setting.

    (3) "Conditional release" means modification of a court-ordered commitment, which may be revoked upon violation of any of its terms.

    (4) (("County designated mental health professional" has the same meaning as provided in RCW 71.05.020.

    (5))) A "criminally insane" person means any person who has been acquitted of a crime charged by reason of insanity, and thereupon found to be a substantial danger to other persons or to present a substantial likelihood of committing criminal acts jeopardizing public safety or security unless kept under further control by the court or other persons or institutions.

    (((6))) (5) "Department" means the state department of social and health services.

    (6) "Designated mental health professional" has the same meaning as provided in RCW 71.05.020.

    (7) "Detention" or "detain" means the lawful confinement of a person, under the provisions of this chapter, pending evaluation.


   (8) "Developmental disabilities professional" means a person who has specialized training and three years of experience in directly treating or working with persons with developmental disabilities and is a psychiatrist or psychologist, or a social worker, and such other developmental disabilities professionals as may be defined by rules adopted by the secretary.

   (9) "Developmental disability" means the condition as defined in RCW 71A.10.020(3).

   (10) "Discharge" means the termination of hospital medical authority. The commitment may remain in place, be terminated, or be amended by court order.

   (11) "Furlough" means an authorized leave of absence for a resident of a state institution operated by the department designated for the custody, care, and treatment of the criminally insane, consistent with an order of conditional release from the court under this chapter, without any requirement that the resident be accompanied by, or be in the custody of, any law enforcement or institutional staff, while on such unescorted leave.

   (12) "Habilitative services" means those services provided by program personnel to assist persons in acquiring and maintaining life skills and in raising their levels of physical, mental, social, and vocational functioning. Habilitative services include education, training for employment, and therapy. The habilitative process shall be undertaken with recognition of the risk to the public safety presented by the ((individual)) person being assisted as manifested by prior charged criminal conduct.

   (13) "History of one or more violent acts" means violent acts committed during: (a) The ten-year period of time prior to the filing of criminal charges; plus (b) the amount of time equal to time spent during the ten-year period in a mental health facility or in confinement as a result of a criminal conviction.

   (14) "Incompetency" means a person lacks the capacity to understand the nature of the proceedings against him or her or to assist in his or her own defense as a result of mental disease or defect.

   (15) "Indigent" means any person who is financially unable to obtain counsel or other necessary expert or professional services without causing substantial hardship to the person or his or her family.

   (16) "Individualized service plan" means a plan prepared by a developmental disabilities professional with other professionals as a team, for an individual with developmental disabilities, which shall state:

   (a) The nature of the person's specific problems, prior charged criminal behavior, and habilitation needs;

   (b) The conditions and strategies necessary to achieve the purposes of habilitation;

   (c) The intermediate and long-range goals of the habilitation program, with a projected timetable for the attainment;

   (d) The rationale for using this plan of habilitation to achieve those intermediate and long-range goals;

   (e) The staff responsible for carrying out the plan;

   (f) Where relevant in light of past criminal behavior and due consideration for public safety, the criteria for proposed movement to less-restrictive settings, criteria for proposed eventual release, and a projected possible date for release; and

   (g) The type of residence immediately anticipated for the person and possible future types of residences.

   (17) "Professional person" means:

   (a) A psychiatrist licensed as a physician and surgeon in this state who has, in addition, completed three years of graduate training in psychiatry in a program approved by the American medical association or the American osteopathic association and is certified or eligible to be certified by the American board of psychiatry and neurology or the American osteopathic board of neurology and psychiatry;

    (b) A psychologist licensed as a psychologist pursuant to chapter 18.83 RCW; or

    (c) A social worker with a master's or further advanced degree from an accredited school of social work or a degree deemed equivalent under rules adopted by the secretary.

    (18) "Registration records" include all the records of the department, regional support networks, treatment facilities, and other persons providing services to the department, county departments, or facilities which identify persons who are receiving or who at any time have received services for mental illness.

    (19) "Release" means legal termination of the court-ordered commitment under the provisions of this chapter.

    (((19))) (20) "Secretary" means the secretary of the department of social and health services or his or her designee.

    (((20))) (21) "Treatment" means any currently standardized medical or mental health procedure including medication.

    (((21))) (22) "Treatment records" include registration and all other records concerning persons who are receiving or who at any time have received services for mental illness, which are maintained by the department, by regional support networks and their staffs, and by treatment facilities. Treatment records do not include notes or records maintained for personal use by a person providing treatment services for the department, regional support networks, or a treatment facility if the notes or records are not available to others.

    (23) "Violent act" means behavior that: (a)(i) Resulted in; (ii) if completed as intended would have resulted in; or (iii) was threatened to be carried out by a person who had the intent and opportunity to carry out the threat and would have resulted in, homicide, nonfatal injuries, or substantial damage to property; or (b) recklessly creates an immediate risk of serious physical injury to another person. As used in this subsection, "nonfatal injuries" means physical pain or injury, illness, or an impairment of physical condition. "Nonfatal injuries" shall be construed to be consistent with the definition of "bodily injury," as defined in RCW 9A.04.110.

    Sec. 107. RCW 71.05.360 and 1997 c 112 s 30 are each amended to read as follows:

    (1)(a) Every person involuntarily detained or committed under the provisions of this chapter shall be entitled to all the rights set forth in this chapter, which shall be prominently posted in the facility, and shall retain all rights not denied him or her under this chapter except as chapter 9.41 RCW may limit the right of a person to purchase or possess a firearm or to qualify for a concealed pistol license.

    (b) No person shall be presumed incompetent as a consequence of receiving an evaluation or voluntary or involuntary treatment for a mental disorder, under this chapter or any prior laws of this state dealing with mental illness. Competency shall not be determined or withdrawn except under the provisions of chapter 10.97 or 11.88 RCW.

    (c) Any person who leaves a public or private agency following evaluation or treatment for mental disorder shall be given a written statement setting forth the substance of this section.

    (2) Each person involuntarily detained or committed pursuant to this chapter shall have the right to adequate care and individualized treatment.

    (3) The provisions of this chapter shall not be construed to deny to any person treatment by spiritual means through prayer in accordance with the tenets and practices of a church or religious denomination.


   (4) Persons receiving evaluation or treatment under this chapter shall be given a reasonable choice of an available physician or other professional person qualified to provide such services.

   (5) Whenever any person is detained for evaluation and treatment pursuant to this chapter, both the person and, if possible, a responsible member of his or her immediate family, personal representative, guardian, or conservator, if any, shall be advised as soon as possible in writing or orally, by the officer or person taking him or her into custody or by personnel of the evaluation and treatment facility where the person is detained that unless the person is released or voluntarily admits himself or herself for treatment within seventy-two hours of the initial detention:

   (a) A judicial hearing in a superior court, either by a judge or court commissioner thereof, shall be held not more than seventy-two hours after the initial detention to determine whether there is probable cause to detain the person after the seventy-two hours have expired for up to an additional fourteen days without further automatic hearing for the reason that the person is a person whose mental disorder presents a likelihood of serious harm or that the person is gravely disabled;

   (b) The person has a right to communicate immediately with an attorney; has a right to have an attorney appointed to represent him or her before and at the probable cause hearing if he or she is indigent; and has the right to be told the name and address of the attorney that the mental health professional has designated pursuant to this chapter;

   (c) The person has the right to remain silent and that any statement he or she makes may be used against him or her;

   (d) The person has the right to present evidence and to cross-examine witnesses who testify against him or her at the probable cause hearing; and

   (e) The person has the right to refuse psychiatric medications, including antipsychotic medication beginning twenty-four hours prior to the probable cause hearing.

   (6) When proceedings are initiated under RCW 71.05.150 (2), (3), or (4)(b), no later than twelve hours after such person is admitted to the evaluation and treatment facility the personnel of the evaluation and treatment facility or the designated mental health professional shall serve on such person a copy of the petition for initial detention and the name, business address, and phone number of the designated attorney and shall forthwith commence service of a copy of the petition for initial detention on the designated attorney.

   (7) The judicial hearing described in subsection (5) of this section is hereby authorized, and shall be held according to the provisions of subsection (5) of this section and rules promulgated by the supreme court.

   (8) At the probable cause hearing the detained person shall have the following rights in addition to the rights previously specified:

   (a) To present evidence on his or her behalf;

   (b) To cross-examine witnesses who testify against him or her;

   (c) To be proceeded against by the rules of evidence;

   (d) To remain silent;

   (e) To view and copy all petitions and reports in the court file.

   (9) The physician-patient privilege or the psychologist-client privilege shall be deemed waived in proceedings under this chapter relating to the administration of antipsychotic medications. As to other proceedings under this chapter, the privileges shall be waived when a court of competent jurisdiction in its discretion determines that such waiver is necessary to protect either the detained person or the public.

   The waiver of a privilege under this section is limited to records or testimony relevant to evaluation of the detained person for purposes of a proceeding under this chapter. Upon motion by the detained person or on its own motion, the court shall examine a record or testimony sought by a petitioner to determine whether it is within the scope of the waiver.

    The record maker shall not be required to testify in order to introduce medical or psychological records of the detained person so long as the requirements of RCW 5.45.020 are met except that portions of the record which contain opinions as to the detained person's mental state must be deleted from such records unless the person making such conclusions is available for cross-examination.

    (10) Insofar as danger to the person or others is not created, each person involuntarily detained, treated in a less restrictive alternative course of treatment, or committed for treatment and evaluation pursuant to this chapter shall have, in addition to other rights not specifically withheld by law, the following rights:

    (a) To wear his or her own clothes and to keep and use his or her own personal possessions, except when deprivation of same is essential to protect the safety of the resident or other persons;

    (b) To keep and be allowed to spend a reasonable sum of his or her own money for canteen expenses and small purchases;

    (c) To have access to individual storage space for his or her private use;

    (d) To have visitors at reasonable times;

    (e) To have reasonable access to a telephone, both to make and receive confidential calls, consistent with an effective treatment program;

    (f) To have ready access to letter writing materials, including stamps, and to send and receive uncensored correspondence through the mails;

    (g) To discuss treatment plans and decisions with professional persons;

    (h) Not to consent to the administration of antipsychotic medications and not to thereafter be administered antipsychotic medications unless ordered by a court under RCW 71.05.370 (as recodified by this act) or pursuant to an administrative hearing under RCW 71.05.215;

    (i) Not to consent to the performance of electroconvulsant therapy or surgery, except emergency life-saving surgery, unless ordered by a court under RCW 71.05.370 (as recodified by this act);

    (j) Not to have psychosurgery performed on him or her under any circumstances;

    (k) To dispose of property and sign contracts unless such person has been adjudicated an incompetent in a court proceeding directed to that particular issue.

    (11) Every person involuntarily detained shall immediately be informed of his or her right to a hearing to review the legality of his or her detention and of his or her right to counsel, by the professional person in charge of the facility providing evaluation and treatment, or his or her designee, and, when appropriate, by the court. If the person so elects, the court shall immediately appoint an attorney to assist him or her.

    (12) A person challenging his or her detention or his or her attorney, shall have the right to designate and have the court appoint a reasonably available independent physician or licensed mental health professional to examine the person detained, the results of which examination may be used in the proceeding. The person shall, if he or she is financially able, bear the cost of such expert information, otherwise such expert examination shall be at public expense.

    (13) Nothing contained in this chapter shall prohibit the patient from petitioning by writ of habeas corpus for release.

    (14) Nothing in this chapter shall prohibit a person committed on or prior to January 1, 1974, from exercising a right available to him or her at or prior to January 1, 1974, for obtaining release from confinement.

   (15) Nothing in this section permits any person to knowingly violate a no-contact order or a condition of an active judgment and sentence or an active condition of supervision by the department of corrections.

   NEW SECTION. Sec. 108. RCW 71.05.370 is recodified as a new section in chapter 71.05 RCW to be codified in proximity to RCW 71.05.215.

   Sec. 109. RCW 71.05.390 and 2004 c 166 s 6, 2004 c 157 s 5, and 2004 c 33 s 2 are each reenacted and amended to read as follows:

   Except as provided in this section, RCW 71.05.445, 71.05.630, 70.96A.150, or pursuant to a valid release under RCW 70.02.030, the fact of admission and all information and records compiled, obtained, or maintained in the course of providing services to either voluntary or involuntary recipients of services at public or private agencies shall be confidential.

   Information and records may be disclosed only:

   (1) In communications between qualified professional persons to meet the requirements of this chapter, in the provision of services or appropriate referrals, or in the course of guardianship proceedings. The consent of the ((patient)) person, or his or her personal representative or guardian, shall be obtained before information or records may be disclosed by a professional person employed by a facility unless provided to a professional person:

   (a) Employed by the facility;

   (b) Who has medical responsibility for the patient's care;

   (c) Who is a ((county)) designated mental health professional;

   (d) Who is providing services under chapter 71.24 RCW;

   (e) Who is employed by a state or local correctional facility where the person is confined or supervised; or

   (f) Who is providing evaluation, treatment, or follow-up services under chapter 10.77 RCW.

   (2) When the communications regard the special needs of a patient and the necessary circumstances giving rise to such needs and the disclosure is made by a facility providing ((outpatient)) services to the operator of a ((care)) facility in which the patient resides or will reside.

   (3)(a) When the person receiving services, or his or her guardian, designates persons to whom information or records may be released, or if the person is a minor, when his or her parents make such designation.

   (b) A public or private agency shall release to a person's next of kin, attorney, personal representative, guardian, or conservator, if any:

   (i) The information that the person is presently a patient in the facility or that the person is seriously physically ill;

   (ii) A statement evaluating the mental and physical condition of the patient, and a statement of the probable duration of the patient's confinement, if such information is requested by the next of kin, attorney, personal representative, guardian, or conservator; and

   (iii) Such other information requested by the next of kin or attorney as may be necessary to decide whether or not proceedings should be instituted to appoint a guardian or conservator.

   (4) To the extent necessary for a recipient to make a claim, or for a claim to be made on behalf of a recipient for aid, insurance, or medical assistance to which he or she may be entitled.

   (5)(a) For either program evaluation or research, or both: PROVIDED, That the secretary adopts rules for the conduct of the evaluation or research, or both. Such rules shall include, but need not be limited to, the requirement that all evaluators and researchers must sign an oath of confidentiality substantially as follows:

    "As a condition of conducting evaluation or research concerning persons who have received services from (fill in the facility, agency, or person) I, . . . . . . . . ., agree not to divulge, publish, or otherwise make known to unauthorized persons or the public any information obtained in the course of such evaluation or research regarding persons who have received services such that the person who received such services is identifiable.

    I recognize that unauthorized release of confidential information may subject me to civil liability under the provisions of state law.

 

/s/ . . . . . . . . . . . . . . . . . . . . . . . ."

    (b) Nothing in this chapter shall be construed to prohibit the compilation and publication of statistical data for use by government or researchers under standards, including standards to assure maintenance of confidentiality, set forth by the secretary.

    (6)(a) To the courts as necessary to the administration of this chapter or to a court ordering an evaluation or treatment under chapter 10.77 RCW solely for the purpose of preventing the entry of any evaluation or treatment order that is inconsistent with any order entered under this chapter.

    (b) To a court or its designee in which a motion under chapter 10.77 RCW has been made for involuntary medication of a defendant for the purpose of competency restoration.

    (c) Disclosure under this subsection is mandatory for the purpose of the health insurance portability and accountability act.

    (7)(a) When a mental health professional is requested by a representative of a law enforcement or corrections agency, including a police officer, sheriff, community corrections officer, a municipal attorney, or prosecuting attorney to undertake an investigation under RCW 71.05.150, the mental health professional shall, if requested to do so, advise the representative in writing of the results of the investigation including a statement of reasons for the decision to detain or release the person investigated. Such written report shall be submitted within seventy-two hours of the completion of the investigation or the request from the law enforcement or corrections representative, whichever occurs later.

    (b) To law enforcement officers, public health officers, or personnel of the department of corrections or the indeterminate sentence review board for persons who are the subject of the records and who are committed to the custody or supervision of the department of corrections or indeterminate sentence review board which information or records are necessary to carry out the responsibilities of their office. Except for dissemination of information released pursuant to RCW 71.05.425 and 4.24.550, regarding persons committed under this chapter under RCW 71.05.280(3) and 71.05.320(2)(c) after dismissal of a sex offense as defined in RCW 9.94A.030, the extent of information that may be released is limited as follows:

    (((a))) (i) Only the fact, place, and date of involuntary commitment, the fact and date of discharge or release, and the last known address shall be disclosed upon request;

    (((b))) (ii) The law enforcement and public health officers or personnel of the department of corrections or indeterminate sentence review board shall be obligated to keep such information confidential in accordance with this chapter;

    (((c))) (iii) Additional information shall be disclosed only after giving notice to said person and his or her counsel and upon a showing of clear, cogent, and convincing evidence that such information is necessary and that appropriate safeguards for strict confidentiality are and will be maintained. However, in the event the said person has escaped from custody, said notice prior to disclosure is not necessary and that the facility from which the person escaped shall include an evaluation as to whether the person is of danger to persons or property and has a propensity toward violence;

   (((d))) (iv) Information and records shall be disclosed to the department of corrections pursuant to and in compliance with the provisions of RCW 71.05.445 for the purposes of completing presentence investigations or risk assessment reports, supervision of an incarcerated offender or offender under supervision in the community, planning for and provision of supervision of an offender, or assessment of an offender's risk to the community; and

   (((e))) (v) Disclosure under this subsection is mandatory for the purposes of the health insurance portability and accountability act.

   (8) To the attorney of the detained person.

   (9) To the prosecuting attorney as necessary to carry out the responsibilities of the office under RCW 71.05.330(2) and 71.05.340(1)(b) and 71.05.335. The prosecutor shall be provided access to records regarding the committed person's treatment and prognosis, medication, behavior problems, and other records relevant to the issue of whether treatment less restrictive than inpatient treatment is in the best interest of the committed person or others. Information shall be disclosed only after giving notice to the committed person and the person's counsel.

   (10) To appropriate law enforcement agencies and to a person, when the identity of the person is known to the public or private agency, whose health and safety has been threatened, or who is known to have been repeatedly harassed, by the patient. The person may designate a representative to receive the disclosure. The disclosure shall be made by the professional person in charge of the public or private agency or his or her designee and shall include the dates of commitment, admission, discharge, or release, authorized or unauthorized absence from the agency's facility, and only such other information that is pertinent to the threat or harassment. The decision to disclose or not shall not result in civil liability for the agency or its employees so long as the decision was reached in good faith and without gross negligence.

   (11) To appropriate corrections and law enforcement agencies all necessary and relevant information in the event of a crisis or emergent situation that poses a significant and imminent risk to the public. The decision to disclose or not shall not result in civil liability for the mental health service provider or its employees so long as the decision was reached in good faith and without gross negligence.

   (12) To the persons designated in RCW 71.05.425 for the purposes described in that section.

   (13) Civil liability and immunity for the release of information about a particular person who is committed to the department under RCW 71.05.280(3) and 71.05.320(2)(c) after dismissal of a sex offense as defined in RCW 9.94A.030, is governed by RCW 4.24.550.

   (14) ((To a patient's next of kin, guardian, or conservator, if any, in the event of death, as provided in RCW 71.05.400.)) Upon the death of a person, his or her next of kin, personal representative, guardian, or conservator, if any, shall be notified.

   Next of kin who are of legal age and competent shall be notified under this section in the following order: Spouse, parents, children, brothers and sisters, and other relatives according to the degree of relation. Access to all records and information compiled, obtained, or maintained in the course of providing services to a deceased patient shall be governed by RCW 70.02.140.

    (15) To the department of health for the purposes of determining compliance with state or federal licensure, certification, or registration rules or laws. However, the information and records obtained under this subsection are exempt from public inspection and copying pursuant to chapter 42.17 RCW.

    (16) To mark headstones or otherwise memorialize patients interred at state hospital cemeteries. The department of social and health services shall make available the name, date of birth, and date of death of patients buried in state hospital cemeteries fifty years after the death of a patient.

    (17) When a patient would otherwise be subject to the provisions of RCW 71.05.390 and disclosure is necessary for the protection of the patient or others due to his or her unauthorized disappearance from the facility, and his or her whereabouts is unknown, notice of such disappearance, along with relevant information, may be made to relatives, the department of corrections when the person is under the supervision of the department, and governmental law enforcement agencies designated by the physician in charge of the patient or the professional person in charge of the facility, or his or her professional designee.

    Except as otherwise provided in this chapter, the uniform health care information act, chapter 70.02 RCW, applies to all records and information compiled, obtained, or maintained in the course of providing services.

    (18) The fact of admission, as well as all records, files, evidence, findings, or orders made, prepared, collected, or maintained pursuant to this chapter shall not be admissible as evidence in any legal proceeding outside this chapter without the written consent of the person who was the subject of the proceeding except in a subsequent criminal prosecution of a person committed pursuant to RCW 71.05.280(3) or 71.05.320(2)(c) on charges that were dismissed pursuant to chapter 10.77 RCW due to incompetency to stand trial ((or)), in a civil commitment proceeding pursuant to chapter 71.09 RCW, or, in the case of a minor, a guardianship or dependency proceeding. The records and files maintained in any court proceeding pursuant to this chapter shall be confidential and available subsequent to such proceedings only to the person who was the subject of the proceeding or his or her attorney. In addition, the court may order the subsequent release or use of such records or files only upon good cause shown if the court finds that appropriate safeguards for strict confidentiality are and will be maintained.

    Sec. 110. RCW 71.05.420 and 1990 c 3 s 113 are each amended to read as follows:

    Except as provided in RCW 71.05.425, when any disclosure of information or records is made as authorized by RCW 71.05.390 ((through 71.05.410)), the physician in charge of the patient or the professional person in charge of the facility shall promptly cause to be entered into the patient's medical record the date and circumstances under which said disclosure was made, the names and relationships to the patient, if any, of the persons or agencies to whom such disclosure was made, and the information disclosed.

    Sec. 111. RCW 71.05.620 and 1989 c 205 s 12 are each amended to read as follows:

    (((1) Informed consent for disclosure of information from court or treatment records to an individual, agency, or organization must be in writing and must contain the following information:

    (a) The name of the individual, agency, or organization to which the disclosure is to be made;

    (b) The name of the individual whose treatment record is being disclosed;


   (c) The purpose or need for the disclosure;

   (d) The specific type of information to be disclosed;

   (e) The time period during which the consent is effective;

   (f) The date on which the consent is signed; and

   (g) The signature of the individual or person legally authorized to give consent for the individual.

   (2))) The files and records of court proceedings under this chapter and chapters ((71.05)) 70.96A, 71.34, and 70.-- (sections 202 through 216 of this act) RCW shall be closed but shall be accessible to any ((individual)) person who is the subject of a petition and to the ((individual's)) person's attorney, guardian ad litem, resource management services, or service providers authorized to receive such information by resource management services.

   Sec. 112. RCW 71.05.630 and 2000 c 75 s 5 are each amended to read as follows:

   (1) Except as otherwise provided by law, all treatment records shall remain confidential((. Treatment records)) and may be released only to the persons designated in this section, or to other persons designated in an informed written consent of the patient.

   (2) Treatment records of ((an individual)) a person may be released without informed written consent in the following circumstances:

   (a) To ((an individual)) a person, organization, or agency as necessary for management or financial audits, or program monitoring and evaluation. Information obtained under this subsection shall remain confidential and may not be used in a manner that discloses the name or other identifying information about the ((individual)) person whose records are being released.

   (b) To the department, the director of regional support networks, or a qualified staff member designated by the director only when necessary to be used for billing or collection purposes. The information shall remain confidential.

   (c) For purposes of research as permitted in chapter 42.48 RCW.

   (d) Pursuant to lawful order of a court.

   (e) To qualified staff members of the department, to the director of regional support networks, to resource management services responsible for serving a patient, or to service providers designated by resource management services as necessary to determine the progress and adequacy of treatment and to determine whether the person should be transferred to a less restrictive or more appropriate treatment modality or facility. The information shall remain confidential.

   (f) Within the treatment facility where the patient is receiving treatment, confidential information may be disclosed to ((individuals)) persons employed, serving in bona fide training programs, or participating in supervised volunteer programs, at the facility when it is necessary to perform their duties.

   (g) Within the department as necessary to coordinate treatment for mental illness, developmental disabilities, alcoholism, or drug abuse of ((individuals)) persons who are under the supervision of the department.

   (h) To a licensed physician who has determined that the life or health of the ((individual)) person is in danger and that treatment without the information contained in the treatment records could be injurious to the patient's health. Disclosure shall be limited to the portions of the records necessary to meet the medical emergency.

   (i) To a facility that is to receive ((an individual)) a person who is involuntarily committed under chapter 71.05 RCW, or upon transfer of the ((individual)) person from one treatment facility to another. The release of records under this subsection shall be limited to the treatment records required by law, a record or summary of all somatic treatments, and a discharge summary. The discharge summary may include a statement of the patient's problem, the treatment goals, the type of treatment which has been provided, and recommendation for future treatment, but may not include the patient's complete treatment record.

    (j) Notwithstanding the provisions of RCW 71.05.390(7), to a correctional facility or a corrections officer who is responsible for the supervision of ((an individual)) a person who is receiving inpatient or outpatient evaluation or treatment. Except as provided in RCW 71.05.445 and 71.34.225, release of records under this section is limited to:

    (i) An evaluation report provided pursuant to a written supervision plan.

    (ii) The discharge summary, including a record or summary of all somatic treatments, at the termination of any treatment provided as part of the supervision plan.

    (iii) When ((an individual)) a person is returned from a treatment facility to a correctional facility, the information provided under (j)(iv) of this subsection.

    (iv) Any information necessary to establish or implement changes in the ((individual's)) person's treatment plan or the level or kind of supervision as determined by resource management services. In cases involving a person transferred back to a correctional facility, disclosure shall be made to clinical staff only.

    (k) To the ((individual's)) person's counsel or guardian ad litem, without modification, at any time in order to prepare for involuntary commitment or recommitment proceedings, reexaminations, appeals, or other actions relating to detention, admission, commitment, or patient's rights under chapter 71.05 RCW.

    (l) To staff members of the protection and advocacy agency or to staff members of a private, nonprofit corporation for the purpose of protecting and advocating the rights of persons with mental ((illness)) disorders or developmental disabilities. Resource management services may limit the release of information to the name, birthdate, and county of residence of the patient, information regarding whether the patient was voluntarily admitted, or involuntarily committed, the date and place of admission, placement, or commitment, the name and address of a guardian of the patient, and the date and place of the guardian's appointment. Any staff member who wishes to obtain additional information shall notify the patient's resource management services in writing of the request and of the resource management services' right to object. The staff member shall send the notice by mail to the guardian's address. If the guardian does not object in writing within fifteen days after the notice is mailed, the staff member may obtain the additional information. If the guardian objects in writing within fifteen days after the notice is mailed, the staff member may not obtain the additional information.

    (3) Whenever federal law or federal regulations restrict the release of information contained in the treatment records of any patient who receives treatment for ((alcoholism or drug)) chemical dependency, the department may restrict the release of the information as necessary to comply with federal law and regulations.

    Sec. 113. RCW 71.05.640 and 2000 c 94 s 11 are each amended to read as follows:

    (1) Procedures shall be established by resource management services to provide reasonable and timely access to individual treatment records. However, access may not be denied at any time to records of all medications and somatic treatments received by the ((individual)) person.


   (2) Following discharge, the ((individual)) person shall have a right to a complete record of all medications and somatic treatments prescribed during evaluation, admission, or commitment and to a copy of the discharge summary prepared at the time of his or her discharge. A reasonable and uniform charge for reproduction may be assessed.

   (3) Treatment records may be modified prior to inspection to protect the confidentiality of other patients or the names of any other persons referred to in the record who gave information on the condition that his or her identity remain confidential. Entire documents may not be withheld to protect such confidentiality.

   (4) At the time of discharge all ((individuals)) persons shall be informed by resource management services of their rights as provided in RCW ((71.05.610)) 71.05.390 and 71.05.620 through 71.05.690.

   Sec. 114. RCW 71.05.660 and 1989 c 205 s 16 are each amended to read as follows:

   Nothing in this chapter ((205, Laws of 1989)) or chapter 70.96A, 71.05, 71.34, or 70.-- (sections 202 through 216 of this act) RCW shall be construed to interfere with communications between physicians or psychologists and patients and attorneys and clients.

   NEW SECTION. Sec. 115. A new section is added to chapter 71.05 RCW to read as follows:

   A petition for commitment under this chapter may be joined with a petition for commitment under chapter 70.96A RCW.

 

PART II

PILOT PROGRAMS

 

   NEW SECTION. Sec. 201. Sections 202 through 216 of this act constitute a new chapter in Title 70 RCW.

   NEW SECTION. Sec. 202. The definitions in this section apply throughout this chapter unless the context clearly requires otherwise.

   (1) "Admission" or "admit" means a decision by a physician that a person should be examined or treated as a patient in a hospital, an evaluation and treatment facility, or other inpatient facility, or a decision by a professional person in charge or his or her designee that a person should be detained as a patient for evaluation and treatment in a secure detoxification facility or other certified chemical dependency provider.

   (2) "Antipsychotic medications" means that class of drugs primarily used to treat serious manifestations of mental illness associated with thought disorders, which includes but is not limited to atypical antipsychotic medications.

   (3) "Approved treatment program" means a discrete program of chemical dependency treatment provided by a treatment program certified by the department as meeting standards adopted under chapter 70.96A RCW.

   (4) "Attending staff" means any person on the staff of a public or private agency having responsibility for the care and treatment of a patient.

   (5) "Chemical dependency" means:

   (a) Alcoholism;

   (b) Drug addiction; or

   (c) Dependence on alcohol and one or more other psychoactive chemicals, as the context requires.

   (6) "Chemical dependency professional" means a person certified as a chemical dependency professional by the department of health under chapter 18.205 RCW.

    (7) "Commitment" means the determination by a court that a person should be detained for a period of either evaluation or treatment, or both, in an inpatient or a less restrictive setting.

    (8) "Conditional release" means a revocable modification of a commitment that may be revoked upon violation of any of its terms.

    (9) "Custody" means involuntary detention under either chapter 71.05 or 70.96A RCW or this chapter, uninterrupted by any period of unconditional release from commitment from a facility providing involuntary care and treatment.

    (10) "Department" means the department of social and health services.

    (11) "Designated chemical dependency specialist" or "specialist" means a person designated by the county alcoholism and other drug addiction program coordinator designated under RCW 70.96A.310 to perform the commitment duties described in RCW 70.96A.140 and this chapter, and qualified to do so by meeting standards adopted by the department.

    (12) "Designated crisis responder" means a person designated by the county or regional support network to perform the duties specified in this chapter.

    (13) "Designated mental health professional" means a mental health professional designated by the county or other authority authorized in rule to perform the duties specified in this chapter.

    (14) "Detention" or "detain" means the lawful confinement of a person under this chapter, or chapter 70.96A or 71.05 RCW.

    (15) "Developmental disabilities professional" means a person who has specialized training and three years of experience in directly treating or working with individuals with developmental disabilities and is a psychiatrist, psychologist, or social worker, and such other developmental disabilities professionals as may be defined by rules adopted by the secretary.

    (16) "Developmental disability" means that condition defined in RCW 71A.10.020.

    (17) "Discharge" means the termination of facility authority. The commitment may remain in place, be terminated, or be amended by court order.

    (18) "Evaluation and treatment facility" means any facility that can provide directly, or by direct arrangement with other public or private agencies, emergency evaluation and treatment, outpatient care, and timely and appropriate inpatient care to persons suffering from a mental disorder, and that is certified as such by the department. A physically separate and separately operated portion of a state hospital may be designated as an evaluation and treatment facility. A facility that is part of, or operated by, the department or any federal agency does not require certification. No correctional institution or facility, or jail, may be an evaluation and treatment facility within the meaning of this chapter.

    (19) "Facility" means either an evaluation and treatment facility or a secure detoxification facility.

    (20) "Gravely disabled" means a condition in which a person, as a result of a mental disorder, or as a result of the use of alcohol or other psychoactive chemicals:

    (a) Is in danger of serious physical harm resulting from a failure to provide for his or her essential human needs of health or safety; or

    (b) Manifests severe deterioration in routine functioning evidenced by repeated and escalating loss of cognitive or volitional control over his or her actions and is not receiving such care as is essential for his or her health or safety.

    (21) "History of one or more violent acts" refers to the period of time ten years before the filing of a petition under this chapter, or chapter 70.96A or 71.05 RCW, excluding any time spent, but not any violent acts committed, in a mental health facility or a long-term alcoholism or drug treatment facility, or in confinement as a result of a criminal conviction.

   (22) "Intoxicated person" means a person whose mental or physical functioning is substantially impaired as a result of the use of alcohol or other psychoactive chemicals.

   (23) "Judicial commitment" means a commitment by a court under this chapter.

   (24) "Licensed physician" means a person licensed to practice medicine or osteopathic medicine and surgery in the state of Washington.

   (25) "Likelihood of serious harm" means:

   (a) A substantial risk that:

   (i) Physical harm will be inflicted by a person upon his or her own person, as evidenced by threats or attempts to commit suicide or inflict physical harm on oneself;

   (ii) Physical harm will be inflicted by a person upon another, as evidenced by behavior that has caused such harm or that places another person or persons in reasonable fear of sustaining such harm; or

   (iii) Physical harm will be inflicted by a person upon the property of others, as evidenced by behavior that has caused substantial loss or damage to the property of others; or

   (b) The person has threatened the physical safety of another and has a history of one or more violent acts.

   (26) "Mental disorder" means any organic, mental, or emotional impairment that has substantial adverse effects on a person's cognitive or volitional functions.

   (27) "Mental health professional" means a psychiatrist, psychologist, psychiatric nurse, or social worker, and such other mental health professionals as may be defined by rules adopted by the secretary under the authority of chapter 71.05 RCW.

   (28) "Peace officer" means a law enforcement official of a public agency or governmental unit, and includes persons specifically given peace officer powers by any state law, local ordinance, or judicial order of appointment.

   (29) "Person in charge" means a physician or chemical dependency counselor as defined in rule by the department, who is empowered by a certified treatment program with authority to make assessment, admission, continuing care, and discharge decisions on behalf of the certified program.

   (30) "Private agency" means any person, partnership, corporation, or association that is not a public agency, whether or not financed in whole or in part by public funds, that constitutes an evaluation and treatment facility or private institution, or hospital, or approved treatment program, that is conducted for, or includes a department or ward conducted for, the care and treatment of persons who are mentally ill and/or chemically dependent.

   (31) "Professional person" means a mental health professional or chemical dependency professional and shall also mean a physician, registered nurse, and such others as may be defined by rules adopted by the secretary pursuant to the provisions of this chapter.

   (32) "Psychiatrist" means a person having a license as a physician and surgeon in this state who has in addition completed three years of graduate training in psychiatry in a program approved by the American medical association or the American osteopathic association and is certified or eligible to be certified by the American board of psychiatry and neurology.

   (33) "Psychologist" means a person who has been licensed as a psychologist under chapter 18.83 RCW.

   (34) "Public agency" means any evaluation and treatment facility or institution, or hospital, or approved treatment program that is conducted for, or includes a department or ward conducted for, the care and treatment of persons who are mentally ill and/or chemically dependent, if the agency is operated directly by federal, state, county, or municipal government, or a combination of such governments.

    (35) "Registration records" means all the records of the department, regional support networks, treatment facilities, and other persons providing services to the department, county departments, or facilities which identify persons who are receiving or who at any time have received services for mental illness.

    (36) "Release" means legal termination of the commitment under chapter 70.96A or 71.05 RCW or this chapter.

    (37) "Secretary" means the secretary of the department or the secretary's designee.

    (38) "Secure detoxification facility" means a facility operated by either a public or private agency or by the program of an agency that serves the purpose of providing evaluation and assessment, and acute and/or subacute detoxification services for intoxicated persons and includes security measures sufficient to protect the patients, staff, and community.

    (39) "Social worker" means a person with a master's or further advanced degree from an accredited school of social work or a degree deemed equivalent under rules adopted by the secretary.

    (40) "Treatment records" means registration records and all other records concerning persons who are receiving or who at any time have received services for mental illness, which are maintained by the department, by regional support networks and their staffs, and by treatment facilities. Treatment records do not include notes or records maintained for personal use by a person providing treatment services for the department, regional support networks, or a treatment facility if the notes or records are not available to others.

    (41) "Violent act" means behavior that resulted in homicide, attempted suicide, nonfatal injuries, or substantial damage to property.

    NEW SECTION. Sec. 203. (1) The secretary, after consulting with the Washington state association of counties, shall select and contract with regional support networks or counties to provide two integrated crisis response and involuntary treatment pilot programs for adults and shall allocate resources for both integrated services and secure detoxification services in the pilot areas. In selecting the two regional support networks or counties, the secretary shall endeavor to site one in an urban and one in a rural regional support network or county; and to site them in counties other than those selected pursuant to section 220 of this act, to the extent necessary to facilitate evaluation of pilot project results.

    (2) The regional support networks or counties shall implement the pilot programs by providing integrated crisis response and involuntary treatment to persons with a chemical dependency, a mental disorder, or both, consistent with this chapter. The pilot programs shall:

    (a) Combine the crisis responder functions of a designated mental health professional under chapter 71.05 RCW and a designated chemical dependency specialist under chapter 70.96A RCW by establishing a new designated crisis responder who is authorized to conduct investigations and detain persons up to seventy-two hours to the proper facility;

    (b) Provide training to the crisis responders as required by the department;

    (c) Provide sufficient staff and resources to ensure availability of an adequate number of crisis responders twenty-four hours a day, seven days a week;

    (d) Provide the administrative and court-related staff, resources, and processes necessary to facilitate the legal requirements of the initial detention and the commitment hearings for persons with a chemical dependency;

   (e) Participate in the evaluation and report to assess the outcomes of the pilot programs including providing data and information as requested;

   (f) Provide the other services necessary to the implementation of the pilot programs, consistent with this chapter as determined by the secretary in contract; and

   (g) Collaborate with the department of corrections where persons detained or committed are also subject to supervision by the department of corrections.

   (3) The pilot programs established by this section shall begin providing services by March 1, 2006.

   NEW SECTION. Sec. 204. To qualify as a designated crisis responder, a person must have received chemical dependency training as determined by the department and be a:

   (1) Psychiatrist, psychologist, psychiatric nurse, or social worker;

   (2) Person with a master's degree or further advanced degree in counseling or one of the social sciences from an accredited college or university and who have, in addition, at least two years of experience in direct treatment of persons with mental illness or emotional disturbance, such experience gained under the direction of a mental health professional;

   (3) Person who meets the waiver criteria of RCW 71.24.260, which waiver was granted before 1986;

   (4) Person who had an approved waiver to perform the duties of a mental health professional that was requested by the regional support network and granted by the department before July 1, 2001; or

   (5) Person who has been granted a time-limited exception of the minimum requirements of a mental health professional by the department consistent with rules adopted by the secretary.

   NEW SECTION. Sec. 205. In addition to the provisions of this chapter, a designated crisis responder has all the powers and duties of a designated mental health professional as well as the powers and duties of a designated chemical dependency specialist under RCW 70.96A.120.

   NEW SECTION. Sec. 206. (1)(a) When a designated crisis responder receives information alleging that a person, as a result of a mental disorder, chemical dependency disorder, or both, presents a likelihood of serious harm or is gravely disabled, the designated crisis responder may, after investigation and evaluation of the specific facts alleged and of the reliability and credibility of any person providing information to initiate detention, if satisfied that the allegations are true and that the person will not voluntarily seek appropriate treatment, file a petition for initial detention. Before filing the petition, the designated crisis responder must personally interview the person, unless the person refuses an interview, and determine whether the person will voluntarily receive appropriate evaluation and treatment at either an evaluation and treatment facility, a detoxification facility, or other certified chemical dependency provider.

   (b)(i)(A) Whenever it appears, by petition for initial detention, to the satisfaction of a judge of the superior court that a person presents as a result of a mental disorder, a likelihood of serious harm, or is gravely disabled, and that the person has refused or failed to accept appropriate evaluation and treatment voluntarily, the judge may issue an order requiring the person to appear within twenty-four hours after service of the order at a designated evaluation and treatment facility for not more than a seventy-two hour evaluation and treatment period; or

    (B) Whenever it appears, by petition for initial detention, to the satisfaction of a judge of the superior court, district court, or other court permitted by court rule, that a person presents as a result of a chemical dependency, a likelihood of serious harm, or is gravely disabled, and that the person has refused or failed to accept appropriate evaluation and treatment voluntarily, the judge may issue an order requiring the person to appear within twenty-four hours after service of the order at a secure detoxification facility or other certified chemical dependency provider for not more than a seventy-two hour evaluation and treatment period.

    (ii) The order issued under this subsection (1)(b) shall state the address of the evaluation and treatment facility, secure detoxification facility, or other certified chemical dependency provider to which the person is to report; whether the required seventy-two hour evaluation and treatment services may be delivered on an outpatient or inpatient basis; and that if the person named in the order fails to appear at the evaluation and treatment facility, secure detoxification facility, or other certified chemical dependency provider at or before the date and time stated in the order, the person may be involuntarily taken into custody for evaluation and treatment. The order shall also designate retained counsel or, if counsel is appointed from a list provided by the court, the name, business address, and telephone number of the attorney appointed to represent the person.

    (c) The designated crisis responder shall then serve or cause to be served on such person, his or her guardian, and conservator, if any, a copy of the order to appear, together with a notice of rights and a petition for initial detention. After service on the person, the designated crisis responder shall file the return of service in court and provide copies of all papers in the court file to the evaluation and treatment facility or secure detoxification facility and the designated attorney. The designated crisis responder shall notify the court and the prosecuting attorney that a probable cause hearing will be held within seventy-two hours of the date and time of outpatient evaluation or admission to the evaluation and treatment facility, secure detoxification facility, or other certified chemical dependency provider. The person shall be permitted to remain in his or her home or other place of his or her choosing before the time of evaluation and shall be permitted to be accompanied by one or more of his or her relatives, friends, an attorney, a personal physician, or other professional or religious advisor to the place of evaluation. An attorney accompanying the person to the place of evaluation shall be permitted to be present during the admission evaluation. Any other person accompanying the person may be present during the admission evaluation. The facility may exclude the person if his or her presence would present a safety risk, delay the proceedings, or otherwise interfere with the evaluation.

    (d) If the person ordered to appear does appear on or before the date and time specified, the evaluation and treatment facility, secure detoxification facility, or other certified chemical dependency provider may admit the person as required by subsection (3) of this section or may provide treatment on an outpatient basis. If the person ordered to appear fails to appear on or before the date and time specified, the evaluation and treatment facility, secure detoxification facility, or other certified chemical dependency provider shall immediately notify the designated crisis responder who may notify a peace officer to take the person or cause the person to be taken into custody and placed in an evaluation and treatment facility, a secure detoxification facility, or other certified chemical dependency provider. Should the designated crisis responder notify a peace officer authorizing the officer to take a person into custody under this subsection, the designated crisis responder shall file with the court a copy of the authorization and a notice of detention. At the time the person is taken into custody there shall commence to be served on the person, his or her guardian, and conservator, if any, a copy of the original order together with a notice of detention, a notice of rights, and a petition for initial detention.

   (2) If a designated crisis responder receives information alleging that a person, as the result of:

   (a) A mental disorder, presents an imminent likelihood of serious harm, or is in imminent danger because of being gravely disabled, after investigation and evaluation of the specific facts alleged and of the reliability and credibility of the person or persons providing the information if any, the designated crisis responder may take the person, or cause by oral or written order the person to be taken into emergency custody in an evaluation and treatment facility for not more than seventy-two hours as described in this chapter; or

   (b) Chemical dependency, presents an imminent likelihood of serious harm, or is in imminent danger because of being gravely disabled, after investigation and evaluation of the specific facts alleged and of the reliability and credibility of the person or persons providing the information if any, the designated crisis responder may take the person, or cause by oral or written order the person to be taken into emergency custody in a secure detoxification facility for not more than seventy-two hours as described in this chapter.

   (3) If the designated crisis responder petitions for detention of a person whose actions constitute a likelihood of serious harm, or who is gravely disabled, the evaluation and treatment facility, the secure detoxification facility, or other certified chemical dependency provider providing seventy-two hour evaluation and treatment must immediately accept on a provisional basis the petition and the person. The evaluation and treatment facility, the secure detoxification facility, or other certified chemical dependency provider shall then evaluate the person's condition and admit, detain, transfer, or discharge such person in accordance with this chapter. The facility shall notify in writing the court and the designated crisis responder of the date and time of the initial detention of each person involuntarily detained so that a probable cause hearing will be held no later than seventy-two hours after detention.

   (4) A peace officer may, without prior notice of the proceedings provided for in subsection (1) of this section, take or cause the person to be taken into custody and immediately delivered to an evaluation and treatment facility, secure detoxification facility, other certified chemical dependency treatment provider only pursuant to subsections (1)(d) and (2) of this section.

   (5) Nothing in this chapter limits the power of a peace officer to take a person into custody and immediately deliver the person to the emergency department of a local hospital or to a detoxification facility.

   NEW SECTION. Sec. 207. (1) A person or public or private entity employing a person is not civilly or criminally liable for performing duties under this chapter if the duties were performed in good faith and without gross negligence.

   (2) This section does not relieve a person from giving the required notices under RCW 71.05.330(2) or 71.05.340(1)(b), or the duty to warn or to take reasonable precautions to provide protection from violent behavior where the patient has communicated an actual threat of physical violence against a reasonably identifiable victim or victims. The duty to warn or to take reasonable precautions to provide protection from violent behavior is discharged if reasonable efforts are made to communicate the threat to the victim or victims and to law enforcement personnel.

    NEW SECTION. Sec. 208. If the evaluation and treatment facility, secure detoxification facility, or other certified chemical dependency provider admits the person, it may detain the person for evaluation and treatment for a period not to exceed seventy-two hours from the time of acceptance. The computation of the seventy-two hour period excludes Saturdays, Sundays, and holidays.

    NEW SECTION. Sec. 209. Whenever any person is detained for evaluation and treatment for a mental disorder under section 206 of this act, chapter 71.05 RCW applies.

    NEW SECTION. Sec. 210. (1) A person detained for seventy-two hour evaluation and treatment under section 206 of this act or RCW 70.96A.120 may be detained for not more than fourteen additional days of involuntary chemical dependency treatment if there are beds available at the secure detoxification facility and the following conditions are met:

    (a) The professional person in charge of the agency or facility or the person's designee providing evaluation and treatment services in a secure detoxification facility has assessed the person's condition and finds that the condition is caused by chemical dependency and either results in a likelihood of serious harm or in the detained person being gravely disabled, and the professional person or his or her designee is prepared to testify those conditions are met;

    (b) The person has been advised of the need for voluntary treatment and the professional person in charge of the agency or facility or his or her designee has evidence that he or she has not in good faith volunteered for treatment; and

    (c) The professional person in charge of the agency or facility or the person's designee has filed a petition for fourteen-day involuntary detention with the superior court, district court, or other court permitted by court rule. The petition must be signed by the chemical dependency professional who has examined the person.

    (2) The petition under subsection (1)(c) of this section shall be accompanied by a certificate of a licensed physician who has examined the person, unless the person whose commitment is sought has refused to submit to a medical examination, in which case the fact of refusal shall be alleged in the petition. The certificate shall set forth the licensed physician's findings in support of the allegations of the petition. A physician employed by the petitioning program or the department is eligible to be the certifying physician.

    (3) The petition shall state facts that support the finding that the person, as a result of chemical dependency, presents a likelihood of serious harm or is gravely disabled, and that there are no less restrictive alternatives to detention in the best interest of the person or others. The petition shall state specifically that less restrictive alternative treatment was considered and specify why treatment less restrictive than detention is not appropriate.

    (4) A copy of the petition shall be served on the detained person, his or her attorney, and his or her guardian or conservator, if any, before the probable cause hearing.

    (5)(a) The court shall inform the person whose commitment is sought of his or her right to contest the petition, be represented by counsel at every stage of any proceedings relating to his or her commitment, and have counsel appointed by the court or provided by the court, if he or she wants the assistance of counsel and is unable to obtain counsel. If the court believes that the person needs the assistance of counsel, the court shall require, by appointment if necessary, counsel for him or her regardless of his or her wishes. The person shall, if he or she is financially able, bear the costs of such legal service; otherwise such legal service shall be at public expense. The person whose commitment is sought shall be informed of his or her right to be examined by a licensed physician of his or her choice. If the person is unable to obtain a licensed physician and requests examination by a physician, the court shall appoint a reasonably available licensed physician designated by the person.

   (b) At the conclusion of the probable cause hearing, if the court finds by a preponderance of the evidence that the person, as the result of chemical dependency, presents a likelihood of serious harm or is gravely disabled and, after considering less restrictive alternatives to involuntary detention and treatment, finds that no such alternatives are in the best interest of such person or others, the court shall order that the person be detained for involuntary chemical dependency treatment not to exceed fourteen days in a secure detoxification facility.

   NEW SECTION. Sec. 211. If a person is detained for additional treatment beyond fourteen days under section 210 of this act, the professional staff of the agency or facility may petition for additional treatment under RCW 70.96A.140.

   NEW SECTION. Sec. 212. The prosecuting attorney of the county in which an action under this chapter is taken must represent the petitioner in judicial proceedings under this chapter for the involuntary chemical dependency treatment of a person, including any judicial proceeding where the person sought to be treated for chemical dependency challenges the action.

   NEW SECTION. Sec. 213. (1) Every person involuntarily detained or committed under this chapter as a result of a mental disorder is entitled to all the rights set forth in this chapter and in chapter 71.05 RCW, and retains all rights not denied him or her under this chapter or chapter 71.05 RCW.

   (2) Every person involuntarily detained or committed under this chapter as a result of a chemical dependency is entitled to all the rights set forth in this chapter and chapter 70.96A RCW, and retains all rights not denied him or her under this chapter or chapter 70.96A RCW.

   NEW SECTION. Sec. 214. (1) When a designated crisis responder is notified by a jail that a defendant or offender who was subject to a discharge review under RCW 71.05.232 is to be released to the community, the designated crisis responder shall evaluate the person within seventy-two hours of release.

   (2) When an offender is under court-ordered treatment in the community and the supervision of the department of corrections, and the treatment provider becomes aware that the person is in violation of the terms of the court order, the treatment provider shall notify the designated crisis responder of the violation and request an evaluation for purposes of revocation of the less restrictive alternative.

   (3) When a designated crisis responder becomes aware that an offender who is under court-ordered treatment in the community and the supervision of the department of corrections is in violation of a treatment order or a condition of supervision that relates to public safety, or the designated crisis responder detains a person under this chapter, the designated crisis responder shall notify the person's treatment provider and the department of corrections.

   (4) When an offender who is confined in a state correctional facility or is under supervision of the department of corrections in the community is subject to a petition for involuntary treatment under this chapter, the petitioner shall notify the department of corrections and the department of corrections shall provide documentation of its risk assessment or other concerns to the petitioner and the court if the department of corrections classified the offender as a high risk or high needs offender.

    (5) Nothing in this section creates a duty on any treatment provider or designated crisis responder to provide offender supervision.

    NEW SECTION. Sec. 215. The secretary may adopt rules to implement this chapter.

    NEW SECTION. Sec. 216. The provisions of RCW 71.05.550 apply to this chapter.

    NEW SECTION. Sec. 217. (1) The Washington state institute for public policy shall evaluate the pilot programs and make a preliminary report to appropriate committees of the legislature by December 1, 2007, and a final report by September 30, 2008.

    (2) The evaluation of the pilot programs shall include:

    (a) Whether the designated crisis responder pilot program:

    (i) Has increased efficiency of evaluation and treatment of persons involuntarily detained for seventy-two hours;

    (ii) Is cost-effective;

    (iii) Results in better outcomes for persons involuntarily detained;

    (iv) Increased the effectiveness of the crisis response system in the pilot catchment areas;

    (b) The effectiveness of providing a single chapter in the Revised Code of Washington to address initial detention of persons with mental disorders or chemical dependency, in crisis response situations and the likelihood of effectiveness of providing a single, comprehensive involuntary treatment act.

    (3) The reports shall consider the impact of the pilot programs on the existing mental health system and on the persons served by the system.

    Sec. 218. RCW 71.05.550 and 1973 1st ex.s. c 142 s 60 are each amended to read as follows:

    The department of social and health services, in planning and providing funding to counties pursuant to chapter 71.24 RCW, shall recognize the financial necessities imposed upon counties by implementation of this chapter and chapter 70.-- RCW (sections 202 through 216 of this act), and shall consider needs, if any, for additional community mental health services and facilities and reduction in commitments to state hospitals for the mentally ill accomplished by individual counties, in planning and providing such funding. The state shall provide financial assistance to the counties to enable the counties to meet all increased costs, if any, to the counties resulting from their administration of the provisions of chapter 142, Laws of 1973 1st ex. sess.

    NEW SECTION. Sec. 219. Sections 202 through 216 of this act expire July 1, 2008.

    NEW SECTION. Sec. 220. A new section is added to chapter 70.96A RCW to read as follows:

    (1) The secretary shall select and contract with counties to provide intensive case management for chemically dependent persons with histories of high utilization of crisis services at two sites. In selecting the two sites, the secretary shall endeavor to site one in an urban county, and one in a rural county; and to site them in counties other than those selected pursuant to section 203 of this act, to the extent necessary to facilitate evaluation of pilot project results.

    (2) The contracted sites shall implement the pilot programs by providing intensive case management to persons with a primary chemical dependency diagnosis or dual primary chemical dependency and mental health diagnoses, through the employment of chemical dependency case managers. The chemical dependency case managers shall:


   (a) Be trained in and use the integrated, comprehensive screening and assessment process adopted under section 601 of this act;

   (b) Reduce the use of crisis medical, chemical dependency and mental health services, including but not limited to, emergency room admissions, hospitalizations, detoxification programs, inpatient psychiatric admissions, involuntary treatment petitions, emergency medical services, and ambulance services;

   (c) Reduce the use of emergency first responder services including police, fire, emergency medical, and ambulance services;

   (d) Reduce the number of criminal justice interventions including arrests, violations of conditions of supervision, bookings, jail days, prison sanction day for violations, court appearances, and prosecutor and defense costs;

   (e) Where appropriate and available, work with therapeutic courts including drug courts and mental health courts to maximize the outcomes for the individual and reduce the likelihood of reoffense;

   (f) Coordinate with local offices of the economic services administration to assist the person in accessing and remaining enrolled in those programs to which the person may be entitled;

   (g) Where appropriate and available, coordinate with primary care and other programs operated through the federal government including federally qualified health centers, Indian health programs, and veterans' health programs for which the person is eligible to reduce duplication of services and conflicts in case approach;

   (h) Where appropriate, advocate for the client's needs to assist the person in achieving and maintaining stability and progress toward recovery;

   (i) Document the numbers of persons with co-occurring mental and substance abuse disorders and the point of determination of the co-occurring disorder by quadrant of intensity of need; and

   (j) Where a program participant is under supervision by the department of corrections, collaborate with the department of corrections to maximize treatment outcomes and reduce the likelihood of reoffense.

   (3) The pilot programs established by this section shall begin providing services by March 1, 2006.

   (4) This section expires June 30, 2008.

 

PART III

TREATMENT GAP

 

   NEW SECTION. Sec. 301. A new section is added to chapter 70.96A RCW to read as follows:

   (1) The division of alcohol and substance abuse shall increase its capacity to serve adults who meet chemical dependency treatment criteria and who are enrolled in medicaid as follows:

   (a) In fiscal year 2006, the division of alcohol and substance abuse shall serve forty percent of the calculated need; and

   (b) In fiscal year 2007, the division of alcohol and substance abuse shall serve sixty percent of the calculated need.

   (2) The division of alcohol and substance abuse shall increase its capacity to serve minors who have passed their twelfth birthday and who are not yet eighteen, who are under two hundred percent of the federal poverty level as follows:

   (a) In fiscal year 2006, the division of alcohol and substance abuse shall serve forty percent of the calculated need; and

   (b) In fiscal year 2007, the division of alcohol and substance abuse shall serve sixty percent of the calculated need.

    (3) For purposes of this section, "calculated need" means the percentage of the population under two hundred percent of the federal poverty level in need of chemical dependency services as determined in the 2003 Washington state needs assessment study.

    NEW SECTION. Sec. 302. A new section is added to chapter 70.96A RCW to read as follows:

    (1) Not later than January 1, 2007, all persons providing treatment under this chapter shall also implement the integrated comprehensive screening and assessment process for chemical dependency and mental disorders adopted pursuant to section 601 of this act and shall document the numbers of clients with co-occurring mental and substance abuse disorders based on a quadrant system of low and high needs.

    (2) Treatment providers contracted to provide treatment under this chapter who fail to implement the integrated comprehensive screening and assessment process for chemical dependency and mental disorders by July 1, 2007, are subject to contractual penalties established under section 601 of this act.

    NEW SECTION. Sec. 303. A new section is added to chapter 13.34 RCW to read as follows:

    The department of social and health services and the department of health shall develop and expand comprehensive services for drug-affected and alcohol-affected mothers and infants. Subject to funds appropriated for this purpose, the expansion shall be in evidence-based, research-based, or consensus-based practices, as those terms are defined in section 603 of this act, and shall expand capacity in underserved regions of the state.

    NEW SECTION. Sec. 304. A new section is added to chapter 70.96A RCW to read as follows:

    A petition for commitment under this chapter may be joined with a petition for commitment under chapter 71.05 RCW.

    NEW SECTION. Sec. 305. A new section is added to chapter 70.96A RCW to read as follows:

    (1) The department of social and health services shall contract for chemical dependency specialist services at each division of children and family services office to enhance the timeliness and quality of child protective services assessments and to better connect families to needed treatment services.

    (2) The chemical dependency specialist's duties may include, but are not limited to: Conducting on-site chemical dependency screening and assessment, facilitating progress reports to department social workers, in-service training of department social workers and staff on substance abuse issues, referring clients from the department to treatment providers, and providing consultation on cases to department social workers.

    (3) The department of social and health services shall provide training in and ensure that each case-carrying social worker is trained in uniform screening for mental health and chemical dependency.

 

PART IV

RESOURCES

 

    NEW SECTION. Sec. 401. Sections 402 through 425 of this act constitute a new chapter in Title 70 RCW.

    NEW SECTION. Sec. 402. The legislature finds that there are persons with mental disorders, including organic or traumatic brain disorders, and combinations of mental disorders with other medical conditions or behavior histories that result in behavioral and security issues that make these persons ineligible for, or unsuccessful in, existing types of licensed facilities, including adult residential rehabilitation centers, boarding homes, adult family homes, group homes, and skilled nursing facilities. The legislature also finds that many of these persons have been treated on repeated occasions in inappropriate acute care facilities and released without an appropriate placement or have been treated or detained for extended periods in inappropriate settings including state hospitals and correctional facilities. The legislature further finds that some of these persons present complex safety and treatment issues that require security measures that cannot be instituted under most facility licenses or supported housing programs. These include the ability to detain persons under involuntary treatment orders or administer court ordered medications.

   Consequently, the legislature intends, to the extent of available funds, to establish a new type of facility licensed by the department of social and health services as an enhanced services facility with standards that will provide a safe, secure treatment environment for a limited population of persons who are not appropriately served in other facilities or programs. The legislature also finds that enhanced services facilities may need to specialize in order to effectively care for a particular segment of the identified population.

   An enhanced services facility may only serve individuals that meet the criteria specified in section 405 of this act.

   NEW SECTION. Sec. 403. The definitions in this section apply throughout this chapter unless the context clearly requires otherwise.

   (1) "Antipsychotic medications" means that class of drugs primarily used to treat serious manifestations of mental illness associated with thought disorders, which includes but is not limited to atypical antipsychotic medications.

   (2) "Attending staff" means any person on the staff of a public or private agency having responsibility for the care and treatment of a patient.

   (3) "Chemical dependency" means alcoholism, drug addiction, or dependence on alcohol and one or more other psychoactive chemicals, as the context requires and as those terms are defined in chapter 70.96A RCW.

   (4) "Chemical dependency professional" means a person certified as a chemical dependency professional by the department of health under chapter 18.205 RCW.

   (5) "Commitment" means the determination by a court that an individual should be detained for a period of either evaluation or treatment, or both, in an inpatient or a less restrictive setting.

   (6) "Conditional release" means a modification of a commitment that may be revoked upon violation of any of its terms.

   (7) "Custody" means involuntary detention under chapter 71.05 or 70.96A RCW, uninterrupted by any period of unconditional release from commitment from a facility providing involuntary care and treatment.

   (8) "Department" means the department of social and health services.

   (9) "Designated responder" means a designated mental health professional, a designated chemical dependency specialist, or a designated crisis responder as those terms are defined in chapter 70.96A, 71.05, or 70.-- (sections 202 through 216 of this act) RCW.

   (10) "Detention" or "detain" means the lawful confinement of an individual under chapter 70.96A or 71.05 RCW.

   (11) "Discharge" means the termination of facility authority. The commitment may remain in place, be terminated, or be amended by court order.

   (12) "Enhanced services facility" means a facility that provides treatment and services to persons for whom acute inpatient treatment is not medically necessary and who have been determined by the department to be inappropriate for placement in other licensed facilities due to the complex needs that result in behavioral and security issues.

    (13) "Expanded community services program" means a nonsecure program of enhanced behavioral and residential support provided to long-term and residential care providers serving specifically eligible clients who would otherwise be at risk for hospitalization at state hospital geriatric units.

    (14) "Facility" means an enhanced services facility.

    (15) "Gravely disabled" means a condition in which an individual, as a result of a mental disorder, as a result of the use of alcohol or other psychoactive chemicals, or both:

    (a) Is in danger of serious physical harm resulting from a failure to provide for his or her essential human needs of health or safety; or

    (b) Manifests severe deterioration in routine functioning evidenced by repeated and escalating loss of cognitive or volitional control over his or her actions and is not receiving such care as is essential for his or her health or safety.

    (16) "History of one or more violent acts" refers to the period of time ten years before the filing of a petition under this chapter, or chapter 70.96A or 71.05 RCW, excluding any time spent, but not any violent acts committed, in a mental health facility or a long-term alcoholism or drug treatment facility, or in confinement as a result of a criminal conviction.

    (17) "Licensed physician" means a person licensed to practice medicine or osteopathic medicine and surgery in the state of Washington.

    (18) "Likelihood of serious harm" means:

    (a) A substantial risk that:

    (i) Physical harm will be inflicted by an individual upon his or her own person, as evidenced by threats or attempts to commit suicide or inflict physical harm on oneself;

    (ii) Physical harm will be inflicted by an individual upon another, as evidenced by behavior that has caused such harm or that places another person or persons in reasonable fear of sustaining such harm; or

    (iii) Physical harm will be inflicted by an individual upon the property of others, as evidenced by behavior that has caused substantial loss or damage to the property of others; or

    (b) The individual has threatened the physical safety of another and has a history of one or more violent acts.

    (19) "Mental disorder" means any organic, mental, or emotional impairment that has substantial adverse effects on an individual's cognitive or volitional functions.

    (20) "Mental health professional" means a psychiatrist, psychologist, psychiatric nurse, or social worker, and such other mental health professionals as may be defined by rules adopted by the secretary under the authority of chapter 71.05 RCW.

    (21) "Professional person" means a mental health professional and also means a physician, registered nurse, and such others as may be defined in rules adopted by the secretary pursuant to the provisions of this chapter.

    (22) "Psychiatrist" means a person having a license as a physician and surgeon in this state who has in addition completed three years of graduate training in psychiatry in a program approved by the American medical association or the American osteopathic association and is certified or eligible to be certified by the American board of psychiatry and neurology.

    (23) "Psychologist" means a person who has been licensed as a psychologist under chapter 18.83 RCW.

    (24) "Registration records" include all the records of the department, regional support networks, treatment facilities, and other persons providing services to the department, county departments, or facilities which identify individuals who are receiving or who at any time have received services for mental illness.

   (25) "Release" means legal termination of the commitment under chapter 70.96A or 71.05 RCW.

   (26) "Resident" means a person admitted to an enhanced services facility.

   (27) "Secretary" means the secretary of the department or the secretary's designee.

   (28) "Significant change" means:

   (a) A deterioration in a resident's physical, mental, or psychosocial condition that has caused or is likely to cause clinical complications or life-threatening conditions; or

   (b) An improvement in the resident's physical, mental, or psychosocial condition that may make the resident eligible for release or for treatment in a less intensive or less secure setting.

   (29) "Social worker" means a person with a master's or further advanced degree from an accredited school of social work or a degree deemed equivalent under rules adopted by the secretary.

   (30) "Treatment" means the broad range of emergency, detoxification, residential, inpatient, and outpatient services and care, including diagnostic evaluation, mental health or chemical dependency education and counseling, medical, psychiatric, psychological, and social service care, vocational rehabilitation, and career counseling, which may be extended to persons with mental disorders, chemical dependency disorders, or both, and their families.

   (31) "Treatment records" include registration and all other records concerning individuals who are receiving or who at any time have received services for mental illness, which are maintained by the department, by regional support networks and their staffs, and by treatment facilities. "Treatment records" do not include notes or records maintained for personal use by an individual providing treatment services for the department, regional support networks, or a treatment facility if the notes or records are not available to others.

   (32) "Violent act" means behavior that resulted in homicide, attempted suicide, nonfatal injuries, or substantial damage to property.

   NEW SECTION. Sec. 404. A facility shall honor an advance directive that was validly executed pursuant to chapter 70.122 RCW and a mental health advance directive that was validly executed pursuant to chapter 71.32 RCW.

   NEW SECTION. Sec. 405. A person, eighteen years old or older, may be admitted to an enhanced services facility if he or she meets the criteria in subsections (1) through (3) of this section:

   (1) The person requires: (a) Daily care by or under the supervision of a mental health professional, chemical dependency professional, or nurse; or (b) assistance with three or more activities of daily living; and

   (2) The person has: (a) A mental disorder, chemical dependency disorder, or both; (b) an organic or traumatic brain injury; or (c) a cognitive impairment that results in symptoms or behaviors requiring supervision and facility services;

   (3) The person has two or more of the following:

   (a) Self-endangering behaviors that are frequent or difficult to manage;

   (b) Aggressive, threatening, or assaultive behaviors that create a risk to the health or safety of other residents or staff, or a significant risk to property and these behaviors are frequent or difficult to manage;

   (c) Intrusive behaviors that put residents or staff at risk;

    (d) Complex medication needs and those needs include psychotropic medications;

    (e) A history of or likelihood of unsuccessful placements in either a licensed facility or other state facility or a history of rejected applications for admission to other licensed facilities based on the person's behaviors, history, or security needs;

    (f) A history of frequent or protracted mental health hospitalizations;

    (g) A history of offenses against a person or felony offenses that created substantial damage to property.

    NEW SECTION. Sec. 406. (1)(a) Every person who is a resident of an enhanced services facility shall be entitled to all the rights set forth in this chapter, and chapters 71.05 and 70.96A RCW, and shall retain all rights not denied him or her under these chapters.

    (b) No person shall be presumed incompetent as a consequence of receiving an evaluation or voluntary or involuntary treatment for a mental disorder, chemical dependency disorder, or both, under this chapter, or chapter 71.05 or 70.96A RCW, or any prior laws of this state dealing with mental illness. Competency shall not be determined or withdrawn except under the provisions of chapter 10.77 or 11.88 RCW.

    (c) At the time of his or her treatment planning meeting, every resident of an enhanced services facility shall be given a written statement setting forth the substance of this section. The department shall by rule develop a statement and process for informing residents of their rights in a manner that is likely to be understood by the resident.

    (2) Every resident of an enhanced services facility shall have the right to adequate care and individualized treatment.

    (3) The provisions of this chapter shall not be construed to deny to any person treatment by spiritual means through prayer in accordance with the tenets and practices of a church or religious denomination.

    (4) Persons receiving evaluation or treatment under this chapter shall be given a reasonable choice of an available physician or other professional person qualified to provide such services.

    (5) The physician-patient privilege or the psychologist-client privilege shall be deemed waived in proceedings under this chapter relating to the administration of antipsychotic medications. As to other proceedings under chapter 10.77, 70.96A, or 71.05 RCW, the privileges shall be waived when a court of competent jurisdiction in its discretion determines that such waiver is necessary to protect either the detained person or the public.

    (6) Insofar as danger to the person or others is not created, each resident of an enhanced services facility shall have, in addition to other rights not specifically withheld by law, the following rights, a list of which shall be prominently posted in all facilities, institutions, and hospitals providing such services:

    (a) To wear his or her own clothes and to keep and use his or her own personal possessions, except when deprivation of same is essential to protect the safety of the resident or other persons;

    (b) To keep and be allowed to spend a reasonable sum of his or her own money for canteen expenses and small purchases;

    (c) To have access to individual storage space for his or her private use;

    (d) To have visitors at reasonable times;

    (e) To have reasonable access to a telephone, both to make and receive confidential calls, consistent with an effective treatment program;


   (f) To have ready access to letter writing materials, including stamps, and to send and receive uncensored correspondence through the mails;

   (g) Not to consent to the administration of antipsychotic medications beyond the hearing conducted pursuant to RCW 71.05.215 or 71.05.370 (as recodified by this act), or the performance of electroconvulsant therapy, or surgery, except emergency life-saving surgery, unless ordered by a court under RCW 71.05.370 (as recodified by this act);

   (h) To discuss and actively participate in treatment plans and decisions with professional persons;

   (i) Not to have psychosurgery performed on him or her under any circumstances;

   (j) To dispose of property and sign contracts unless such person has been adjudicated an incompetent in a court proceeding directed to that particular issue; and

   (k) To complain about rights violations or conditions and request the assistance of a mental health ombudsman or representative of Washington protection and advocacy. The facility may not prohibit or interfere with a resident's decision to consult with an advocate of his or her choice.

   (7) Nothing contained in this chapter shall prohibit a resident from petitioning by writ of habeas corpus for release.

   (8) Nothing in this section permits any person to knowingly violate a no-contact order or a condition of an active judgment and sentence or active supervision by the department of corrections.

   (9) A person has a right to refuse placement, except where subject to commitment, in an enhanced services facility. No person shall be denied other department services solely on the grounds that he or she has made such a refusal.

   (10) A person has a right to appeal the decision of the department that he or she is eligible for placement at an enhanced services facility, and shall be given notice of the right to appeal in a format that is accessible to the person with instructions regarding what to do if the person wants to appeal.

   NEW SECTION. Sec. 407. A person who is gravely disabled or presents a likelihood of serious harm as a result of a mental or chemical dependency disorder or co-occurring mental and chemical dependency disorders has a right to refuse antipsychotic medication. Antipsychotic medication may be administered over the person's objections only pursuant to RCW 71.05.215 or 71.05.370 (as recodified by this act).

   NEW SECTION. Sec. 408. (1)(a) The department shall not license an enhanced services facility that serves any residents under sixty-five years of age for a capacity to exceed sixteen residents.

   (b) The department may contract for services for the operation of enhanced services facilities only to the extent that funds are specifically provided for that purpose.

   (2) The facility shall provide an appropriate level of security for the characteristics, behaviors, and legal status of the residents.

   (3) An enhanced services facility may hold only one license but, to the extent permitted under state and federal law and medicaid requirements, a facility may be located in the same building as another licensed facility, provided that:

   (a) The enhanced services facility is in a location that is totally separate and discrete from the other licensed facility; and

   (b) The two facilities maintain separate staffing, unless an exception to this is permitted by the department in rule.

   (4) Nursing homes under chapter 18.51 RCW, boarding homes under chapter 18.20 RCW, or adult family homes under chapter 70.128 RCW, that become licensed as facilities under this chapter shall be deemed to meet the applicable state and local rules, regulations, permits, and code requirements. All other facilities are required to meet all applicable state and local rules, regulations, permits, and code requirements.

    NEW SECTION. Sec. 409. (1) The enhanced services facility shall complete a comprehensive assessment for each resident within fourteen days of admission, and the assessments shall be repeated upon a significant change in the resident's condition or, at a minimum, every one hundred eighty days if there is no significant change in condition.

    (2) The enhanced services facility shall develop an individualized treatment plan for each resident based on the comprehensive assessment and any other information in the person's record. The plan shall be updated as necessary, and shall include a plan for appropriate transfer or discharge and reintegration into the community. Where the person is under the supervision of the department of corrections, the facility shall collaborate with the department of corrections to maximize treatment outcomes and reduce the likelihood of reoffense.

    (3) The plan shall maximize the opportunities for independence, recovery, employment, the resident's participation in treatment decisions, and collaboration with peer-supported services, and provide for care and treatment in the least restrictive manner appropriate to the individual resident, and, where relevant, to any court orders with which the resident must comply.

    NEW SECTION. Sec. 410. (1) An enhanced services facility must have sufficient numbers of staff with the appropriate credentials and training to provide residents with the appropriate care and treatment:

    (a) Mental health treatment;

    (b) Medication services;

    (c) Assistance with the activities of daily living;

    (d) Medical or habilitative treatment;

    (e) Dietary services;

    (f) Security; and

    (g) Chemical dependency treatment.

    (2) Where an enhanced services facility specializes in medically fragile persons with mental disorders, the on-site staff must include at least one licensed nurse twenty-four hours per day. The nurse must be a registered nurse for at least sixteen hours per day. If the nurse is not a registered nurse, a registered nurse or a doctor must be on-call during the remaining eight hours.

    (3) Any employee or other individual who will have unsupervised access to vulnerable adults must successfully pass a background inquiry check.

    NEW SECTION. Sec. 411. This chapter does not apply to the following residential facilities:

    (1) Nursing homes licensed under chapter 18.51 RCW;

    (2) Boarding homes licensed under chapter 18.20 RCW;

    (3) Adult family homes licensed under chapter 70.128 RCW;

    (4) Facilities approved and certified under chapter 71A.22 RCW;

    (5) Residential treatment facilities licensed under chapter 71.12 RCW; and

    (6) Hospitals licensed under chapter 70.41 RCW.

    NEW SECTION. Sec. 412. (1) The department shall establish licensing rules for enhanced services facilities to serve the populations defined in this chapter.

    (2) No person or public or private agency may operate or maintain an enhanced services facility without a license, which must be renewed annually.

    (3) A licensee shall have the following readily accessible and available for review by the department, residents, families of residents, and the public:


   (a) Its license to operate and a copy of the department's most recent inspection report and any recent complaint investigation reports issued by the department;

   (b) Its written policies and procedures for all treatment, care, and services provided directly or indirectly by the facility; and

   (c) The department's toll-free complaint number, which shall also be posted in a clearly visible place and manner.

   (4) Enhanced services facilities shall maintain a grievance procedure that meets the requirements of rules established by the department.

   (5) No facility shall discriminate or retaliate in any manner against a resident or employee because the resident, employee, or any other person made a complaint or provided information to the department, the long-term care ombudsman, Washington protection and advocacy system, or a mental health ombudsperson.

   (6) Each enhanced services facility will post in a prominent place in a common area a notice by the Washington protection and advocacy system providing contact information.

   NEW SECTION. Sec. 413. (1) In any case in which the department finds that a licensee of a facility, or any partner, officer, director, owner of five percent or more of the assets of the facility, or managing employee failed or refused to comply with the requirements of this chapter or the rules established under them, the department may take any or all of the following actions:

   (a) Suspend, revoke, or refuse to issue or renew a license;

   (b) Order stop placement; or

   (c) Assess civil monetary penalties.

   (2) The department may suspend, revoke, or refuse to renew a license, assess civil monetary penalties, or both, in any case in which it finds that the licensee of a facility, or any partner, officer, director, owner of five percent or more of the assets of the facility, or managing employee:

   (a) Operated a facility without a license or under a revoked or suspended license;

   (b) Knowingly or with reason to know made a false statement of a material fact in the license application or any data attached thereto, or in any matter under investigation by the department;

   (c) Refused to allow representatives or agents of the department to inspect all books, records, and files required to be maintained or any portion of the premises of the facility;

   (d) Willfully prevented, interfered with, or attempted to impede in any way the work of any duly authorized representative of the department and the lawful enforcement of any provision of this chapter;

   (e) Willfully prevented or interfered with any representative of the department in the preservation of evidence of any violation of any of the provisions of this chapter or of the rules adopted under it; or

   (f) Failed to pay any civil monetary penalty assessed by the

department under this chapter within ten days after the assessment becomes final.

   (3)(a) Civil penalties collected under this chapter shall be deposited into a special fund administered by the department.

   (b) Civil monetary penalties, if imposed, may be assessed and collected, with interest, for each day the facility is or was out of compliance. Civil monetary penalties shall not exceed three thousand dollars per day. Each day upon which the same or a substantially similar action occurs is a separate violation subject to the assessment of a separate penalty.

   (4) The department may use the civil penalty monetary fund for the protection of the health or property of residents of facilities found to be deficient including:

    (a) Payment for the cost of relocation of residents to other facilities;

    (b) Payment to maintain operation of a facility pending correction of deficiencies or closure; and

    (c) Reimbursement of a resident for personal funds or property loss.

    (5)(a) The department may issue a stop placement order on a facility, effective upon oral or written notice, when the department determines:

    (i) The facility no longer substantially meets the requirements of this chapter; and

    (ii) The deficiency or deficiencies in the facility:

    (A) Jeopardizes the health and safety of the residents; or

    (B) Seriously limits the facility's capacity to provide adequate care.

    (b) When the department has ordered a stop placement, the

department may approve a readmission to the facility from a hospital, residential treatment facility, or crisis intervention facility when the department determines the readmission would be in the best interest of the individual seeking readmission.

    (6) If the department determines that an emergency exists and resident health and safety is immediately jeopardized as a result of a facility's failure or refusal to comply with this chapter, the department may summarily suspend the facility's license and order the immediate closure of the facility, or the immediate transfer of residents, or both.

    (7) If the department determines that the health or safety of the residents is immediately jeopardized as a result of a facility's failure or refusal to comply with requirements of this chapter, the department may appoint temporary management to:

    (a) Oversee the operation of the facility; and

    (b) Ensure the health and safety of the facility's residents while:

    (i) Orderly closure of the facility occurs; or

    (ii) The deficiencies necessitating temporary management are corrected.

    NEW SECTION. Sec. 414. (1) All orders of the department denying, suspending, or revoking the license or assessing a monetary penalty shall become final twenty days after the same has been served upon the applicant or licensee unless a hearing is requested.

    (2) All orders of the department imposing stop placement, temporary management, emergency closure, emergency transfer, or summary license suspension shall be effective immediately upon notice, pending any hearing.

    (3) Subject to the requirements of subsection (2) of this section, all hearings under this chapter and judicial review of such determinations shall be in accordance with the administrative procedure act, chapter 34.05 RCW.

    NEW SECTION. Sec. 415. Operation of a facility without a license in violation of this chapter and discrimination against medicaid recipients is a matter vitally affecting the public interest for the purpose of applying the consumer protection act, chapter 19.86 RCW. Operation of an enhanced services facility without a license in violation of this chapter is not reasonable in relation to the development and preservation of business. Such a violation is an unfair or deceptive act in trade or commerce and an unfair method of competition for the purpose of applying the consumer protection act, chapter 19.86 RCW.

    NEW SECTION. Sec. 416. A person operating or maintaining a facility without a license under this chapter is guilty of a misdemeanor and each day of a continuing violation after conviction shall be considered a separate offense.


   NEW SECTION. Sec. 417. Notwithstanding the existence or use of any other remedy, the department may, in the manner provided by law, maintain an action in the name of the state for an injunction, civil penalty, or other process against a person to restrain or prevent the operation or maintenance of a facility without a license issued under this chapter.

   NEW SECTION. Sec. 418. (1) The department shall make or cause to be made at least one inspection of each facility prior to licensure and an unannounced full inspection of facilities at least once every eighteen months. The statewide average interval between full facility inspections must be fifteen months.

   (2) Any duly authorized officer, employee, or agent of the department may enter and inspect any facility at any time to determine that the facility is in compliance with this chapter and applicable rules, and to enforce any provision of this chapter. Complaint inspections shall be unannounced and conducted in such a manner as to ensure maximum effectiveness. No advance notice shall be given of any inspection unless authorized or required by federal law.

   (3) During inspections, the facility must give the department access to areas, materials, and equipment used to provide care or support to residents, including resident and staff records, accounts, and the physical premises, including the buildings, grounds, and equipment. The department has the authority to privately interview the provider, staff, residents, and other individuals familiar with resident care and treatment.

   (4) Any public employee giving advance notice of an inspection in violation of this section shall be suspended from all duties without pay for a period of not less than five nor more than fifteen days.

   (5) The department shall prepare a written report describing the violations found during an inspection, and shall provide a copy of the inspection report to the facility.

   (6) The facility shall develop a written plan of correction for any violations identified by the department and provide a plan of correction to the department within ten working days from the receipt of the inspection report.

   NEW SECTION. Sec. 419. The facility shall only admit individuals:

   (1) Who are over the age of eighteen;

   (2) Who meet the resident eligibility requirements described in section 405 of this act; and

   (3) Whose needs the facility can safely and appropriately meet through qualified and trained staff, services, equipment, security, and building design.

   NEW SECTION. Sec. 420. If the facility does not employ a qualified professional able to furnish needed services, the facility must have a written contract with a qualified professional or agency outside the facility to furnish the needed services.

   NEW SECTION. Sec. 421. At least sixty days before the effective date of any change of ownership, or change of management of a facility, the current operating entity must provide written notification about the proposed change separately and in writing, to the department, each resident of the facility, or the resident's guardian or representative.

   NEW SECTION. Sec. 422. The facility shall:

   (1) Maintain adequate resident records to enable the provision of necessary treatment, care, and services and to respond appropriately in emergency situations;

   (2) Comply with all state and federal requirements related to documentation, confidentiality, and information sharing, including chapters 10.77, 70.02, 70.24, 70.96A, and 71.05 RCW; and

    (3) Where possible, obtain signed releases of information designating the department, the facility, and the department of corrections where the person is under its supervision, as recipients of health care information.

    NEW SECTION. Sec. 423. (1) Standards for fire protection and the enforcement thereof, with respect to all facilities licensed under this chapter, are the responsibility of the chief of the Washington state patrol, through the director of fire protection, who must adopt recognized standards as applicable to facilities for the protection of life against the cause and spread of fire and fire hazards. If the facility to be licensed meets with the approval of the chief of the Washington state patrol, through the director of fire protection, the director of fire protection must submit to the department a written report approving the facility with respect to fire protection before a full license can be issued. The chief of the Washington state patrol, through the director of fire protection, shall conduct an unannounced full inspection of facilities at least once every eighteen months. The statewide average interval between full facility inspections must be fifteen months.

    (2) Inspections of facilities by local authorities must be consistent with the requirements adopted by the chief of the Washington state patrol, through the director of fire protection. Findings of a serious nature must be coordinated with the department and the chief of the Washington state patrol, through the director of fire protection, for determination of appropriate actions to ensure a safe environment for residents. The chief of the Washington state patrol, through the director of fire protection, has exclusive authority to determine appropriate corrective action under this section.

    NEW SECTION. Sec. 424. No facility providing care and treatment for individuals placed in a facility, or agency licensing or placing residents in a facility, acting in the course of its duties, shall be civilly or criminally liable for performing its duties under this chapter, provided that such duties were performed in good faith and without gross negligence.

    NEW SECTION. Sec. 425. (1) The secretary shall adopt rules to implement this chapter.

    (2) Such rules shall at the minimum: (a) Promote safe treatment and necessary care of individuals residing in the facility and provide for safe and clean conditions; (b) establish licensee qualifications, licensing and enforcement, and license fees sufficient to cover the cost of licensing and enforcement.

 

PART V

FORENSIC AND CORRECTIONA

 

Drug and Mental Health Courts

 

    NEW SECTION. Sec. 501. A new section is added to chapter 2.28 RCW to read as follows:

    (1) Counties may establish and operate mental health courts.

    (2) For the purposes of this section, "mental health court" means a court that has special calendars or dockets designed to achieve a reduction in recidivism and symptoms of mental illness among nonviolent, mentally ill felony and nonfelony offenders by increasing their likelihood for successful rehabilitation through early, continuous, and intense judicially supervised treatment including drug treatment for persons with co-occurring disorders; mandatory periodic reviews, including drug testing if indicated; and the use of appropriate sanctions and other rehabilitation services.

    (3)(a) Any jurisdiction that seeks a state appropriation to fund a mental health court program must first:


   (i) Exhaust all federal funding that is available to support the operations of its mental health court and associated services; and

   (ii) Match, on a dollar-for-dollar basis, state moneys allocated for mental health court programs with local cash or in-kind resources. Moneys allocated by the state must be used to supplement, not supplant, other federal, state, and local funds for mental health court operations and associated services.

   (b) Any county that establishes a mental health court pursuant to this section shall establish minimum requirements for the participation of offenders in the program. The mental health court may adopt local requirements that are more stringent than the minimum. The minimum requirements are:

   (i) The offender would benefit from psychiatric treatment;

   (ii) The offender has not previously been convicted of a serious violent offense or sex offense as defined in RCW 9.94A.030; and

   (iii) Without regard to whether proof of any of these elements is required to convict, the offender is not currently charged with or convicted of an offense:

   (A) That is a sex offense;

   (B) That is a serious violent offense;

   (C) During which the defendant used a firearm; or

   (D) During which the defendant caused substantial or great bodily harm or death to another person.

   NEW SECTION. Sec. 502. A new section is added to chapter 2.28 RCW to read as follows:

   Any county that has established a drug court and a mental health court under this chapter may combine the functions of both courts into a single therapeutic court.

   NEW SECTION. Sec. 503. A new section is added to chapter 26.12 RCW to read as follows:

   (1) Every county that authorizes the tax provided in section 804 of this act shall, and every county may, establish and operate a therapeutic court component for dependency proceedings designed to be effective for the court's size, location, and resources. A county with a drug court for criminal cases or with a mental health court may include a therapeutic court for dependency proceedings as a component of its existing program.

   (2) For the purposes of this section, "therapeutic court" means a court that has special calendars or dockets designed for the intense judicial supervision, coordination, and oversight of treatment provided to parents and families who have substance abuse or mental health problems and who are involved in the dependency and is designed to achieve a reduction in:

   (a) Child abuse and neglect;

   (b) Out-of-home placement of children;

   (c) Termination of parental rights; and

   (d) Substance abuse or mental health symptoms among parents or guardians and their children.

   (3) To the extent possible, the therapeutic court shall provide services for parents and families co-located with the court or as near to the court as practicable.

   (4) The department of social and health services shall furnish services to the therapeutic court unless a court contracts with providers outside of the department.

   (5) Any jurisdiction that receives a state appropriation to fund a therapeutic court must first exhaust all federal funding available for the development and operation of the therapeutic court and associated services.

   (6) Moneys allocated by the state for a therapeutic court must be used to supplement, not supplant, other federal, state, local, and private funding for court operations and associated services under this section.

    (7) Any county that establishes a therapeutic court or receives funds for an existing court under this section shall:

    (a) Establish minimum requirements for the participation in the program; and

    (b) Develop an evaluation component of the court, including tracking the success rates in graduating from treatment, reunifying parents with their children, and the costs and benefits of the court.

    Sec. 504. RCW 2.28.170 and 2002 c 290 s 13 are each amended to read as follows:

    (1) Counties may establish and operate drug courts.

    (2) For the purposes of this section, "drug court" means a court that has special calendars or dockets designed to achieve a reduction in recidivism and substance abuse among nonviolent, substance abusing felony and nonfelony offenders by increasing their likelihood for successful rehabilitation through early, continuous, and intense judicially supervised treatment; mandatory periodic drug testing; and the use of appropriate sanctions and other rehabilitation services.

    (3)(a) Any jurisdiction that seeks a state appropriation to fund a drug court program must first:

    (i) Exhaust all federal funding ((received from the office of national drug control policy)) that is available to support the operations of its drug court and associated services; and

    (ii) Match, on a dollar-for-dollar basis, state moneys allocated for drug court programs with local cash or in-kind resources. Moneys allocated by the state must be used to supplement, not supplant, other federal, state, and local funds for drug court operations and associated services.

    (b) Any county that establishes a drug court pursuant to this section shall establish minimum requirements for the participation of offenders in the program. The drug court may adopt local requirements that are more stringent than the minimum. The minimum requirements are:

    (i) The offender would benefit from substance abuse treatment;

    (ii) The offender has not previously been convicted of a serious violent offense or sex offense as defined in RCW 9.94A.030; and

    (iii) Without regard to whether proof of any of these elements is required to convict, the offender is not currently charged with or convicted of an offense:

    (A) That is a sex offense;

    (B) That is a serious violent offense;

    (C) During which the defendant used a firearm; or

    (D) During which the defendant caused substantial or great bodily harm or death to another person.

 

Regional Jails

 

    NEW SECTION. Sec. 505. (1) The joint legislative audit and review committee shall investigate and assess whether there are existing facilities in the state that could be converted to use as a regional jail for offenders who have mental or chemical dependency disorders, or both, that need specialized housing and treatment arrangements.

    (2) The joint legislative audit and review committee shall consider the feasibility of using at least the following facilities or types of facilities:

    (a) State-owned or operated facilities; and

    (b) Closed or abandoned nursing homes.

    (3) The analysis shall include an assessment of when such facilities could be available for use as a regional jail and the potential costs, costs avoided, and benefits of at least the following considerations:

    (a) Any impact on existing offenders or residents;


   (b) The conversion of the facilities;

   (c) Infrastructure tied to the facilities;

   (d) Whether the facility is, or can be, sized proportionately to the available pool of offenders;

   (e) Changes in criminal justice costs, including transport, access to legal assistance, and access to courts;

   (f) Reductions in jail populations; and

   (g) Changes in treatment costs for these offenders.

   (4) The joint legislative audit and review committee shall report its findings and recommendations to the appropriate committees of the legislature not later than December 15, 2005.

 

Competency and Criminal Insanity

 

   NEW SECTION. Sec. 506. By January 1, 2006, the department of social and health services shall:

   (1) Reduce the waiting times for competency evaluation and restoration to the maximum extent possible using funds appropriated for this purpose; and

   (2) Report to the legislature with an analysis of several alternative strategies for addressing increases in forensic population and minimizing waiting periods for competency evaluation and restoration. The report shall discuss, at a minimum, the costs and advantages of, and barriers to co-locating professional persons in jails, performing restoration treatment in less restrictive alternatives than the state hospitals, and the use of regional jail facilities to accomplish competency evaluation and restoration.

 

ESSB 6358 Implementation Issues

 

   Sec. 507. RCW 71.05.157 and 2004 c 166 s 16 are each amended to read as follows:

   (1) When a ((county)) designated mental health professional is notified by a jail that a defendant or offender who was subject to a discharge review under RCW 71.05.232 is to be released to the community, the ((county)) designated mental health professional shall evaluate the person within seventy-two hours of release.

   (2) When an offender is under court-ordered treatment in the community and the supervision of the department of corrections, and the treatment provider becomes aware that the person is in violation of the terms of the court order, the treatment provider shall notify the ((county)) designated mental health professional and the department of corrections of the violation and request an evaluation for purposes of revocation of the less restrictive alternative.

   (3) When a ((county)) designated mental health professional becomes aware that an offender who is under court-ordered treatment in the community and the supervision of the department of corrections is in violation of a treatment order or a condition of supervision that relates to public safety, or the ((county)) designated mental health professional detains a person under this chapter, the ((county)) designated mental health professional shall notify the person's treatment provider and the department of corrections.

   (4) When an offender who is confined in a state correctional facility or is under supervision of the department of corrections in the community is subject to a petition for involuntary treatment under this chapter, the petitioner shall notify the department of corrections and the department of corrections shall provide documentation of its risk assessment or other concerns to the petitioner and the court if the department of corrections classified the offender as a high risk or high needs offender.

    (5) Nothing in this section creates a duty on any treatment provider or ((county)) designated mental health professional to provide offender supervision.

    NEW SECTION. Sec. 508. A new section is added to chapter 70.96A RCW to read as follows:

    (1) Treatment providers shall inquire of each person seeking treatment, at intake, whether the person is subject to court ordered mental health or chemical dependency treatment, whether civil or criminal, and document the person's response in his or her record. If the person is in treatment on the effective date of this section, and the treatment provider has not inquired whether the person is subject to court ordered mental health or chemical dependency treatment, the treatment provider shall inquire on the person's next treatment session and document the person's response in his or her record.

    (2) Treatment providers shall inquire of each person seeking treatment, at intake, whether the person is subject to supervision of any kind by the department of corrections and document the person's response in his or her record. If the person is in treatment on the effective date of this section, and the treatment provider has not inquired whether the person is subject to supervision of any kind by the department of corrections, the treatment provider shall inquire on the person's next treatment session and document the person's response in his or her record.

    (3) For all persons who are subject to both court ordered mental health or chemical dependency treatment and supervision by the department of corrections, the treatment provider shall request an authorization to release records and notify the person that, unless expressly excluded by the court order the law requires treatment providers to share information with the department of corrections and the person's mental health treatment provider.

    (4) If the treatment provider has reason to believe that a person is subject to supervision by the department of corrections but the person's record does not indicate that he or she is, the treatment provider may call any department of corrections office and provide the person's name and birth date. If the person is subject to supervision, the treatment provider shall request, and the department of corrections shall provide, the name and contact information for the person's community corrections officer.

 

PART VI

BEST PRACTICES AND COLLABORATION

 

    NEW SECTION. Sec. 601. (1) The department of social and health services, in consultation with the members of the team charged with developing the state plan for co-occurring mental and substance abuse disorders, shall adopt, not later than January 1, 2006, an integrated and comprehensive screening and assessment process for chemical dependency and mental disorders and co-occurring chemical dependency and mental disorders.

    (a) The process adopted shall include, at a minimum:

    (i) An initial screening tool that can be used by intake personnel system-wide and which will identify the most common types of co-occurring disorders;

    (ii) An assessment process for those cases in which assessment is indicated that provides an appropriate degree of assessment for most situations, which can be expanded for complex situations;

    (iii) Identification of triggers in the screening that indicate the need to begin an assessment;

    (iv) Identification of triggers after or outside the screening that indicate a need to begin or resume an assessment;


   (v) The components of an assessment process and a protocol for determining whether part or all of the assessment is necessary, and at what point; and

   (vi) Emphasis that the process adopted under this section is to replace and not to duplicate existing intake, screening, and assessment tools and processes.

   (b) The department shall consider existing models, including those already adopted by other states, and to the extent possible, adopt an established, proven model.

   (c) The integrated, comprehensive screening and assessment process shall be implemented statewide by all chemical dependency and mental health treatment providers as well as all designated mental health professionals, designated chemical dependency specialists, and designated crisis responders not later than January 1, 2007.

   (2) The department shall provide adequate training to effect statewide implementation by the dates designated in this section and shall report the rates of co-occurring disorders and the stage of screening or assessment at which the co-occurring disorder was identified to the appropriate committees of the legislature.

   (3) The department shall establish contractual penalties to contracted treatment providers, the regional support networks, and their contracted providers for failure to implement the integrated screening and assessment process by July 1, 2007.

   NEW SECTION. Sec. 602. The department of corrections shall, to the extent that resources are available for this purpose, utilize the integrated, comprehensive screening and assessment process for chemical dependency and mental disorders developed under section 601 of this act.

   NEW SECTION. Sec. 603. A new section is added to chapter 71.24 RCW to read as follows:

   (1) By June 30, 2006, the department shall develop and implement a matrix or set of matrices for providing services based on the following principles:

   (a) Maximizing evidence-based practices where these practices exist; where no evidence-based practice exists, the use of research-based practices, including but not limited to, the adaptation of evidence-based practices to new situations; where no evidence-based or research-based practices exist the use of consensus-based practices; and, to the extent that funds are available, the use of promising practices;

   (b) Maximizing the person's independence, recovery, and employment by consideration of the person's strengths and supports in the community;

   (c) Maximizing the person's participation in treatment decisions including, where possible, the person's awareness of, and technical assistance in preparing, mental health advance directives; and

   (d) Collaboration with consumer-based support programs.

   (2) The matrix or set of matrices shall include both adults and children and persons with co-occurring mental and substance abuse disorders and shall build on the service intensity quadrant models that have been developed in this state.

   (3)(a) The matrix or set of matrices shall be developed in collaboration with experts in evidence-based practices for mental disorders, chemical dependency disorders, and co-occurring mental and chemical dependency disorders at the University of Washington, and in consultation with representatives of the regional support networks, community mental health providers, county chemical dependency coordinators, chemical dependency providers, consumers, family advocates, and community inpatient providers.

    (b) The matrix or set of matrices shall, to the extent possible, adopt or utilize materials already prepared by the department or by other states.

    (4)(a) The department shall require, by contract with the regional support networks, that providers maximize the use of evidence-based, research-based, and consensus-based practices and document the percentage of clients enrolled in evidence-based, research-based, and consensus-based programs by program type.

    (b) The department shall establish a schedule by which regional support networks and providers must adopt the matrix or set of matrices and a schedule of penalties for failure to adopt and implement the matrices. The department may act against the regional support networks or providers or both to enforce the provisions of this section and shall provide the appropriate committees of the legislature with the schedules adopted under this subsection by June 30, 2006.

    (5) The following definitions apply to this section:

    (a) "Evidence-based" means a program or practice that has had multiple site random controlled trials across heterogeneous populations demonstrating that the program or practice is effective for the population.

    (b) "Research-based" means a program or practice that has some research demonstrating effectiveness, but that does not yet meet the standard of evidence-based practices.

    (c) "Consensus-based" means a program or practice that has general support among treatment providers and experts, based on experience or professional literature, and may have anecdotal or case study support, or that is agreed but not possible to perform studies with random assignment and controlled groups.

    (d) "Promising practice" means a practice that presents, based on preliminary information, potential for becoming a research-based or consensus-based practice.

    NEW SECTION. Sec. 604. A new section is added to chapter 71.02 RCW to read as follows:

    (1) The department of social and health services shall collaborate with community providers of mental health services, early learning and child care providers, child serving agencies, and child-placing agencies to identify and utilize federal, state, and local services and providers for children in out-of-home care and other populations of vulnerable children who are in need of an evaluation and treatment for mental health services and do not qualify for medicaid or treatment services through the regional support networks.

    (2) If no appropriate mental health services are available through federal, state, or local services and providers for a child described in subsection (1) of this section, the regional support network must provide a child, at a minimum, with a mental health evaluation consistent with chapter 71.24 RCW.

    (3) The department, in collaboration with the office of the superintendent of public instruction, local providers, local school districts, and the regional support networks, shall identify and review existing programs and services as well as the unmet need for programs and services serving birth to five and school-aged children who exhibit early signs of behavioral or mental health disorders and who are not otherwise eligible for services through the regional support networks. The review of programs and services shall include, but not be limited to, the utilization and effectiveness of early intervention or prevention services and the primary intervention programs.

    The department of social and health services shall provide a briefing on the collaboration's findings and recommendations to the appropriate committee of the legislature by December 31, 2005.

   NEW SECTION. Sec. 605. The Washington state institute for public policy shall study the net short-run and long-run fiscal savings to state and local governments of implementing evidence-based treatment of chemical dependency disorders, mental disorders, and co-occurring mental and substance abuse disorders. The institute shall use the results from its 2004 report entitled "Benefits and Costs of Prevention and Early Intervention Programs for Youth" and its work on effective adult corrections programs to project total fiscal impacts under alternative implementation scenarios. In addition to fiscal outcomes, the institute shall estimate the long-run effects that an evidence-based strategy could have on statewide education, crime, child abuse and neglect, substance abuse, and economic outcomes. The institute shall provide an interim report to the appropriate committees of the legislature by January 1, 2006, and a final report by June 30, 2006.

 

PART VII

REPEALERS AND CROSS-REFERENCE CORRECTIONS

 

   NEW SECTION. Sec. 701. The following acts or parts of acts are each repealed on the effective date of section 107 of this act:

   (1) RCW 71.05.060 (Rights of persons complained against) and 1973 1st ex.s. c 142 s 11;

   (2) RCW 71.05.070 (Prayer treatment) and 1973 1st ex.s. c 142 s 12;

   (3) RCW 71.05.090 (Choice of physicians) and 1973 2nd ex.s. c 24 s 3 & 1973 1st ex.s. c 142 s 14;

   (4) RCW 71.05.200 (Notice and statement of rights--Probable cause hearing) and 1998 c 297 s 11, 1997 c 112 s 14, 1989 c 120 s 5, 1974 ex.s. c 145 s 13, & 1973 1st ex.s. c 142 s 25;

   (5) RCW 71.05.250 (Probable cause hearing--Detained person's rights--Waiver of privilege--Limitation--Records as evidence) and 1989 c 120 s 7, 1987 c 439 s 6, 1974 ex.s. c 145 s 17, & 1973 1st ex.s. c 142 s 30;

   (6) RCW 71.05.450 (Competency--Effect--Statement of Washington law) and 1994 sp.s. c 7 s 440 & 1973 1st ex.s. c 142 s 50;

   (7) RCW 71.05.460 (Right to counsel) and 1997 c 112 s 33 & 1973 1st ex.s. c 142 s 51;

   (8) RCW 71.05.470 (Right to examination) and 1997 c 112 s 34 & 1973 1st ex.s. c 142 s 52;

   (9) RCW 71.05.480 (Petitioning for release--Writ of habeas corpus) and 1974 ex.s. c 145 s 29 & 1973 1st ex.s. c 142 s 53; and

   (10) RCW 71.05.490 (Rights of persons committed before January 1, 1974) and 1997 c 112 s 35 & 1973 1st ex.s. c 142 s 54.

   NEW SECTION. Sec. 702. The following acts or parts of acts are each repealed on the effective date of section 109 of this act:

   (1) RCW 71.05.155 (Request to mental health professional by law enforcement agency for investigation under RCW 71.05.150--Advisory report of results) and 1997 c 112 s 9 & 1979 ex.s. c 215 s 10;

   (2) RCW 71.05.395 (Application of uniform health care information act, chapter 70.02 RCW) and 1993 c 448 s 8;

   (3) RCW 71.05.400 (Release of information to patient's next of kin, attorney, guardian, conservator--Notification of patient's death) and 1993 c 448 s 7, 1974 ex.s. c 115 s 1, 1973 2nd ex.s. c 24 s 6, & 1973 1st ex.s. c 142 s 45;

   (4) RCW 71.05.410 (Notice of disappearance of patient) and 1997 c 112 s 32, 1973 2nd ex.s. c 24 s 7, & 1973 1st ex.s. c 142 s 46; and

    (5) RCW 71.05.430 (Statistical data) and 1973 1st ex.s. c 142 s 48.

    NEW SECTION. Sec. 703. RCW 71.05.610 (Treatment records--Definitions) and 1989 c 205 s 11 are each repealed on the effective date of sections 104 through 106 of this act.

    NEW SECTION. Sec. 704. The following acts or parts of acts are each repealed:

    (1) RCW 71.05.650 (Treatment records--Notation of and access to released data) and 1989 c 205 s 15; and

    (2) RCW 71.05.670 (Treatment records--Violations--Civil action) and 1999 c 13 s 10.

    Sec. 705. RCW 5.60.060 and 2001 c 286 s 2 are each amended to read as follows:

    (1) A husband shall not be examined for or against his wife, without the consent of the wife, nor a wife for or against her husband without the consent of the husband; nor can either during marriage or afterward, be without the consent of the other, examined as to any communication made by one to the other during marriage. But this exception shall not apply to a civil action or proceeding by one against the other, nor to a criminal action or proceeding for a crime committed by one against the other, nor to a criminal action or proceeding against a spouse if the marriage occurred subsequent to the filing of formal charges against the defendant, nor to a criminal action or proceeding for a crime committed by said husband or wife against any child of whom said husband or wife is the parent or guardian, nor to a proceeding under chapter 70.96A, 70.-- (sections 202 through 216 of this act), 71.05, or 71.09 RCW: PROVIDED, That the spouse of a person sought to be detained under chapter 70.96A, 70.--(sections 202 through 216 of this act), 71.05, or 71.09 RCW may not be compelled to testify and shall be so informed by the court prior to being called as a witness.

    (2)(a) An attorney or counselor shall not, without the consent of his or her client, be examined as to any communication made by the client to him or her, or his or her advice given thereon in the course of professional employment.

    (b) A parent or guardian of a minor child arrested on a criminal charge may not be examined as to a communication between the child and his or her attorney if the communication was made in the presence of the parent or guardian. This privilege does not extend to communications made prior to the arrest.

    (3) A member of the clergy or a priest shall not, without the consent of a person making the confession, be examined as to any confession made to him or her in his or her professional character, in the course of discipline enjoined by the church to which he or she belongs.

    (4) Subject to the limitations under RCW 70.96A.140 or ((71.05.250)) 71.05.360 (8) and (9), a physician or surgeon or osteopathic physician or surgeon or podiatric physician or surgeon shall not, without the consent of his or her patient, be examined in a civil action as to any information acquired in attending such patient, which was necessary to enable him or her to prescribe or act for the patient, except as follows:

    (a) In any judicial proceedings regarding a child's injury, neglect, or sexual abuse or the cause thereof; and

    (b) Ninety days after filing an action for personal injuries or wrongful death, the claimant shall be deemed to waive the physician- patient privilege. Waiver of the physician-patient privilege for any one physician or condition constitutes a waiver of the privilege as to all physicians or conditions, subject to such limitations as a court may impose pursuant to court rules.


   (5) A public officer shall not be examined as a witness as to communications made to him or her in official confidence, when the public interest would suffer by the disclosure.

   (6)(a) A peer support group counselor shall not, without consent of the law enforcement officer making the communication, be compelled to testify about any communication made to the counselor by the officer while receiving counseling. The counselor must be designated as such by the sheriff, police chief, or chief of the Washington state patrol, prior to the incident that results in counseling. The privilege only applies when the communication was made to the counselor while acting in his or her capacity as a peer support group counselor. The privilege does not apply if the counselor was an initial responding officer, a witness, or a party to the incident which prompted the delivery of peer support group counseling services to the law enforcement officer.

   (b) For purposes of this section, "peer support group counselor" means a:

   (i) Law enforcement officer, or civilian employee of a law enforcement agency, who has received training to provide emotional and moral support and counseling to an officer who needs those services as a result of an incident in which the officer was involved while acting in his or her official capacity; or

   (ii) Nonemployee counselor who has been designated by the sheriff, police chief, or chief of the Washington state patrol to provide emotional and moral support and counseling to an officer who needs those services as a result of an incident in which the officer was involved while acting in his or her official capacity.

   (7) A sexual assault advocate may not, without the consent of the victim, be examined as to any communication made by the victim to the sexual assault advocate.

   (a) For purposes of this section, "sexual assault advocate" means the employee or volunteer from a rape crisis center, victim assistance unit, program, or association, that provides information, medical or legal advocacy, counseling, or support to victims of sexual assault, who is designated by the victim to accompany the victim to the hospital or other health care facility and to proceedings concerning the alleged assault, including police and prosecution interviews and court proceedings.

   (b) A sexual assault advocate may disclose a confidential communication without the consent of the victim if failure to disclose is likely to result in a clear, imminent risk of serious physical injury or death of the victim or another person. Any sexual assault advocate participating in good faith in the disclosing of records and communications under this section shall have immunity from any liability, civil, criminal, or otherwise, that might result from the action. In any proceeding, civil or criminal, arising out of a disclosure under this section, the good faith of the sexual assault advocate who disclosed the confidential communication shall be presumed.

   Sec. 706. RCW 18.83.110 and 1989 c 271 s 303 are each amended to read as follows:

   Confidential communications between a client and a psychologist shall be privileged against compulsory disclosure to the same extent and subject to the same conditions as confidential communications between attorney and client, but this exception is subject to the limitations under RCW 70.96A.140 and ((71.05.250)) 71.05.360 (8) and (9).

   Sec. 707. RCW 18.225.105 and 2003 c 204 s 1 are each amended to read as follows:

   A person licensed under this chapter shall not disclose the written acknowledgment of the disclosure statement pursuant to RCW 18.225.100, nor any information acquired from persons consulting the individual in a professional capacity when the information was necessary to enable the individual to render professional services to those persons except:

    (1) With the written authorization of that person or, in the case of death or disability, the person's personal representative;

    (2) If the person waives the privilege by bringing charges against the person licensed under this chapter;

    (3) In response to a subpoena from the secretary. The secretary may subpoena only records related to a complaint or report under RCW 18.130.050;

    (4) As required under chapter 26.44 or 74.34 RCW or RCW ((71.05.250)) 71.05.360 (8) and (9); or

    (5) To any individual if the person licensed under this chapter reasonably believes that disclosure will avoid or minimize an imminent danger to the health or safety of the individual or any other individual; however, there is no obligation on the part of the provider to so disclose.

    Sec. 708. RCW 71.05.235 and 2000 c 74 s 6 are each amended to read as follows:

    (1) If an individual is referred to a ((county)) designated mental health professional under RCW 10.77.090(1)(d)(iii)(A), the ((county)) designated mental health professional shall examine the individual within forty-eight hours. If the ((county)) designated mental health professional determines it is not appropriate to detain the individual or petition for a ninety-day less restrictive alternative under RCW 71.05.230(4), that decision shall be immediately presented to the superior court for hearing. The court shall hold a hearing to consider the decision of the ((county)) designated mental health professional not later than the next judicial day. At the hearing the superior court shall review the determination of the ((county)) designated mental health professional and determine whether an order should be entered requiring the person to be evaluated at an evaluation and treatment facility. No person referred to an evaluation and treatment facility may be held at the facility longer than seventy-two hours.

    (2) If an individual is placed in an evaluation and treatment facility under RCW 10.77.090(1)(d)(iii)(B), a professional person shall evaluate the individual for purposes of determining whether to file a ninety-day inpatient or outpatient petition under chapter 71.05 RCW. Before expiration of the seventy-two hour evaluation period authorized under RCW 10.77.090(1)(d)(iii)(B), the professional person shall file a petition or, if the recommendation of the professional person is to release the individual, present his or her recommendation to the superior court of the county in which the criminal charge was dismissed. The superior court shall review the recommendation not later than forty-eight hours, excluding Saturdays, Sundays, and holidays, after the recommendation is presented. If the court rejects the recommendation to unconditionally release the individual, the court may order the individual detained at a designated evaluation and treatment facility for not more than a seventy-two hour evaluation and treatment period and direct the individual to appear at a surety hearing before that court within seventy-two hours, or the court may release the individual but direct the individual to appear at a surety hearing set before that court within eleven days, at which time the prosecutor may file a petition under this chapter for ninety-day inpatient or outpatient treatment. If a petition is filed by the prosecutor, the court may order that the person named in the petition be detained at the evaluation and treatment facility that performed the evaluation under this subsection or order the respondent to be in outpatient treatment. If a petition is filed but the individual fails to appear in court for the surety hearing, the court shall order that a mental health professional or peace officer shall take such person or cause such person to be taken into custody and placed in an evaluation and treatment facility to be brought before the court the next judicial day after detention. Upon the individual's first appearance in court after a petition has been filed, proceedings under RCW 71.05.310 and 71.05.320 shall commence. For an individual subject to this subsection, the prosecutor or professional person may directly file a petition for ninety-day inpatient or outpatient treatment and no petition for initial detention or fourteen-day detention is required before such a petition may be filed.

   The court shall conduct the hearing on the petition filed under this subsection within five judicial days of the date the petition is filed. The court may continue the hearing upon the written request of the person named in the petition or the person's attorney, for good cause shown, which continuance shall not exceed five additional judicial days. If the person named in the petition requests a jury trial, the trial shall commence within ten judicial days of the date of the filing of the petition. The burden of proof shall be by clear, cogent, and convincing evidence and shall be upon the petitioner. The person shall be present at such proceeding, which shall in all respects accord with the constitutional guarantees of due process of law and the rules of evidence pursuant to RCW ((71.05.250)) 71.05.360 (8) and (9).

   During the proceeding the person named in the petition shall continue to be detained and treated until released by order of the court. If no order has been made within thirty days after the filing of the petition, not including any extensions of time requested by the detained person or his or her attorney, the detained person shall be released.

   (3) If a ((county)) designated mental health professional or the professional person and prosecuting attorney for the county in which the criminal charge was dismissed or attorney general, as appropriate, stipulate that the individual does not present a likelihood of serious harm or is not gravely disabled, the hearing under this section is not required and the individual, if in custody, shall be released.

   (4) The individual shall have the rights specified in RCW ((71.05.250)) 71.05.360 (8) and (9).

   Sec. 709. RCW 71.05.310 and 1987 c 439 s 9 are each amended to read as follows:

   The court shall conduct a hearing on the petition for ninety day treatment within five judicial days of the first court appearance after the probable cause hearing. The court may continue the hearing upon the written request of the person named in the petition or the person's attorney, for good cause shown, which continuance shall not exceed five additional judicial days. If the person named in the petition requests a jury trial, the trial shall commence within ten judicial days of the first court appearance after the probable cause hearing. The burden of proof shall be by clear, cogent, and convincing evidence and shall be upon the petitioner. The person shall be present at such proceeding, which shall in all respects accord with the constitutional guarantees of due process of law and the rules of evidence pursuant to RCW ((71.05.250)) 71.05.360 (8) and (9).

   During the proceeding, the person named in the petition shall continue to be treated until released by order of the superior court. If no order has been made within thirty days after the filing of the petition, not including extensions of time requested by the detained person or his or her attorney, the detained person shall be released.

   Sec. 710. RCW 71.05.425 and 2000 c 94 s 10 are each 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 conditional release, final release, authorized leave under RCW 71.05.325(2), or transfer to a facility other than a state mental hospital, the superintendent shall send written notice of conditional release, release, authorized leave, or transfer of a person committed under RCW 71.05.280(3) or 71.05.320(2)(c) following dismissal of a sex, violent, or felony harassment offense pursuant to RCW 10.77.090(4) to the following:

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

    (ii) The sheriff of the county in which the person will reside.

    (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 person committed under RCW 71.05.280(3) or 71.05.320(2)(c) following dismissal of a sex, violent, or felony harassment offense pursuant to RCW 10.77.090(4):

    (i) The victim of the sex, violent, or felony harassment offense that was dismissed pursuant to RCW 10.77.090(4) preceding commitment under RCW 71.05.280(3) or 71.05.320(2)(c) or the victim's next of kin if the crime was a homicide;

    (ii) Any witnesses who testified against the person in any court proceedings; 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 person committed under this chapter.

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

    (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) If a person committed under RCW 71.05.280(3) or 71.05.320(2)(c) following dismissal of a sex, violent, or felony harassment offense pursuant to RCW 10.77.090(4) escapes, the superintendent 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 person resided immediately before the person's arrest. If previously requested, the superintendent shall also notify the witnesses and the victim of the sex, violent, or felony harassment offense that was dismissed pursuant to RCW 10.77.090(4) preceding commitment under RCW 71.05.280(3) or 71.05.320(2) or the victim's next of kin if the crime was a homicide. In addition, the secretary shall also notify appropriate parties pursuant to RCW ((71.05.410)) 71.05.390(18). If the person is recaptured, the superintendent 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.

    (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 parent or legal guardian of the child.

    (4) The superintendent 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) 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) "Next of kin" means a person's spouse, parents, siblings, and children;

   (d) "Felony harassment offense" means a crime of harassment as defined in RCW 9A.46.060 that is a felony.

   Sec. 711. RCW 71.05.445 and 2004 c 166 s 4 are each amended to read as follows:

   (1) The definitions in this subsection apply throughout this section unless the context clearly requires otherwise.

   (a) "Information related to mental health services" means all information and records compiled, obtained, or maintained in the course of providing services to either voluntary or involuntary recipients of services by a mental health service provider. This may include documents of legal proceedings under this chapter or chapter 71.34 or 10.77 RCW, or somatic health care information.

   (b) "Mental health service provider" means a public or private agency that provides services to persons with mental disorders as defined under RCW 71.05.020 and receives funding from public sources. This includes evaluation and treatment facilities as defined in RCW 71.05.020, community mental health service delivery systems, or community mental health programs as defined in RCW 71.24.025, and facilities conducting competency evaluations and restoration under chapter 10.77 RCW.

   (2)(a) Information related to mental health services delivered to a person subject to chapter 9.94A or 9.95 RCW shall be released, upon request, by a mental health service provider to department of corrections personnel for whom the information is necessary to carry out the responsibilities of their office. The information must be provided only for the purposes of completing presentence investigations or risk assessment reports, supervision of an incarcerated offender or offender under supervision in the community, planning for and provision of supervision of an offender, or assessment of an offender's risk to the community. The request shall be in writing and shall not require the consent of the subject of the records.

   (b) If an offender subject to chapter 9.94A or 9.95 RCW has failed to report for department of corrections supervision or in the event of an emergent situation that poses a significant risk to the public or the offender, information related to mental health services delivered to the offender and, if known, information regarding where the offender is likely to be found shall be released by the mental health services provider to the department of corrections upon request. The initial request may be written or oral. All oral requests must be subsequently confirmed in writing. Information released in response to an oral request is limited to a statement as to whether the offender is or is not being treated by the mental health services provider and the address or information about the location or whereabouts of the offender. Information released in response to a written request may include information identified by rule as provided in subsections (4) and (5) of this section. For purposes of this subsection a written request includes requests made by e-mail or facsimile so long as the requesting person at the department of corrections is clearly identified. The request must specify the information being requested. Disclosure of the information requested does not require the consent of the subject of the records unless the offender has received relief from disclosure under RCW 9.94A.562, 70.96A.155, or 71.05.132.

   (3)(a) When a mental health service provider conducts its initial assessment for a person receiving court-ordered treatment, the service provider shall inquire and shall be told by the offender whether he or she is subject to supervision by the department of corrections.

    (b) When a person receiving court-ordered treatment or treatment ordered by the department of corrections discloses to his or her mental health service provider that he or she is subject to supervision by the department of corrections, the mental health services provider shall notify the department of corrections that he or she is treating the offender and shall notify the offender that his or her community corrections officer will be notified of the treatment, provided that if the offender has received relief from disclosure pursuant to RCW 9.94A.562, 70.96A.155, or 71.05.132 and the offender has provided the mental health services provider with a copy of the order granting relief from disclosure pursuant to RCW 9.94A.562, 70.96A.155, or 71.05.132, the mental health services provider is not required to notify the department of corrections that the mental health services provider is treating the offender. The notification may be written or oral and shall not require the consent of the offender. If an oral notification is made, it must be confirmed by a written notification. For purposes of this section, a written notification includes notification by e-mail or facsimile, so long as the notifying mental health service provider is clearly identified.

    (4) The information to be released to the department of corrections shall include all relevant records and reports, as defined by rule, necessary for the department of corrections to carry out its duties, including those records and reports identified in subsection (2) of this section.

    (5) The department and the department of corrections, in consultation with regional support networks, mental health service providers as defined in subsection (1) of this section, mental health consumers, and advocates for persons with mental illness, shall adopt rules to implement the provisions of this section related to the type and scope of information to be released. These rules shall:

    (a) Enhance and facilitate the ability of the department of corrections to carry out its responsibility of planning and ensuring community protection with respect to persons subject to sentencing under chapter 9.94A or 9.95 RCW, including accessing and releasing or disclosing information of persons who received mental health services as a minor; and

    (b) Establish requirements for the notification of persons under the supervision of the department of corrections regarding the provisions of this section.

    (6) The information received by the department of corrections under this section shall remain confidential and subject to the limitations on disclosure outlined in chapter 71.05 RCW, except as provided in RCW 72.09.585.

    (7) No mental health service provider or individual employed by a mental health service provider shall be held responsible for information released to or used by the department of corrections under the provisions of this section or rules adopted under this section except under RCW ((71.05.670 and)) 71.05.440.

    (8) Whenever federal law or federal regulations restrict the release of information contained in the treatment records of any patient who receives treatment for alcoholism or drug dependency, the release of the information may be restricted as necessary to comply with federal law and regulations.

    (9) This section does not modify the terms and conditions of disclosure of information related to sexually transmitted diseases under chapter 70.24 RCW.

    (10) The department shall, subject to available resources, electronically, or by the most cost-effective means available, provide the department of corrections with the names, last dates of services, and addresses of specific regional support networks and mental health service providers that delivered mental health services to a person subject to chapter 9.94A or 9.95 RCW pursuant to an agreement between the departments.

   Sec. 712. RCW 71.05.640 and 2000 c 94 s 11 are each amended to read as follows:

   (1) Procedures shall be established by resource management services to provide reasonable and timely access to individual treatment records. However, access may not be denied at any time to records of all medications and somatic treatments received by the individual.

   (2) Following discharge, the individual shall have a right to a complete record of all medications and somatic treatments prescribed during evaluation, admission, or commitment and to a copy of the discharge summary prepared at the time of his or her discharge. A reasonable and uniform charge for reproduction may be assessed.

   (3) Treatment records may be modified prior to inspection to protect the confidentiality of other patients or the names of any other persons referred to in the record who gave information on the condition that his or her identity remain confidential. Entire documents may not be withheld to protect such confidentiality.

   (4) At the time of discharge all individuals shall be informed by resource management services of their rights as provided in RCW ((71.05.610)) 71.05.620 through 71.05.690.

   Sec. 713. RCW 71.05.680 and 1999 c 13 s 11 are each amended to read as follows:

   Any person who requests or obtains confidential information pursuant to RCW ((71.05.610)) 71.05.620 through 71.05.690 under false pretenses shall be guilty of a gross misdemeanor.

   Sec. 714. RCW 71.05.690 and 1999 c 13 s 12 are each amended to read as follows:

   The department shall adopt rules to implement RCW ((71.05.610)) 71.05.620 through 71.05.680.

   Sec. 715. RCW 71.24.035 and 2001 c 334 s 7 and 2001 c 323 s 10 are each reenacted and amended to read as follows:

   (1) The department is designated as the state mental health authority.

   (2) The secretary shall provide for public, client, and licensed service provider participation in developing the state mental health program, developing contracts with regional support networks, and any waiver request to the federal government under medicaid.

   (3) The secretary shall provide for participation in developing the state mental health program for children and other underserved populations, by including representatives on any committee established to provide oversight to the state mental health program.

   (4) The secretary shall be designated as the county authority if a county fails to meet state minimum standards or refuses to exercise responsibilities under RCW 71.24.045.

   (5) The secretary shall:

   (a) Develop a biennial state mental health program that incorporates county biennial needs assessments and county mental health service plans and state services for mentally ill adults and children. The secretary may also develop a six-year state mental health plan;

   (b) Assure that any regional or county community mental health program provides access to treatment for the county's residents in the following order of priority: (i) The acutely mentally ill; (ii) chronically mentally ill adults and severely emotionally disturbed children; and (iii) the seriously disturbed. Such programs shall provide:

   (A) Outpatient services;

   (B) Emergency care services for twenty-four hours per day;

    (C) Day treatment for mentally ill persons which includes training in basic living and social skills, supported work, vocational rehabilitation, and day activities. Such services may include therapeutic treatment. In the case of a child, day treatment includes age-appropriate basic living and social skills, educational and prevocational services, day activities, and therapeutic treatment;

    (D) Screening for patients being considered for admission to state mental health facilities to determine the appropriateness of admission;

    (E) Employment services, which may include supported employment, transitional work, placement in competitive employment, and other work-related services, that result in mentally ill persons becoming engaged in meaningful and gainful full or part-time work. Other sources of funding such as the division of vocational rehabilitation may be utilized by the secretary to maximize federal funding and provide for integration of services;

    (F) Consultation and education services; and

    (G) Community support services;

    (c) Develop and adopt rules establishing state minimum standards for the delivery of mental health services pursuant to RCW 71.24.037 including, but not limited to:

    (i) Licensed service providers. The secretary shall provide for deeming of compliance with state minimum standards for those entities accredited by recognized behavioral health accrediting bodies recognized and having a current agreement with the department;

    (ii) Regional support networks; and

    (iii) Inpatient services, evaluation and treatment services and facilities under chapter 71.05 RCW, resource management services, and community support services;

    (d) Assure that the special needs of minorities, the elderly, disabled, children, and low-income persons are met within the priorities established in this section;

    (e) Establish a standard contract or contracts, consistent with state minimum standards, which shall be used in contracting with regional support networks or counties. The standard contract shall include a maximum fund balance, which shall not exceed ten percent;

    (f) Establish, to the extent possible, a standardized auditing procedure which minimizes paperwork requirements of county authorities and licensed service providers. The audit procedure shall focus on the outcomes of service and not the processes for accomplishing them;

    (g) Develop and maintain an information system to be used by the state, counties, and regional support networks that includes a tracking method which allows the department and regional support networks to identify mental health clients' participation in any mental health service or public program on an immediate basis. The information system shall not include individual patient's case history files. Confidentiality of client information and records shall be maintained as provided in this chapter and in RCW 71.05.390, ((71.05.400, 71.05.410,)) 71.05.420, ((71.05.430,)) and 71.05.440. The design of the system and the data elements to be collected shall be reviewed by the work group appointed by the secretary under section 5(1) of this act and representing the department, regional support networks, service providers, consumers, and advocates. The data elements shall be designed to provide information that is needed to measure performance and achieve the service outcomes ((identified in section 5 of this act));

    (h) License service providers who meet state minimum standards;


   (i) Certify regional support networks that meet state minimum standards;

   (j) Periodically monitor the compliance of certified regional support networks and their network of licensed service providers for compliance with the contract between the department, the regional support network, and federal and state rules at reasonable times and in a reasonable manner;

   (k) Fix fees to be paid by evaluation and treatment centers to the secretary for the required inspections;

   (l) Monitor and audit counties, regional support networks, and licensed service providers as needed to assure compliance with contractual agreements authorized by this chapter; and

   (m) Adopt such rules as are necessary to implement the department's responsibilities under this chapter.

   (6) The secretary shall use available resources only for regional support networks.

   (7) Each certified regional support network and licensed service provider shall file with the secretary, on request, such data, statistics, schedules, and information as the secretary reasonably requires. A certified regional support network or licensed service provider which, without good cause, fails to furnish any data, statistics, schedules, or information as requested, or files fraudulent reports thereof, may have its certification or license revoked or suspended.

   (8) The secretary may suspend, revoke, limit, or restrict a certification or license, or refuse to grant a certification or license for failure to conform to: (a) The law; (b) applicable rules and regulations; (c) applicable standards; or (d) state minimum standards.

   (9) The superior court may restrain any regional support network or service provider from operating without certification or a license or any other violation of this section. The court may also review, pursuant to procedures contained in chapter 34.05 RCW, any denial, suspension, limitation, restriction, or revocation of certification or license, and grant other relief required to enforce the provisions of this chapter.

   (10) Upon petition by the secretary, and after hearing held upon reasonable notice to the facility, the superior court may issue a warrant to an officer or employee of the secretary authorizing him or her to enter at reasonable times, and examine the records, books, and accounts of any regional support network or service provider refusing to consent to inspection or examination by the authority.

   (11) Notwithstanding the existence or pursuit of any other remedy, the secretary may file an action for an injunction or other process against any person or governmental unit to restrain or prevent the establishment, conduct, or operation of a regional support network or service provider without certification or a license under this chapter.

   (12) The standards for certification of evaluation and treatment facilities shall include standards relating to maintenance of good physical and mental health and other services to be afforded persons pursuant to this chapter and chapters 71.05 and 71.34 RCW, and shall otherwise assure the effectuation of the purposes of these chapters.

   (13)(a) The department, in consultation with affected parties, shall establish a distribution formula that reflects county needs assessments based on the number of persons who are acutely mentally ill, chronically mentally ill, severely emotionally disturbed children, and seriously disturbed. The formula shall take into consideration the impact on counties of demographic factors in counties which result in concentrations of priority populations as set forth in subsection (5)(b) of this section. These factors shall include the population concentrations resulting from commitments under chapters 71.05 and 71.34 RCW to state psychiatric hospitals, as well as concentration in urban areas, at border crossings at state boundaries, and other significant demographic and workload factors.

    (b) The formula shall also include a projection of the funding allocations that will result for each county, which specifies allocations according to priority populations, including the allocation for services to children and other underserved populations.

    (c) After July 1, 2003, the department may allocate up to two percent of total funds to be distributed to the regional support networks for incentive payments to reward the achievement of superior outcomes, or significantly improved outcomes, as measured by a statewide performance measurement system consistent with the framework recommended in the joint legislative audit and review committee's performance audit of the mental health system. The department shall annually report to the legislature on its criteria and allocation of the incentives provided under this subsection.

    (14) The secretary shall assume all duties assigned to the nonparticipating counties under chapters 71.05, 71.34, and 71.24 RCW. Such responsibilities shall include those which would have been assigned to the nonparticipating counties under regional support networks.

    The regional support networks, or the secretary's assumption of all responsibilities under chapters 71.05, 71.34, and 71.24 RCW, shall be included in all state and federal plans affecting the state mental health program including at least those required by this chapter, the medicaid program, and P.L. 99-660. Nothing in these plans shall be inconsistent with the intent and requirements of this chapter.

    (15) The secretary shall:

    (a) Disburse funds for the regional support networks within sixty days of approval of the biennial contract. The department must either approve or reject the biennial contract within sixty days of receipt.

    (b) Enter into biennial contracts with regional support networks. The contracts shall be consistent with available resources. No contract shall be approved that does not include progress toward meeting the goals of this chapter by taking responsibility for: (i) Short-term commitments; (ii) residential care; and (iii) emergency response systems.

    (c) Allocate one hundred percent of available resources to the regional support networks in accordance with subsection (13) of this section. Incentive payments authorized under subsection (13) of this section may be allocated separately from other available resources.

    (d) Notify regional support networks of their allocation of available resources at least sixty days prior to the start of a new biennial contract period.

    (e) Deny funding allocations to regional support networks based solely upon formal findings of noncompliance with the terms of the regional support network's contract with the department. Written notice and at least thirty days for corrective action must precede any such action. In such cases, regional support networks shall have full rights to appeal under chapter 34.05 RCW.

    (16) The department, in cooperation with the state congressional delegation, shall actively seek waivers of federal requirements and such modifications of federal regulations as are necessary to allow federal medicaid reimbursement for services provided by free-standing evaluation and treatment facilities certified under chapter 71.05 RCW. The department shall periodically report its efforts to the appropriate committees of the senate and the house of representatives.

 

PART VIII

MISCELLANEOUS PROVISIONS

 

   NEW SECTION. Sec. 801. RCW 71.05.035 is recodified as a new section in chapter 71A.12 RCW.

   NEW SECTION. Sec. 802. A new section is added to chapter 43.20A RCW to read as follows:

   Beginning July 1, 2007, the secretary shall require, in the contracts the department negotiates pursuant to chapters 71.24 and 70.96A RCW, that any vendor rate increases provided for mental health and chemical dependency treatment providers or programs who are parties to the contract or subcontractors of any party to the contract shall be prioritized to those providers and programs that maximize the use of evidence-based and research-based practices, as those terms are defined in section 603 of this act, unless otherwise designated by the legislature.

   NEW SECTION. Sec. 803. A new section is added to chapter 71.24 RCW to read as follows:

   The department shall require each regional support network to provide for a separately funded mental health ombudsman office in each regional support network that is independent of the regional support network. The ombudsman office shall maximize the use of consumer advocates.

   NEW SECTION. Sec. 804. A new section is added to chapter 82.14 RCW to read as follows:

   (1) A county legislative authority may authorize, fix, and impose a sales and use tax in accordance with the terms of this chapter.

   (2) The tax authorized in this section shall be in addition to any other taxes authorized by law and shall be collected from those persons who are taxable by the state under chapters 82.08 and 82.12 RCW upon the occurrence of any taxable event within the county. The rate of tax shall equal one-tenth of one percent of the selling price in the case of a sales tax, or value of the article used, in the case of a use tax.

   (3) Moneys collected under this section shall be used solely for the purpose of providing new or expanded chemical dependency or mental health treatment services and for the operation of new or expanded therapeutic court programs. Moneys collected under this section shall not be used to supplant existing funding for these purposes.

   NEW SECTION. Sec. 805. A new section is added to chapter 71.24 RCW to read as follows:

   The department may establish new regional support network boundaries in any part of the state where more than one network chooses not to respond to, or is unable to substantially meet the requirements of, the request for qualifications under 2005 c . . . (Engrossed Second Substitute House Bill No. 1290, as amended by the Senate) s 4 or where a regional support network is subject to reprocurement under 2005 c . . . (Engrossed Second Substitute House Bill No. 1290, as amended by the Senate) s 6. The department may establish no fewer than eight and no more than fourteen regional support networks under this chapter. No entity shall be responsible for more than three regional support networks.

   NEW SECTION. Sec. 806. 2005 c ... (Engrossed Second Substitute House Bill No. 1290, as amended by the Senate) s 5 is hereby repealed.

   NEW SECTION. Sec. 807. 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. 808. This act shall be so applied and construed as to effectuate its general purpose to make uniform the law with respect to the subject of this act among those states which enact it.

    NEW SECTION. Sec. 809. Captions, part headings, and subheadings used in this act are not part of the law.

    NEW SECTION. Sec. 810. If specific funding for the purposes of sections 203, 217, 220, 301, 303, 305, 505, 601, and 605 of this act, referencing the section by section number and by bill or chapter number, is not provided by June 30, 2005, each section not referenced is null and void.

    NEW SECTION. Sec. 811. (1) The code reviser shall alphabetize and renumber the definitions, and correct any internal references affected by this act.

    (2) The code reviser shall replace all references to "county designated mental health professional" with "designated mental health professional" in the Revised Code of Washington.

    NEW SECTION. Sec. 812. (1) The secretary of the department of social and health services may adopt rules as necessary to implement the provisions of this act.

    (2) The secretary of corrections may adopt rules as necessary to implement the provisions of this act.

    NEW SECTION. Sec. 813. (1) Except for section 503 of this act, 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 takes effect July 1, 2005.

    (2) Section 503 of this act takes effect July 1, 2006."

    On page 1, line 2 of the title, after "2005;" strike the remainder of the title and insert "amending RCW 71.05.020, 71.24.025, 10.77.010, 71.05.360, 71.05.420, 71.05.620, 71.05.630, 71.05.640, 71.05.660, 71.05.550, 2.28.170, 71.05.157, 5.60.060, 18.83.110, 18.225.105, 71.05.235, 71.05.310, 71.05.425, 71.05.445, 71.05.640, 71.05.680, and 71.05.690; reenacting and amending RCW 71.05.390 and 71.24.035; adding new sections to chapter 71.05 RCW; adding new sections to chapter 70.96A RCW; adding a new section to chapter 13.34 RCW; adding new sections to chapter 2.28 RCW; adding a new section to chapter 26.12 RCW; adding new sections to chapter 71.24 RCW; adding a new section to chapter 71.02 RCW; adding a new section to chapter 71A.12 RCW; adding a new section to chapter 43.20A RCW; adding a new section to chapter 82.14 RCW; adding new chapters to Title 70 RCW; creating new sections; recodifying RCW 71.05.370 and 71.05.035; repealing RCW 71.05.060, 71.05.070, 71.05.090, 71.05.200, 71.05.250, 71.05.450, 71.05.460, 71.05.470, 71.05.480, 71.05.490, 71.05.155, 71.05.395, 71.05.400, 71.05.410, 71.05.430, 71.05.610, 71.05.650, and 71.05.670; repealing 2005 c ... (E2SHB 1290) s 5; prescribing penalties; providing effective dates; providing expiration dates; and declaring an emergency."

And the bill do pass as recommended by the conference committee.

    Signed by Senators Haugen and Regala; Representatives Cody and Green.

 

MOTION

 

Senator Hargrove moved the Report of the Conference Committee on Engrossed Second Substitute Senate Bill No. 5763 be adopted.

      Senators Hargrove and Brandland spoke in favor of the motion.


      The President declared the question before the Senate to be the motion by Senator Hargrove that the Report of the Conference Committee on Engrossed Second Substitute Senate Bill No. 5763 be adopted.

The motion by Senator Hargrove carried and the Report of the Conference Committee was adopted by voice vote.

 

MOTION

 

      On motion of Senator Regala, Senator Brown was excused.

 

The President declared the question before the Senate to be the final passage of Engrossed Second Substitute Senate Bill No. 5763, as recommended by the Conference Committee.

 

ROLL CALL

 

      The Secretary called the roll on the final passage of Engrossed Second Substitute Senate Bill No. 5763, as recommended by the Conference Committee, and the bill passed the Senate by the following vote: Yeas, 32; Nays, 16; Absent, 0; Excused, 1.

      Voting yea: Senators Berkey, Brandland, Brown, Delvin, Doumit, Eide, Fairley, Franklin, Fraser, Hargrove, Haugen, Jacobsen, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, Oke, Parlette, Pflug, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Rockefeller, Schmidt, Sheldon, Shin, Spanel, Thibaudeau and Weinstein - 32

      Voting nay: Senators Benson, Carrell, Deccio, Esser, Finkbeiner, Hewitt, Honeyford, Johnson, McCaslin, Morton, Mulliken, Roach, Schoesler, Stevens, Swecker and Zarelli - 16

      Excused: Senator Benton - 1

ENGROSSED SECOND SUBSTITUTE SENATE BILL NO. 5763, as recommended by the Conference Committee, having received the constitutional majority, was declared passed. There being no objection, the title of the bill was ordered to stand as the title of the act.

 

PERSONAL PRIVILEGE

 

Senator Brandland: “I know that some of you have been looking at me rather strange today, looking at this tie. It’s purple. It’s got a Husky on it. I think you deserve an explanation. I actually thought today was ugly tie day, so my apologies.”

 

MESSAGE FROM THE HOUSE

 

April 21, 2005

 

MR. PRESIDENT:

 

The Speaker has signed:

      SUBSTITUTE SENATE BILL NO. 5902,

      SUBSTITUTE SENATE BILL NO. 5914,

      SUBSTITUTE SENATE BILL NO. 5939,

      SENATE BILL NO. 5948,

      SUBSTITUTE SENATE BILL NO. 5951,

      ENGROSSED SENATE BILL NO. 5962,

      SENATE BILL NO. 5979,

      ENGROSSED SUBSTITUTE SENATE BILL NO. 5983,

      SUBSTITUTE SENATE BILL NO. 5992,

      ENGROSSED SUBSTITUTE SENATE BILL NO. 5997,

      SUBSTITUTE SENATE BILL NO. 5999,

      SUBSTITUTE SENATE BILL NO. 6014,

      SUBSTITUTE SENATE BILL NO. 6022,

      SENATE BILL NO. 6033,

      SUBSTITUTE SENATE BILL NO. 6037,

      ENGROSSED SUBSTITUTE SENATE BILL NO. 6050,

      SENATE BILL NO. 6097,

      ENGROSSED SUBSTITUTE SENATE JOINT MEMORIAL NO. 8010,

and the same are herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MESSAGE FROM THE HOUSE

 

April 21, 2005

 

MR. PRESIDENT:

 

The Speaker has signed:

      SENATE BILL NO. 5254,

      SUBSTITUTE SENATE BILL NO. 5256,

      SUBSTITUTE SENATE BILL NO. 5266,

      SENATE BILL NO. 5274,

      ENGROSSED SUBSTITUTE SENATE BILL NO. 5308,

      SENATE BILL NO. 5311,

      SENATE BILL NO. 5321,

      ENGROSSED SENATE BILL NO. 5355,

      ENGROSSED SENATE BILL NO. 5381,

      ENGROSSED SUBSTITUTE SENATE BILL NO. 5395,

      ENGROSSED SUBSTITUTE SENATE BILL NO. 5396,

      ENGROSSED SENATE BILL NO. 5418,

      ENGROSSED SENATE BILL NO. 5423,

      ENGROSSED SECOND SUBSTITUTE SENATE BILL NO. 5441,

      SUBSTITUTE SENATE BILL NO. 5449,

      ENGROSSED SUBSTITUTE SENATE BILL NO. 5470,

      SUBSTITUTE SENATE BILL NO. 5492,

      SENATE BILL NO. 5522,

      SUBSTITUTE SENATE BILL NO. 5558,

      SENATE BILL NO. 5565,

      ENGROSSED SUBSTITUTE SENATE BILL NO. 5577,

and the same are herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MESSAGE FROM THE HOUSE

 

April 21, 2005

 

MR. PRESIDENT:

 

The Speaker has signed:

      ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 1794,

      SUBSTITUTE HOUSE BILL NO. 1798,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1799,

      HOUSE BILL NO. 1837,

      ENGROSSED HOUSE BILL NO. 1848,

      SUBSTITUTE HOUSE BILL NO. 1895,

      SUBSTITUTE HOUSE BILL NO. 1934,

      SUBSTITUTE HOUSE BILL NO. 1938,

      SECOND SUBSTITUTE HOUSE BILL NO. 1970,

      SUBSTITUTE HOUSE BILL NO. 1987,

      ENGROSSED HOUSE BILL NO. 1998,

      ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 2015,

      SUBSTITUTE HOUSE BILL NO. 2073,

      SUBSTITUTE HOUSE BILL NO. 2081,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 2097,

      SUBSTITUTE HOUSE BILL NO. 2156,


      ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 2163,

      SUBSTITUTE HOUSE BILL NO. 2169,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 2171,

      ENGROSSED HOUSE BILL NO. 2185,

      SECOND SUBSTITUTE HOUSE BILL NO. 2212,

      ENGROSSED HOUSE CONCURRENT RESOLUTION NO. 4404,

      ENGROSSED HOUSE CONCURRENT RESOLUTION NO. 4410,

and the same are herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MESSAGE FROM THE HOUSE

 

April 22, 2005

 

MR. PRESIDENT:

 

The Speaker has signed:

      HOUSE BILL NO. 1008,

      SUBSTITUTE HOUSE BILL NO. 1058,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1062,

      ENGROSSED HOUSE BILL NO. 1187,

      SECOND SUBSTITUTE HOUSE BILL NO. 1188,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1539,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1635,

      SECOND SUBSTITUTE HOUSE BILL NO. 1758,

and the same are herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

SIGNED BY THE PRESIDENT

 

The President signed:

      ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 1794,

      SUBSTITUTE HOUSE BILL NO. 1798,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1799,

      HOUSE BILL NO. 1837,

      ENGROSSED HOUSE BILL NO. 1848,

      SUBSTITUTE HOUSE BILL NO. 1895,

      SUBSTITUTE HOUSE BILL NO. 1934,

      SUBSTITUTE HOUSE BILL NO. 1938,

      SECOND SUBSTITUTE HOUSE BILL NO. 1970,

      SUBSTITUTE HOUSE BILL NO. 1987,

      ENGROSSED HOUSE BILL NO. 1998,

      ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 2015,

      SUBSTITUTE HOUSE BILL NO. 2073,

      SUBSTITUTE HOUSE BILL NO. 2081,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 2097,

      SUBSTITUTE HOUSE BILL NO. 2156,

      ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 2163,

      SUBSTITUTE HOUSE BILL NO. 2169,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 2171,

      ENGROSSED HOUSE BILL NO. 2185,

      SECOND SUBSTITUTE HOUSE BILL NO. 2212,

      ENGROSSED HOUSE CONCURRENT RESOLUTION NO. 4404,

      ENGROSSED HOUSE CONCURRENT RESOLUTION NO. 4410.

 

The President signed:

      HOUSE BILL NO. 1008,

      SUBSTITUTE HOUSE BILL NO. 1058,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1062,

      ENGROSSED HOUSE BILL NO. 1187,

      SECOND SUBSTITUTE HOUSE BILL NO. 1188,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1539,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1635,

      SECOND SUBSTITUTE HOUSE BILL NO. 1758.

 

MOTION

 

      On motion of Senator Eide, the Senate advanced to the sixth order of business.

 

SECOND READING

 

      SENATE BILL NO. 5287, by Senator Prentice

 

      An Act relating to house-banked social card game provisions.

 

MOTIONS

 

      On motion of Senator Prentice, Substitute Senate Bill No. 5287 was substituted for Senate Bill No. 5287 and the substitute bill was placed on the second reading and read the second time.

 

      Senator Zarelli moved that the following striking amendment by Senators Prentice and Zarelli be adopted:

      Strike everything after the enacting clause and insert the following:

      "Sec. 1. RCW 9.46.295 and 1974 ex.s. c 155 s 6 are each amended to read as follows:

      (1) Any license to engage in any of the gambling activities authorized by this chapter ((as now exists or as hereafter amended)), and issued under the authority thereof shall be legal authority to engage in the gambling activities for which issued throughout the incorporated and unincorporated area of any county, except that:

      (a) The commission shall neither issue nor renew any license to engage in a house-banked card game except in a location specified in a license to conduct a house-banked card game approved pursuant to subsection (4) of this section, or that, as of March 10, 2005:

      (i) Is approved by the commission, is in effect, and is not subsequently a license at issue in an application for relocation submitted pursuant to subsection (4) of this section; or

      (ii) Has been submitted to and has not subsequently been denied by the commission;

      (b) A licensee authorized to engage in house-banked card games pursuant to a license described in (a) of this subsection may continue to engage only in gambling activity authorized under the license unless, on the renewal date of the license, the city, town, city-county, or county with jurisdiction over the location identified in the license has in effect an ordinance, resolution, or other legislative act adopted pursuant to (c) of this subsection prohibiting such gambling activity; and

      (c) A city located therein with respect to that city, or a county with respect to all areas within that county except for such cities, may absolutely prohibit((, but may not change the scope of license,)) any or all of the gambling activities for which the license was issued.

      (2) Nothing in this section authorizes any city, town, city-county, or county to adopt or enforce any ordinance, resolution, or other legislative act changing or purporting to change any provision within the scope of a license issued under this chapter.

      (3) For purposes of this section, an ordinance, resolution, or other legislative act that:

      (a) Prohibits all house-banked card games within the applicable jurisdiction on and after the effective date of the legislative act, or on and after any other date specified in the legislative act, shall be deemed to be an act adopted in compliance with subsection (1)(c) of this section;

      (b) Allows any house-banked card games to continue to operate within the applicable jurisdiction for an indefinite period after the effective date of the legislative act, or after another date, if any, specified in the legislative act, shall be deemed to be an act not in compliance with subsection (1)(c) of this section, and is null and void.

      (4) The commission may issue or renew a license to engage in a house-banked card game in a location specified in an application submitted pursuant to rules adopted by the commission to relocate a licensed premise, if:

      (a)(i) The licensed premise proposed to be relocated was, as of March 10, 2005, in a location where a house-banked card game was licensed to be conducted; (ii) the application for approval to be relocated is submitted to the commission on or before July 1, 2010; and (iii) the location to which the applicant requests to be relocated is within the geographic boundaries of the same jurisdiction in which the licensee is authorized by the commission to operate on the date the application is submitted;

      (b) The city, town, city-county, or county in which the licensee described in (a) of this subsection is licensed by the commission to operate adopts an ordinance or resolution unequivocally approving and supporting the licensee's request to relocate: (i) By at least a sixty percent majority vote of the members of the jurisdiction's legislative body; and (ii) within ninety days of the date the application described in (a) of this subsection is submitted; and

      (c) The commission approves the application to relocate with at least a sixty percent majority vote of the voting members of the commission.

      (5) The commission shall not approve an application submitted pursuant to subsection (4) of this section if the licensee: (a) Has previously applied to relocate the premise; or (b) does not meet any existing standard required to obtain or retain a license to engage in a house-banked card game.

      (6) An application to relocate a licensed premise under subsection (4) of this section shall not be approved, and if previously approved, the license to engage in a house-banked card game at such location shall be revoked and not subsequently issued or renewed in any location, if the licensee who submitted the application under subsection (4) of this section, or any director, officer, or other substantial interest holder of the licensed gambling activity, pleads guilty to or is found guilty of any crime constituting, or if prosecuted under the laws of Washington would constitute, a class A, B, or C felony under RCW 9A.20.021 or 9A.20.040 or Title 9 RCW, arising out of any act or acts that occurred at any time the licensee held a license issued by the commission.

      Sec. 2. RCW 9.46.070 and 2002 c 119 s 1 are each amended to read as follows:

      The commission shall have the following powers and duties:

      (1) To authorize and issue licenses for a period not to exceed one year to bona fide charitable or nonprofit organizations approved by the commission meeting the requirements of this chapter and any rules ((and regulations)) adopted pursuant thereto permitting said organizations to conduct bingo games, raffles, amusement games, and social card games, to utilize punch boards and pull-tabs in accordance with the provisions of this chapter and any rules ((and regulations)) adopted pursuant thereto and to revoke or suspend said licenses for violation of any provisions of this chapter or any rules ((and regulations)) adopted pursuant thereto((: PROVIDED, That)). However, except as provided in RCW 9.46.295, the commission shall not deny a license to an otherwise qualified applicant in an effort to limit the number of licenses to be issued((: PROVIDED FURTHER, That)). The commission or director shall not issue, deny, suspend, or revoke any license because of considerations of race, sex, creed, color, or national origin((: AND PROVIDED FURTHER, That)). The commission may authorize the director to temporarily issue or suspend licenses subject to final action by the commission;

      (2) To authorize and issue licenses for a period not to exceed one year to any person, association, or organization operating a business primarily engaged in the selling of items of food or drink for consumption on the premises, approved by the commission meeting the requirements of this chapter and any rules ((and regulations)) adopted pursuant thereto permitting said person, association, or organization to utilize punch boards and pull-tabs and to conduct social card games as a commercial stimulant in accordance with the provisions of this chapter and any rules ((and regulations)) adopted pursuant thereto and to revoke or suspend said licenses for violation of any provisions of this chapter and any rules ((and regulations)) adopted pursuant thereto((: PROVIDED, That)). However, except as provided in RCW 9.46.295, the commission shall not deny a license to an otherwise qualified applicant in an effort to limit the number of licenses to be issued((: PROVIDED FURTHER, That)). The commission may authorize the director to temporarily issue or suspend licenses subject to final action by the commission;

      (3) To authorize and issue licenses for a period not to exceed one year to any person, association, or organization approved by the commission meeting the requirements of this chapter and meeting the requirements of any rules and regulations adopted by the commission pursuant to this chapter as now or hereafter amended, permitting said person, association, or organization to conduct or operate amusement games in such manner and at such locations as the commission may determine;

      (4) To authorize, require, and issue, for a period not to exceed one year, such licenses as the commission may by rule provide, to any person, association, or organization to engage in the selling, distributing, or otherwise supplying or in the manufacturing of devices for use within this state for those activities authorized by this chapter;

      (5) To establish a schedule of annual license fees for carrying on specific gambling activities upon the premises, and for such other activities as may be licensed by the commission, which fees shall provide to the commission not less than an amount of money adequate to cover all costs incurred by the commission relative to licensing under this chapter and the enforcement by the commission of the provisions of this chapter and rules and regulations adopted pursuant thereto: PROVIDED, That all licensing fees shall be submitted with an application therefor and such portion of said fee as the commission may determine, based upon its cost of processing and investigation, shall be retained by the commission upon the withdrawal or denial of any such license application as its reasonable expense for processing the application and investigation into the granting thereof: PROVIDED FURTHER, That if in a particular case the basic license fee established by the commission for a particular class of license is less than the commission's actual expenses to investigate that particular application, the commission may at any time charge to that applicant such additional fees as are necessary to pay the commission for those costs. The commission may decline to proceed with its investigation and no license shall be issued until the commission has been fully paid therefor by the applicant: AND PROVIDED FURTHER, That the commission may establish fees for the furnishing by it to licensees of identification stamps to be affixed to such devices and equipment as required by the commission and for such other special services or programs required or offered by the commission, the amount of each of these fees to be not less than is adequate to offset the cost to the commission of the stamps and of administering their dispersal to licensees or the cost of administering such other special services, requirements or programs;

      (6) To prescribe the manner and method of payment of taxes, fees and penalties to be paid to or collected by the commission;

      (7) To require that applications for all licenses contain such information as may be required by the commission: PROVIDED, That all persons (a) having a managerial or ownership interest in any gambling activity, or the building in which any gambling activity occurs, or the equipment to be used for any gambling activity, or (b) participating as an employee in the operation of any gambling activity, shall be listed on the application for the license and the applicant shall certify on the application, under oath, that the persons named on the application are all of the persons known to have an interest in any gambling activity, building, or equipment by the person making such application: PROVIDED FURTHER, That the commission shall require fingerprinting and national criminal history background checks on any persons seeking licenses, certifications, or permits under this chapter or of any person holding an interest in any gambling activity, building, or equipment to be used therefor, or of any person participating as an employee in the operation of any gambling activity. All national criminal history background checks shall be conducted using fingerprints submitted to the United States department of justice-federal bureau of investigation. The commission must establish rules to delineate which persons named on the application are subject to national criminal history background checks. In identifying these persons, the commission must take into consideration the nature, character, size, and scope of the gambling activities requested by the persons making such applications;

      (8) To require that any license holder maintain records as directed by the commission and submit such reports as the commission may deem necessary;

      (9) To require that all income from bingo games, raffles, and amusement games be recorded and reported as established by rule or regulation of the commission to the extent deemed necessary by considering the scope and character of the gambling activity in such a manner that will disclose gross income from any gambling activity, amounts received from each player, the nature and value of prizes, and the fact of distributions of such prizes to the winners thereof;

      (10) To regulate and establish maximum limitations on income derived from bingo. In establishing limitations pursuant to this subsection the commission shall take into account (i) the nature, character, and scope of the activities of the licensee; (ii) the source of all other income of the licensee; and (iii) the percentage or extent to which income derived from bingo is used for charitable, as distinguished from nonprofit, purposes. However, the commission's powers and duties granted by this subsection are discretionary and not mandatory;

      (11) To regulate and establish the type and scope of and manner of conducting the gambling activities authorized by this chapter, including but not limited to, the extent of wager, money, or other thing of value which may be wagered or contributed or won by a player in any such activities;

      (12) To regulate the collection of and the accounting for the fee which may be imposed by an organization, corporation, or person licensed to conduct a social card game on a person desiring to become a player in a social card game in accordance with RCW 9.46.0282;

      (13) To cooperate with and secure the cooperation of county, city, and other local or state agencies in investigating any matter within the scope of its duties and responsibilities;

      (14) In accordance with RCW 9.46.080, to adopt such rules and regulations as are deemed necessary to carry out the purposes and provisions of this chapter. All rules and regulations shall be adopted pursuant to the administrative procedure act, chapter 34.05 RCW;

      (15) To set forth for the perusal of counties, city-counties, cities and towns, model ordinances by which any legislative authority thereof may enter into the taxing of any gambling activity authorized by this chapter;

      (16) To establish and regulate a maximum limit on salaries or wages which may be paid to persons employed in connection with activities conducted by bona fide charitable or nonprofit organizations and authorized by this chapter, where payment of such persons is allowed, and to regulate and establish maximum limits for other expenses in connection with such authorized activities, including but not limited to rent or lease payments. However, the commissioner's powers and duties granted by this subsection are discretionary and not mandatory.

      In establishing these maximum limits the commission shall take into account the amount of income received, or expected to be received, from the class of activities to which the limits will apply and the amount of money the games could generate for authorized charitable or nonprofit purposes absent such expenses. The commission may also take into account, in its discretion, other factors, including but not limited to, the local prevailing wage scale and whether charitable purposes are benefited by the activities;

      (17) To authorize, require, and issue for a period not to exceed one year such licenses or permits, for which the commission may by rule provide, to any person to work for any operator of any gambling activity authorized by this chapter in connection with that activity, or any manufacturer, supplier, or distributor of devices for those activities in connection with such business. The commission shall not require that persons working solely as volunteers in an authorized activity conducted by a bona fide charitable or bona fide nonprofit organization, who receive no compensation of any kind for any purpose from that organization, and who have no managerial or supervisory responsibility in connection with that activity, be licensed to do such work. The commission may require that licensees employing such unlicensed volunteers submit to the commission periodically a list of the names, addresses, and dates of birth of the volunteers. If any volunteer is not approved by the commission, the commission may require that the licensee not allow that person to work in connection with the licensed activity;

      (18) To publish and make available at the office of the commission or elsewhere to anyone requesting it a list of the commission licensees, including the name, address, type of license, and license number of each licensee;

      (19) To establish guidelines for determining what constitutes active membership in bona fide nonprofit or charitable organizations for the purposes of this chapter; and

      (20) To perform all other matters and things necessary to carry out the purposes and provisions of this chapter.

      NEW SECTION. Sec. 3. 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 takes effect immediately."

      Senators Zarelli and Prentice spoke in favor of adoption of the striking amendment.

      The President declared the question before the Senate to be the adoption of the striking amendment by Senators Prentice and Zarelli to Substitute Senate Bill No. 5287.

      The motion by Senator Zarelli carried and the striking amendment was adopted by voice vote.

 

MOTION

 

      There being no objection, the following title amendment was adopted:

      On page 1, line 1 of the title, after "games;" strike the remainder of the title and insert "amending RCW 9.46.295 and 9.46.070; and declaring an emergency."

 

MOTION

 

      On motion of Senator Zarelli, the rules were suspended, Engrossed Substitute Senate Bill No. 5287 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.


      Senator Zarelli spoke in favor of passage of the bill.

      The President declared the question before the Senate to be the final passage of Engrossed Substitute Senate Bill No. 5287.

 

ROLL CALL

 

      The Secretary called the roll on the final passage of Engrossed Substitute Senate Bill No. 5287 and the bill passed the Senate by the following vote: Yeas, 33; Nays, 16; Absent, 0; Excused, 0.

      Voting yea: Senators Benton, Berkey, Brown, Carrell, Doumit, Eide, Fairley, Finkbeiner, Franklin, Fraser, Hargrove, Haugen, Jacobsen, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, Oke, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Rockefeller, Schmidt, Sheldon, Shin, Spanel, Swecker, Thibaudeau, Weinstein and Zarelli - 33

      Voting nay: Senators Benson, Brandland, Deccio, Delvin, Esser, Hewitt, Honeyford, Johnson, McCaslin, Morton, Mulliken, Parlette, Pflug, Roach, Schoesler and Stevens - 16

      ENGROSSED SUBSTITUTE SENATE BILL NO. 5287, having received the constitutional majority, was declared passed. There being no objection, the title of the bill was ordered to stand as the title of the act.

 

MOTION

 

At 5:13 p.m., on motion of Senator Eide, the Senate was declared to be at recess until 6:45 p.m.

 

EVENING SESSION

 

The Senate was called to order at 6:45 p.m. by President Owen.

 

MOTION

 

      On motion of Senator Eide, the Senate reverted to the third order of business.

 

SECOND READING

CONFIRMATION OF GUBERNATORIAL REAPPOINTMENTS

 

MOTION

 

      Senator Franklin, moved that Gubernatorial Reappointment No. 9254, Merritt Long, as a member of the Liquor Control Board, be confirmed.

      Senator Franklin spoke in favor of the motion.

 

REAPPOINTMENT OF MERRITT LONG

 

The President declared the question before the Senate to be the confirmation of Gubernatorial Reappointment No. 9254, Merritt Long as a member of the Liquor Control Board.

 

      The Secretary called the roll on the confirmation of Gubernatorial Reappointment No. 9254, Merritt Long as a member of the Liquor Control Board and the appointment was confirmed by the following vote: Yeas, 25; Nays, 0; Absent, 24; Excused, 0.

      Voting yea: Senators Berkey, Brandland, Carrell, Doumit, Eide, Esser, Finkbeiner, Franklin, Fraser, Hewitt, Kastama, Keiser, Kline, Morton, Oke, Pflug, Poulsen, Pridemore, Rasmussen, Regala, Spanel, Swecker, Thibaudeau, Weinstein and Zarelli - 25

      Absent: Senators Benson, Benton, Brown, Deccio, Delvin, Fairley, Hargrove, Haugen, Honeyford, Jacobsen, Johnson, Kohl-Welles, McAuliffe, McCaslin, Mulliken, Parlette, Prentice, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin and Stevens - 24

Gubernatorial Reappointment No. 9254, Merritt Long, having received the constitutional majority was declared confirmed as a member of the Liquor Control Board.

 

SECOND READING

CONFIRMATION OF GUBERNATORIAL APPOINTMENTS

 

MOTION

 

      Senator Franklin, moved that Gubernatorial Appointment No. 9260, Helen McGovern, as a member of the Board of Trustees, Clover Park Technical College District No. 29, be confirmed.

      Senators Franklin and Regala spoke in favor of the motion.

 

MOTION

 

On motion of Senator Hewitt, Senators Benton, Deccio, Delvin, Honeyford, McCaslin, Mulliken, Parlette, Roach, Schoesler and Stevens was excused.

 

APPOINTMENT OF HELEN MCGOVERN

 

The President declared the question before the Senate to be the confirmation of Gubernatorial Appointment No. 9260, Helen McGovern as a member of the Board of Trustees, Clover Park Technical College District No. 29.

 

      The Secretary called the roll on the confirmation of Gubernatorial Appointment No. 9260, Helen McGovern as a member of the Board of Trustees, Clover Park Technical College District No. 29 and the appointment was confirmed by the following vote: Yeas, 36; Nays, 0; Absent, 9; Excused, 4.

      Voting yea: Senators Benson, Benton, Berkey, Brandland, Carrell, Doumit, Eide, Esser, Fairley, Finkbeiner, Franklin, Fraser, Hewitt, Honeyford, Jacobsen, Kastama, Kline, Kohl-Welles, Morton, Mulliken, Oke, Parlette, Pflug, Prentice, Pridemore, Rasmussen, Regala, Roach, Schmidt, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 36

      Absent: Senators Brown, Hargrove, Haugen, Johnson, Keiser, McAuliffe, Poulsen, Rockefeller and Sheldon - 9

      Excused: Senators Deccio, Delvin, McCaslin and Schoesler - 4

Gubernatorial Appointment No. 9260, Helen McGovern, having received the constitutional majority was declared confirmed as a member of the Board of Trustees, Clover Park Technical College District No. 29.

 

SECOND READING

CONFIRMATION OF GUBERNATORIAL APPOINTMENTS

 

MOTION

 

      Senator Fraser, moved that Gubernatorial Appointment No. 9287, David Danner, as a member of the Pollution Control/Shorelines Hearings Board, be confirmed.

      Senators Fraser and Esser spoke in favor of the motion.

 

MOTION

 


On motion of Senator Regala, Senator McAuliffe was excused.

 

APPOINTMENT OF DAVID DANNER

 

The President declared the question before the Senate to be the confirmation of Gubernatorial Appointment No. 9287, David Danner as a member of the Pollution Control/Shorelines Hearings Board.

 

      The Secretary called the roll on the confirmation of Gubernatorial Appointment No. 9287, David Danner as a member of the Pollution Control/Shorelines Hearings Board and the appointment was confirmed by the following vote: Yeas, 41; Nays, 0; Absent, 2; Excused, 6.

      Voting yea: Senators Benson, Benton, Berkey, Brandland, Brown, Carrell, Doumit, Eide, Esser, Fairley, Finkbeiner, Franklin, Fraser, Haugen, Hewitt, Honeyford, Jacobsen, Kastama, Kline, Kohl-Welles, Morton, Mulliken, Oke, Parlette, Pflug, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 41

      Absent: Senators Johnson and Keiser - 2

      Excused: Senators Deccio, Delvin, Hargrove, McAuliffe, McCaslin and Poulsen - 6

Gubernatorial Appointment No. 9287, David Danner, having received the constitutional majority was declared confirmed as a member of the Pollution Control/Shorelines Hearings Board.

 

MOTION

 

On motion of Senator Hewitt, Senator Johnson was excused.

 

SECOND READING

CONFIRMATION OF GUBERNATORIAL REAPPOINTMENTS

 

MOTION

 

      Senator Pridemore, moved that Gubernatorial Reappointment No. 9285, Michael Worthy, as a member of the Higher Education Coordinating Board, be confirmed.

      Senator Pridemore spoke in favor of the motion.

 

REAPPOINTMENT OF MICHAEL WORTHY

 

The President declared the question before the Senate to be the confirmation of Gubernatorial Reappointment No. 9285, Michael Worthy as a member of the Higher Education Coordinating Board.

 

      The Secretary called the roll on the confirmation of Gubernatorial Reappointment No. 9285, Michael Worthy as a member of the Higher Education Coordinating Board and the appointment was confirmed by the following vote: Yeas, 42; Nays, 0; Absent, 1; Excused, 6.

      Voting yea: Senators Benson, Benton, Berkey, Brandland, Brown, Carrell, Delvin, Doumit, Eide, Esser, Fairley, Finkbeiner, Franklin, Fraser, Haugen, Hewitt, Honeyford, Jacobsen, Kastama, Kline, Kohl-Welles, Morton, Mulliken, Oke, Parlette, Pflug, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 42

      Absent: Senator Keiser - 1

      Excused: Senators Deccio, Hargrove, Johnson, McAuliffe, McCaslin and Poulsen - 6

Gubernatorial Reappointment No. 9285, Michael Worthy, having received the constitutional majority was declared confirmed as a member of the Higher Education Coordinating Board.

 

SECOND READING

CONFIRMATION OF GUBERNATORIAL REAPPOINTMENTS

 

MOTION

 

      Senator Fraser, moved that Gubernatorial Reappointment No. 9236, Gary Christenson, as a member of the Horse Racing Commission, be confirmed.

      Senators Fraser and Rasmussen spoke in favor of the motion.

 

REAPPOINTMENT OF GARY CHRISTENSON

 

The President declared the question before the Senate to be the confirmation of Gubernatorial Reappointment No. 9236, Gary Christenson as a member of the Horse Racing Commission.

 

      The Secretary called the roll on the confirmation of Gubernatorial Reappointment No. 9236, Gary Christenson as a member of the Horse Racing Commission and the appointment was confirmed by the following vote: Yeas, 42; Nays, 0; Absent, 3; Excused, 4.

      Voting yea: Senators Benson, Benton, Berkey, Brandland, Brown, Carrell, Deccio, Delvin, Doumit, Eide, Esser, Fairley, Franklin, Fraser, Haugen, Hewitt, Honeyford, Jacobsen, Kline, Kohl-Welles, McAuliffe, Morton, Mulliken, Oke, Parlette, Pflug, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 42

      Absent: Senators Finkbeiner, Kastama and Keiser - 3

      Excused: Senators Hargrove, Johnson, McCaslin and Poulsen - 4

Gubernatorial Reappointment No. 9236, Gary Christenson, having received the constitutional majority was declared confirmed as a member of the Horse Racing Commission.

 

SECOND READING

CONFIRMATION OF GUBERNATORIAL REAPPOINTMENTS

 

MOTION

 

      Senator Kohl-Welles, moved that Gubernatorial Reappointment No. 9010, Rick S. Bender, as a member of the Work Force Training and Education Coordinating Board, be confirmed.

      Senator Kohl-Welles spoke in favor of the motion.

 

MOTION

 

      On motion of Senator Regala, Senator Keiser was excused.

 

REAPPOINTMENT OF RICK BENDER

 

The President declared the question before the Senate to be the confirmation of Gubernatorial Reappointment No. 9010, Rick S. Bender as a member of the Work Force Training and Education Coordinating Board.


 

      The Secretary called the roll on the confirmation of Gubernatorial Reappointment No. 9010, Rick S. Bender as a member of the Work Force Training and Education Coordinating Board and the appointment was confirmed by the following vote: Yeas, 36; Nays, 6; Absent, 2; Excused, 5.

      Voting yea: Senators Benson, Benton, Berkey, Brandland, Brown, Carrell, Delvin, Doumit, Eide, Esser, Fairley, Franklin, Fraser, Haugen, Hewitt, Jacobsen, Kline, Kohl-Welles, McAuliffe, Oke, Pflug, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 36

      Voting nay: Senators Finkbeiner, Honeyford, Morton, Mulliken, Parlette and Schoesler - 6

      Absent: Senators Deccio and Kastama - 2

      Excused: Senators Hargrove, Johnson, Keiser, McCaslin and Poulsen - 5

Gubernatorial Reappointment No. 9010, Rick S. Bender, having received the constitutional majority was declared confirmed as a member of the Work Force Training and Education Coordinating Board.

 

MOTION

 

      On motion of Senator Eide, the Senate advanced to the fifth order of business.

 

SECOND SUPPLEMENTAL AND FIRST READING

 

ESHB 2221        by House Committee on Finance (originally sponsored by Representatives Takko, Orcutt, Grant, Kristiansen, Williams, Strow, Blake, Bailey, Kenney, Haler and Linville)

 

AN ACT Relating to the excise taxation of fruit and vegetable processing and storage; amending RCW 82.08.820 and 82.12.820; reenacting and amending RCW 82.04.260; adding a new section to chapter 82.04 RCW; adding a new section to chapter 82.32 RCW; adding a new chapter to Title 82 RCW; providing effective dates; providing an expiration date; and declaring an emergency.

 

ESHB 2299        by House Committee on Capital Budget (originally sponsored by Representatives Dunshee and Jarrett)

 

AN ACT Relating to state general obligation bonds and related accounts; amending RCW 28B.14H.050, 39.53.120, 43.99K.030, and 67.40.060; adding a new chapter to Title 43 RCW; and declaring an emergency.

 

AN ACT Relating to state general obligation bonds and related accounts.

 

MOTION

 

      On motion of Senator Eide, the rules were suspended and all measures listed on the Second Supplemental Introduction and First Reading report were placed on the second reading calendar.

 

MOTION

 

      On motion of Senator Eide, the Senate reverted to the fourth order of business.

 

MESSAGE FROM THE HOUSE

 

April 22, 2005

 

MR. PRESIDENT:

The House has passed the following bill{s}:

      SUBSTITUTE SENATE BILL NO. 5615,

and the same is herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MESSAGE FROM THE HOUSE

 

April 22, 2005

 

MR. PRESIDENT:

 

      The House has passed the following bill{s}:

ENGROSSED SUBSTITUTE HOUSE BILL NO. 2221,

and the same is herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MESSAGE FROM THE HOUSE

 

April 21, 2005

 

MR. PRESIDENT:

 

The Speaker has signed:

      HOUSE BILL NO. 1002,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1031,

      HOUSE BILL NO. 1034,

      SUBSTITUTE HOUSE BILL NO. 1054,

      SUBSTITUTE HOUSE BILL NO. 1065,

      HOUSE BILL NO. 1108,

      HOUSE BILL NO. 1110,

      SUBSTITUTE HOUSE BILL NO. 1116,

      HOUSE BILL NO. 1124,

      HOUSE BILL NO. 1136,

      SUBSTITUTE HOUSE BILL NO. 1137,

      SUBSTITUTE HOUSE BILL NO. 1147,

      SUBSTITUTE HOUSE BILL NO. 1158,

      SECOND SUBSTITUTE HOUSE BILL NO. 1168,

      SUBSTITUTE HOUSE BILL NO. 1174,

      SUBSTITUTE HOUSE BILL NO. 1179,

      SUBSTITUTE HOUSE BILL NO. 1181,

      SUBSTITUTE HOUSE BILL NO. 1189,

      SECOND SUBSTITUTE HOUSE BILL NO. 1220,

      SUBSTITUTE HOUSE BILL NO. 1281,

      SUBSTITUTE HOUSE BILL NO. 1299,

and the same are herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

SIGNED BY THE PRESIDENT

 

The President signed:

      HOUSE BILL NO. 1002,

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 1031,

      HOUSE BILL NO. 1034,

      SUBSTITUTE HOUSE BILL NO. 1054,

      SUBSTITUTE HOUSE BILL NO. 1065,

      HOUSE BILL NO. 1108,

      HOUSE BILL NO. 1110,

      SUBSTITUTE HOUSE BILL NO. 1116,

      HOUSE BILL NO. 1124,


      HOUSE BILL NO. 1136,

      SUBSTITUTE HOUSE BILL NO. 1137,

      SUBSTITUTE HOUSE BILL NO. 1147,

      SUBSTITUTE HOUSE BILL NO. 1158,

      SECOND SUBSTITUTE HOUSE BILL NO. 1168,

      SUBSTITUTE HOUSE BILL NO. 1174,

      SUBSTITUTE HOUSE BILL NO. 1179,

      SUBSTITUTE HOUSE BILL NO. 1181,

      SUBSTITUTE HOUSE BILL NO. 1189,

      SECOND SUBSTITUTE HOUSE BILL NO. 1220,

      SUBSTITUTE HOUSE BILL NO. 1281,

      SUBSTITUTE HOUSE BILL NO. 1299.

 

MESSAGE FROM THE HOUSE

 

April 21, 2005

 

MR. PRESIDENT:

 

      The House refuses to concur in the Senate amendment(s) to SUBSTITUTE HOUSE BILL NO. 1893 and asks Senate to recede therefrom.

and the same is herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MOTION

 

      Senator McAuliffe moved that the Senate recede from its position on Substitute House Bill No. 1893.

      The President declared the question before the Senate to be motion by Senator McAuliffe that the Senate recede from its position on Substitute House Bill No. 1893.

      The motion by Senator McAuliffe carried and the Senate receded from its position on Substitute House Bill No. 1893 by voice vote.

 

MOTION

 

On motion of Senator McAuliffe, the rules were suspended and Substitute House Bill No. 1893 was returned to second reading for the purposes of amendment.

 

SECOND READING

 

      SUBSTITUTE HOUSE BILL NO. 1893, by House Committee on Education (originally sponsored by Representatives McDermott, Kenney and Dickerson)

 

      Providing for certification of teachers of the deaf and hard of hearing. Revised for 1st Substitute: Providing for a certification endorsement for teachers of the deaf and hard of hearing.

 

      The measure was read the second time.

 

MOTION

 

      Senator McAuliffe moved that the following striking amendment by Senators McAuliffe and Schmidt be adopted:

      Strike everything after the enacting clause and insert the following:

      "NEW SECTION. Sec. 1. The legislature finds that the quality of education for children who are deaf or hard of hearing and the expectations for those children's achievement should be equivalent to those for children throughout the state. The legislature also finds that deaf and hard of hearing children can benefit greatly if they are taught by an educator who is trained to understand the learning and communication issues the children face. Educators who received teacher training in a program for the deaf and hard of hearing are sensitive to the needs of deaf and hard of hearing students and are able to provide appropriate strategies to assist students in reacting to and interacting with their environment. The legislature intends to assist school districts in their efforts to attract teachers who are especially trained to work with deaf and hard of hearing students by directing the state board of education to establish a certification endorsement for teachers of the deaf and hard of hearing.

      NEW SECTION. Sec. 2. A new section is added to chapter 28A.410 RCW to read as follows:

      The agency responsible for teacher certification shall develop certification endorsement requirements for teachers of deaf and hard of hearing students. The endorsement shall be focused on the specific skills and knowledge necessary to serve the education and communication needs of deaf and hard of hearing students. In establishing rules for the endorsement of teachers who will be working almost exclusively with students who are deaf or hard of hearing, the agency shall consider applicants to have met state endorsement requirements if they possess a baccalaureate or master's degree in deaf education from a teacher training program approved by the council on education of the deaf."

      Senators McAuliffe and Mulliken spoke in favor of adoption of the striking amendment.

 

      The President declared the question before the Senate to be the adoption of the striking amendment by Senators McAuliffe and Schmidt to Substitute House Bill No. 1893.

      The motion by Senator McAuliffe carried and the striking amendment was adopted by voice vote.

 

MOTION

 

      There being no objection, the following title amendment was adopted:

      On page 1, line 2 of the title, after "hearing;" strike the remainder of the title and insert "adding a new section to chapter 28A.410 RCW; and creating a new section."

 

MOTION

 

      On motion of Senator McAuliffe, the rules were suspended, Substitute House Bill No. 1893, 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 final passage of Substitute House Bill No. 1893, as amended by the Senate.

 

ROLL CALL

 

      The Secretary called the roll on the final passage of Substitute House Bill No. 1893, as amended by the Senate and the bill passed the Senate by the following vote: Yeas, 41; Nays, 0; Absent, 5; Excused, 3.

      Voting yea: Senators Benson, Benton, Berkey, Brandland, Carrell, Deccio, Delvin, Eide, Esser, Fairley, Finkbeiner, Franklin, Fraser, Haugen, Hewitt, Jacobsen, Keiser, Kline, Kohl-Welles, McAuliffe, Morton, Mulliken, Oke, Parlette, Pflug, Poulsen, Prentice, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 41

      Absent: Senators Brown, Doumit, Honeyford, Kastama and Pridemore - 5

      Excused: Senators Hargrove, Johnson and McCaslin - 3


      SUBSTITUTE HOUSE BILL NO. 1893, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill was ordered to stand as the title of the act.

 

MOTION

 

      There being no objection, the Senate reverted to the fourth order of business.

 

MESSAGE FROM THE HOUSE

 

April 20, 2005

 

MR. PRESIDENT:

 

      The House refuses to concur in the Senate amendments to SECOND SUBSTITUTE HOUSE BILL NO. 1565 and asks Senate to recede therefrom.

and the same is herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MOTION

 

      Senator Haugen moved that the Senate recede from its position on Second Substitute House Bill No. 1565.

      The President declared the question before the Senate to be motion by Senator Haugen that the Senate recede from its position on Second Substitute House Bill No. 1565.

      The motion by Senator Haugen carried and the Senate receded from its position on Second Substitute House Bill No. 1565 by voice vote.

 

MOTION

 

On motion of Senator Haugen, the rules were suspended and Second Substitute House Bill No. 1565 was returned to second reading for the purposes of amendment.

 

SECOND READING

 

      SECOND SUBSTITUTE HOUSE BILL NO. 1565, by House Committee on Transportation (originally sponsored by Representatives Jarrett, Moeller, Tom, Simpson, Appleton, Linville, Sommers, Lantz and Dunshee)

 

      Addressing transportation concurrency strategies.

 

      The measure was read the second time.

 

MOTION

 

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

      Strike everything after the enacting clause and insert the following:

      "NEW SECTION. Sec. 3. A new section is added to chapter 36.70A RCW to read as follows:

      (1) The transportation element required by RCW 36.70A.070 may include, in addition to improvements or strategies to accommodate the impacts of development authorized under RCW 36.70A.070(6)(b), multimodal transportation improvements or strategies that are made concurrent with the development. These transportation improvements or strategies may include, but are not limited to, measures implementing or evaluating:

      (a) Multiple modes of transportation with peak and nonpeak hour capacity performance standards for locally owned transportation facilities; and

      (b) Modal performance standards meeting the peak and nonpeak hour capacity performance standards.

      (2) Nothing in this section or RCW 36.70A.070(6)(b) shall be construed as prohibiting a county or city planning under RCW 36.70A.040 from exercising existing authority to develop multimodal improvements or strategies to satisfy the concurrency requirements of this chapter.

      (3) Nothing in this section is intended to affect or otherwise modify the authority of jurisdictions planning under RCW 36.70A.040.

      Sec. 4. RCW 47.80.030 and 1998 c 171 s 9 are each amended to read as follows:

      (1) Each regional transportation planning organization shall develop in cooperation with the department of transportation, providers of public transportation and high capacity transportation, ports, and local governments within the region, adopt, and periodically update a regional transportation plan that:

      (a) Is based on a least cost planning methodology that identifies the most cost-effective facilities, services, and programs;

      (b) Identifies existing or planned transportation facilities, services, and programs, including but not limited to major roadways including state highways and regional arterials, transit and nonmotorized services and facilities, multimodal and intermodal facilities, marine ports and airports, railroads, and noncapital programs including transportation demand management that should function as an integrated regional transportation system, giving emphasis to those facilities, services, and programs that exhibit one or more of the following characteristics:

      (i) Crosses member county lines;

      (ii) Is or will be used by a significant number of people who live or work outside the county in which the facility, service, or project is located;

      (iii) Significant impacts are expected to be felt in more than one county;

      (iv) Potentially adverse impacts of the facility, service, program, or project can be better avoided or mitigated through adherence to regional policies;

      (v) Transportation needs addressed by a project have been identified by the regional transportation planning process and the remedy is deemed to have regional significance; and

      (vi) Provides for system continuity;

      (c) Establishes level of service standards for state highways and state ferry routes, with the exception of transportation facilities of statewide significance as defined in RCW 47.06.140. These regionally established level of service standards for state highways and state ferries shall be developed jointly with the department of transportation, to encourage consistency across jurisdictions. In establishing level of service standards for state highways and state ferries, consideration shall be given for the necessary balance between providing for the free interjurisdictional movement of people and goods and the needs of local commuters using state facilities;

      (d) Includes a financial plan demonstrating how the regional transportation plan can be implemented, indicating resources from public and private sources that are reasonably expected to be made available to carry out the plan, and recommending any innovative financing techniques to finance needed facilities, services, and programs;

      (e) Assesses regional development patterns, capital investment and other measures necessary to:

      (i) Ensure the preservation of the existing regional transportation system, including requirements for operational improvements, resurfacing, restoration, and rehabilitation of existing and future major roadways, as well as operations, maintenance, modernization, and rehabilitation of existing and future transit, railroad systems and corridors, and nonmotorized facilities; and

      (ii) Make the most efficient use of existing transportation facilities to relieve vehicular congestion and maximize the mobility of people and goods;

      (f) Sets forth a proposed regional transportation approach, including capital investments, service improvements, programs, and transportation demand management measures to guide the development of the integrated, multimodal regional transportation system. For regional growth centers, the approach must address transportation concurrency strategies required under RCW 36.70A.070 and include a measurement of vehicle level of service for off-peak periods and total multimodal capacity for peak periods; and

      (g) Where appropriate, sets forth the relationship of high capacity transportation providers and other public transit providers with regard to responsibility for, and the coordination between, services and facilities.

      (2) The organization shall review the regional transportation plan biennially for currency and forward the adopted plan along with documentation of the biennial review to the state department of transportation.

      (3) All transportation projects, programs, and transportation demand management measures within the region that have an impact upon regional facilities or services must be consistent with the plan and with the adopted regional growth and transportation strategies.

      NEW SECTION. Sec. 5. (1)(a) The department of transportation shall administer a study to examine multimodal transportation improvements and strategies to comply with the concurrency requirements of RCW 36.70A.070(6), subject to the availability of amounts appropriated for this specific purpose. The study shall be completed by one or more regional transportation planning organizations established under chapter 47.80 RCW electing to participate in the study.

      (b) The department of community, trade, and economic development shall provide technical assistance with the study to the department of transportation and participating regional transportation planning organizations.

      (2) The department of transportation shall, in consultation with members from each of the two largest caucuses of the senate, appointed by the president of the senate, and members from each of the two largest caucuses of the house of representatives, appointed by the speaker of the house of representatives, approve the scope of the study established by this section.

      (3) The study shall, at a minimum, include:

      (a) An assessment and comprehensive summary of studies or reports examining concurrency requirements and practices in Washington;

      (b) An examination of existing or proposed multimodal transportation improvements or strategies employed by a city in a county with a population of one million or more residents;

      (c) An examination of transit services and how these services promote multimodal transportation improvements or strategies for jurisdictions planning under RCW 36.70A.070(6)(b);

      (d) Recommendations for statutory and administrative rule changes that will further the promotion of effective multimodal transportation improvements and strategies that are consistent with the provisions of RCW 36.70A.070 and 36.70A.020(3);

      (e) Recommendations for improving the coordination of concurrency practices in jurisdictions subject to RCW 36.70A.215;

      (f) Recommendations on a methodology that jurisdictions may use to evaluate the effectiveness of multimodal concurrency strategies in jurisdictions subject to the provisions of RCW 36.70A.070 and 36.70A.020(3);

      (g) An identification of effective multimodal transportation improvements and strategies employed by jurisdictions subject to RCW 36.70A.215;

      (h) Recommendations for model multimodal transportation improvements and strategies that may be employed by counties and cities; and

      (i) An examination of multimodal infrastructure needs, such as bus pull outs and pedestrian crosswalks and overpasses, and how these needs can be better identified in the plans required by RCW 36.70A.070(6).

      (4) The department of transportation shall, in coordination with participating regional transportation planning organizations completing the study established by this section, submit a report of findings and recommendations to the appropriate committees of the legislature by December 31, 2006."

      Senator Haugen spoke in favor of adoption of the striking amendment.

      The President declared the question before the Senate to be the adoption of the striking amendment by Senators Haugen and Swecker to Second Substitute House Bill No. 1565.

      The motion by Senator Haugen carried and the striking amendment was adopted by voice vote.

 

MOTION

 

      There being no objection, the following title amendment was adopted:

      On page 1, line 1 of the title, after "strategies;" strike the remainder of the title and insert "amending RCW 47.80.030; adding a new section to chapter 36.70A RCW; and creating a new section."

 

MOTION

 

      On motion of Senator Haugen, the rules were suspended, Second Substitute House Bill No. 1565, as amended by the Senate was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      Senator Haugen spoke in favor of passage of the bill.

      The President declared the question before the Senate to be the final passage of Second Substitute House Bill No. 1565, as amended by the Senate.

 

ROLL CALL

 

      The Secretary called the roll on the final passage of Second Substitute House Bill No. 1565, as amended by the Senate and the bill passed the Senate by the following vote: Yeas, 46; Nays, 0; Absent, 0; Excused, 3.

      Voting yea: Senators Benson, Benton, Berkey, Brandland, Brown, Carrell, Deccio, Delvin, Doumit, Eide, Esser, Fairley, Finkbeiner, Franklin, Fraser, Haugen, Hewitt, Honeyford, Jacobsen, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, Morton, Mulliken, Oke, Parlette, Pflug, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 46

      Excused: Senators Hargrove, Johnson and McCaslin - 3

      SECOND SUBSTITUTE HOUSE BILL NO. 1565, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill was ordered to stand as the title of the act.

 

MOTIONS

 

On motion of Senator Thibaudeau, Senator Fairley was excused.

On motion of Senator Morton, Senator Oke was excused.

 


MOTION

 

      There being no objection, the Senate reverted to the fourth order of business.

 

MESSAGE FROM THE HOUSE

 

April 21, 2005

 

MR. PRESIDENT:

 

      Under suspension of rules ENGROSSED SENATE BILL NO. 5513, was returned to second reading for purpose of an amendment, and passed the House as amended by the House.

      Strike everything after the enacting clause and insert the following:

      "NEW SECTION. Sec. 1. The legislature finds that it is in the interest of the state to restructure the roles and responsibilities of the state's transportation agencies in order to improve efficiency and accountability. The legislature also finds that continued citizen oversight of the state's transportation system remains an important priority. To achieve these purposes, the legislature intends to provide direct accountability of the department of transportation to the governor, in his or her role as chief executive officer of state government, by making the secretary of transportation a cabinet-level official. Additionally, it is essential to clearly delineate between the separate and distinct roles and responsibilities of the executive and legislative branches of government. The role of executive is to oversee the implementation of transportation programs, while the legislature reserves to itself the role of policymaking. Finally, consolidating public outreach and auditing of the state's transportation agencies under a single citizen-governed entity, the transportation commission, will provide the public with information about the performance of the transportation system and an avenue for direct participation in its oversight.

 

Departmental Governance

 

   Sec. 2. RCW 43.17.020 and 1995 1st sp.s. c 2 s 2 are each amended to read as follows:

   There shall be a chief executive officer of each department to be known as: (1) The secretary of social and health services, (2) the director of ecology, (3) the director of labor and industries, (4) the director of agriculture, (5) the director of fish and wildlife, (6) the secretary of transportation, (7) the director of licensing, (8) the director of general administration, (9) the director of community, trade, and economic development, (10) the director of veterans affairs, (11) the director of revenue, (12) the director of retirement systems, (13) the secretary of corrections, ((and)) (14) the secretary of health, and (15) the director of financial institutions.

   Such officers, except the ((secretary of transportation and the)) director of fish and wildlife, shall be appointed by the governor, with the consent of the senate, and hold office at the pleasure of the governor. ((The secretary of transportation shall be appointed by the transportation commission as prescribed by RCW 47.01.041.)) The director of fish and wildlife shall be appointed by the fish and wildlife commission as prescribed by RCW 77.04.055.

   Sec. 3. RCW 47.01.041 and 1983 1st ex.s. c 53 s 28 are each amended to read as follows:

   The executive head of the department of transportation shall be the secretary of transportation, who shall be appointed by the ((transportation commission)) governor with the advice and consent of the senate, and shall be paid a salary to be fixed by the governor in accordance with the provisions of RCW 43.03.040. The secretary shall be an ex officio member of the transportation commission without a vote. ((The secretary shall be the chief executive officer of the commission and be responsible to it, and shall be guided by policies established by it.)) The secretary shall serve ((until removed by the commission, but only for incapacity, incompetence, neglect of duty, malfeasance in office, or failure to carry out the commission's policies. Before a motion for dismissal shall be acted on by the commission, the secretary shall be granted a hearing on formal written charges before the full commission. An action by the commission to remove the secretary shall be final)) at the pleasure of the governor.

    Sec. 4. RCW 47.01.061 and 1987 c 364 s 2 are each amended to read as follows:

    (1) The commission shall meet at such times as it deems advisable but at least once every month. It may adopt its own rules and regulations and may establish its own procedure. It shall act collectively in harmony with recorded resolutions or motions adopted by majority vote of at least four members. The commission may appoint an administrative secretary, and shall elect one of its members chairman for a term of one year. The chairman shall be able to vote on all matters before the commission. The commission may from time to time retain planners, consultants, and other technical personnel to advise it in the performance of its duties.

    (2) The commission shall submit to each regular session of the legislature held in an odd-numbered year its own budget proposal necessary for the commission's operations separate from that proposed for the department.

    (3) Each member of the commission shall be compensated in accordance with RCW 43.03.250 and shall be reimbursed for actual necessary traveling and other expenses in going to, attending, and returning from meetings of the commission, and actual and necessary traveling and other expenses incurred in the discharge of such duties as may be requested by a majority vote of the commission or by the secretary of transportation, but in no event shall a commissioner be compensated in any year for more than one hundred twenty days, except the chairman of the commission who may be paid compensation for not more than one hundred fifty days. Service on the commission shall not be considered as service credit for the purposes of any public retirement system.

    (4) Each member of the commission shall disclose any actual or potential conflict of interest, if applicable under the circumstance, regarding any commission business.

    Sec. 5. RCW 47.01.071 and 1981 c 59 s 2 are each amended to read as follows:

    The transportation commission shall have the following functions, powers, and duties:

    (1) To propose policies to be adopted by the governor and the legislature designed to assure the development and maintenance of a comprehensive and balanced statewide transportation system which will meet the needs of the people of this state for safe and efficient transportation services. Wherever appropriate the policies shall provide for the use of integrated, intermodal transportation systems to implement the social, economic, and environmental policies, goals, and objectives of the people of the state, and especially to conserve nonrenewable natural resources including land and energy. To this end the commission shall:

    (a) Develop transportation policies which are based on the policies, goals, and objectives expressed and inherent in existing state laws;

    (b) Inventory the adopted policies, goals, and objectives of the local and area-wide governmental bodies of the state and define the role of the state, regional, and local governments in determining transportation policies, in transportation planning, and in implementing the state transportation plan;

    (c) Propose a transportation policy for the state((, and after notice and public hearings, submit the proposal to the legislative transportation committee and the senate and house transportation committees by January 1, 1978, for consideration in the next legislative session));


   (d) Establish a procedure for review and revision of the state transportation policy and for submission of proposed changes to the governor and the legislature;

   (e) To integrate the statewide transportation plan with the needs of the elderly and handicapped, and to coordinate federal and state programs directed at assisting local governments to answer such needs;

   (2) ((To establish the policy of the department to be followed by the secretary on each of the following items:

   (a))) To provide for the effective coordination of state transportation planning with national transportation policy, state and local land use policies, and local and regional transportation plans and programs;

   (((b))) (3) In conjunction with the provisions under section 6 of this act, to provide for public involvement in transportation designed to elicit the public's views both with respect to adequate transportation services and appropriate means of minimizing adverse social, economic, environmental, and energy impact of transportation programs;

   (((c) To provide for the administration of grants in aid and other financial assistance to counties and municipal corporations for transportation purposes;

   (d) To provide for the management, sale, and lease of property or property rights owned by the department which are not required for transportation purposes;

   (3))) (4) To ((direct the secretary to)) prepare ((and submit to the commission)) a comprehensive and balanced statewide transportation plan which shall be based on the transportation policy adopted by the governor and the legislature and applicable state and federal laws. ((After public notice and hearings, the commission shall adopt the plan and submit it to the legislative transportation committee and to the house and senate standing committees on transportation before January 1, 1980, for consideration in the 1980 regular legislative session.)) The plan shall be reviewed and revised, and submitted to the governor and the house of representatives and senate standing committees on transportation, prior to each regular session of the legislature during an even-numbered year thereafter. ((A preliminary plan shall be submitted to such committees by January 1, 1979.))

   The plan shall take into account federal law and regulations relating to the planning, construction, and operation of transportation facilities;

   (((4))) (5) To propose to the governor and the legislature prior to the convening of each regular session held in an odd-numbered year a recommended budget for the operations of the commission as required by RCW 47.01.061;

   (((5) To approve and propose to the governor and to the legislature prior to the convening of each regular session during an odd-numbered year a recommended budget for the operation of the department and for carrying out the program of the department for the ensuing biennium. The proposed budget shall separately state the appropriations to be made from the motor vehicle fund for highway purposes in accordance with constitutional limitations and appropriations and expenditures to be made from the general fund, or accounts thereof, and other available sources for other operations and programs of the department;

   (6) To review and authorize all departmental requests for legislation;

   (7))) (6) To approve the issuance and sale of all bonds authorized by the legislature for capital construction of state highways, toll facilities, Columbia Basin county roads (for which reimbursement to the motor vehicle fund has been provided), urban arterial projects, and aviation facilities;

   (((8))) (7) To adopt such rules, regulations, and policy directives as may be necessary to carry out reasonably and properly those functions expressly vested in the commission by statute;

   (((9) To delegate any of its powers to the secretary of transportation whenever it deems it desirable for the efficient administration of the department and consistent with the purposes of this title;

    (10))) (8) To contract with the office of financial management or other appropriate state agencies for administrative support, accounting services, computer services, and other support services necessary to carry out its other statutory duties;

    (9) To exercise such other specific powers and duties as may be vested in the transportation commission by this or any other provision of law.

    NEW SECTION. Sec. 6. A new section is added to chapter 47.01 RCW to read as follows:

    (1) The transportation commission shall provide a forum for the development of transportation policy in Washington state. It may recommend to the secretary of transportation, the governor, and the legislature means for obtaining appropriate citizen and professional involvement in all transportation policy formulation and other matters related to the powers and duties of the department. It may further hold hearings and explore ways to improve the mobility of the citizenry. At least every five years, the commission shall convene regional forums to gather citizen input on transportation issues.

    (2) Every two years, in coordination with the development of the state biennial budget, the commission shall prepare the statewide multimodal transportation progress report that outlines the transportation priorities of the ensuing biennium. The report must:

    (a) Consider the citizen input gathered at the forums;

    (b) Be developed with the assistance of state transportation-related agencies and organizations;

    (c) Be developed with the input from state, local, and regional jurisdictions, transportation service providers, and key transportation stakeholders;

    (d) Be considered by the secretary of transportation and other state transportation-related agencies in preparing proposed agency budgets and executive request legislation;

    (e) Be submitted by the commission to the governor by October 1st of each even-numbered year for consideration by the governor.

    (3) In fulfilling its responsibilities under this section, the commission may create ad hoc committees or other such committees of limited duration as necessary.

    (4) In order to promote a better transportation system, the commission shall offer policy guidance and make recommendations to the governor and the legislature in key issue areas, including but not limited to:

    (a) Transportation finance;

    (b) Preserving, maintaining, and operating the statewide transportation system;

    (c) Transportation infrastructure needs;

    (d) Promoting best practices for adoption and use by transportation-related agencies and programs;

    (e) Transportation efficiencies that will improve service delivery and/or coordination;

    (f) Improved planning and coordination among transportation agencies and providers; and

    (g) Use of intelligent transportation systems and other technology-based solutions.

    Sec. 7. RCW 47.01.101 and 1987 c 505 s 48 and 1987 c 179 s 1 are each reenacted and amended to read as follows:

    The secretary shall have the authority and it shall be his or her duty((, subject to policy guidance from the commission)):

    (1) To serve as chief executive officer of the department with full administrative authority to direct all its activities;

    (2) To organize the department as he or she may deem necessary to carry out the work and responsibilities of the department effectively;

    (3) To designate and establish such transportation district or branch offices as may be necessary or convenient, and to appoint assistants and delegate any powers, duties, and functions to them or any officer or employee of the department as deemed necessary to administer the department efficiently;

   (4) To direct and coordinate the programs of the various divisions of the department to assure that they achieve the greatest possible mutual benefit, produce a balanced overall effort, and eliminate unnecessary duplication of activity;

   (5) To adopt all department rules that are subject to the adoption procedures contained in the state administrative procedure act, except rules subject to adoption by the commission pursuant to statute;

   (6) To maintain and safeguard the official records of the department, including the commission's recorded resolutions and orders;

   (7) To provide, under contract or interagency agreement, full staff support to the commission to assist it in carrying out its functions, powers, and duties ((and to execute the policy established by the commission pursuant to its legislative authority));

   (8) To execute and implement the biennial operating budget for the operation of the department in accordance with chapter 43.88 RCW and with legislative appropriation ((and, in such manner as prescribed therein, to make and report to the commission and the chairs of the transportation committees of the senate and house of representatives, including one copy to the staff of each of the committees, deviations from the planned biennial category A and H highway construction programs necessary to adjust to unexpected delays or other unanticipated circumstances.));

   (9) To advise the governor and the legislature with respect to matters under the jurisdiction of the department; and

   (10) To exercise all other powers and perform all other duties as are now or hereafter provided by law.

   Sec. 8. RCW 47.05.021 and 2002 c 56 s 301 are each amended to read as follows:

   (1) The ((transportation commission is hereby directed to)) department shall conduct periodic analyses of the entire state highway system, report ((thereon)) to the commission and the chairs of the transportation committees of the senate and house of representatives, ((including one copy to the staff of each of the committees, biennially and based thereon,)) any subsequent recommendations to subdivide, classify, and subclassify ((according to their function and importance)) all designated state highways ((and those added from time to time and periodically review and revise the classifications)) into the following three functional classes:

   (a) The "principal arterial system" shall consist of a connected network of rural arterial routes with appropriate extensions into and through urban areas, including all routes designated as part of the interstate system, which serve corridor movements having travel characteristics indicative of substantial statewide and interstate travel;

   (b) The "minor arterial system" shall, in conjunction with the principal arterial system, form a rural network of arterial routes linking cities and other activity centers which generate long distance travel, and, with appropriate extensions into and through urban areas, form an integrated network providing interstate and interregional service; and

   (c) The "collector system" shall consist of routes which primarily serve the more important intercounty, intracounty, and intraurban travel corridors, collect traffic from the system of local access roads and convey it to the arterial system, and on which, regardless of traffic volume, the predominant travel distances are shorter than on arterial routes.

   (2) ((In making the functional classification)) The transportation commission shall adopt ((and)) a functional classification of highways. The commission shall consider the recommendations of the department and testimony from the public and local municipalities. The commission shall give consideration to criteria consistent with this section and federal regulations relating to the functional classification of highways, including but not limited to the following:

    (a) Urban population centers within and without the state stratified and ranked according to size;

    (b) Important traffic generating economic activities, including but not limited to recreation, agriculture, government, business, and industry;

    (c) Feasibility of the route, including availability of alternate routes within and without the state;

    (d) Directness of travel and distance between points of economic importance;

    (e) Length of trips;

    (f) Character and volume of traffic;

    (g) Preferential consideration for multiple service which shall include public transportation;

    (h) Reasonable spacing depending upon population density; and

    (i) System continuity.

    (3) The transportation commission or the legislature shall designate state highways of statewide significance under RCW 47.06.140. If the commission designates a state highway of statewide significance, it shall submit a list of such facilities for adoption by the legislature. This statewide system shall include at a minimum interstate highways and other statewide principal arterials that are needed to connect major communities across the state and support the state's economy.

    (4) The transportation commission shall designate a freight and goods transportation system. This statewide system shall include state highways, county roads, and city streets. The commission, in cooperation with cities and counties, shall review and make recommendations to the legislature regarding policies governing weight restrictions and road closures which affect the transportation of freight and goods.

    Sec. 9. RCW 47.05.030 and 2002 c 5 s 402 are each amended to read as follows:

    The transportation commission shall adopt a comprehensive ((six-year)) ten-year investment program specifying program objectives and performance measures for the preservation and improvement programs defined in this section. The adopted ten-year investment program must be forwarded as a recommendation to the governor and the legislature. In the specification of investment program objectives and performance measures, the transportation commission, in consultation with the Washington state department of transportation, shall define and adopt standards for effective programming and prioritization practices including a needs analysis process. The analysis process must ensure the identification of problems and deficiencies, the evaluation of alternative solutions and trade-offs, and estimations of the costs and benefits of prospective projects. The investment program must be revised ((biennially, effective on July 1st of odd-numbered years)) based on directions by the office of financial management. The investment program must be based upon the needs identified in the state-owned highway component of the statewide transportation plan as defined in RCW 47.01.071(3).

    (1) The preservation program consists of those investments necessary to preserve the existing state highway system and to restore existing safety features, giving consideration to lowest life cycle costing. The preservation program must require use of the most cost-effective pavement surfaces, considering:

    (a) Life-cycle cost analysis;

    (b) Traffic volume;

    (c) Subgrade soil conditions;

    (d) Environmental and weather conditions;

    (e) Materials available; and

    (f) Construction factors.

    The comprehensive ((six-year)) ten-year investment program for preservation must identify projects for two years and an investment plan for the remaining ((four)) eight years.


   (2) The improvement program consists of investments needed to address identified deficiencies on the state highway system to increase mobility, address congestion, and improve safety, support for the economy, and protection of the environment. The ((six-year)) ten-year investment program for improvements must identify projects for two years and major deficiencies proposed to be addressed in the ((six-year)) ten-year period giving consideration to relative benefits and life cycle costing. The transportation commission shall give higher priority for correcting identified deficiencies on those facilities classified as facilities of statewide significance as defined in RCW 47.06.140. Project prioritization must be based primarily upon cost-benefit analysis, where appropriate.

   The transportation commission shall approve and present the comprehensive ((six-year)) ten-year investment program to the governor and the legislature ((in support of the biennial budget request under RCW 44.40.070 and 44.40.080)) as directed by the office of financial management.

   Sec. 10. RCW 47.05.035 and 2002 c 5 s 403 are each amended to read as follows:

   (1) The department ((and the commission)) shall use the transportation demand modeling tools developed under subsection (2) of this section to evaluate investments based on the best mode or improvement, or mix of modes and improvements, to meet current and future long-term demand within a corridor or system for the lowest cost. The end result of these demand modeling tools is to provide a cost-benefit analysis by which the department ((and the commission)) can determine the relative mobility improvement and congestion relief each mode or improvement under consideration will provide and the relative investment each mode or improvement under consideration will need to achieve that relief.

   (2) The department will participate in the refinement, enhancement, and application of existing transportation demand modeling tools to be used to evaluate investments. This participation and use of transportation demand modeling tools will be phased in.

   (3) In developing program objectives and performance measures, the ((transportation commission)) department shall evaluate investment trade-offs between the preservation and improvement programs. In making these investment trade-offs, the ((commission)) department shall evaluate, using cost-benefit techniques, roadway and bridge maintenance activities as compared to roadway and bridge preservation program activities and adjust those programs accordingly.

   (4) The ((commission)) department shall allocate the estimated revenue between preservation and improvement programs giving primary consideration to the following factors:

   (a) The relative needs in each of the programs and the system performance levels that can be achieved by meeting these needs;

   (b) The need to provide adequate funding for preservation to protect the state's investment in its existing highway system;

   (c) The continuity of future transportation development with those improvements previously programmed; and

   (d) The availability of dedicated funds for a specific type of work.

   (5) The commission shall review the results of the department's findings and shall consider those findings in the development of the ten-year program.

   Sec. 11. RCW 47.05.051 and 2002 c 189 s 3 are each amended to read as follows:

   (1) The comprehensive ((six-year)) ten-year investment program shall be based upon the needs identified in the state-owned highway component of the statewide multimodal transportation plan as defined in RCW 47.01.071(((3))) (4) and priority selection systems that incorporate the following criteria:

   (a) Priority programming for the preservation program shall take into account the following, not necessarily in order of importance:

    (i) Extending the service life of the existing highway system, including using the most cost-effective pavement surfaces, considering:

    (A) Life-cycle cost analysis;

    (B) Traffic volume;

    (C) Subgrade soil conditions;

    (D) Environmental and weather conditions;

    (E) Materials available; and

    (F) Construction factors;

    (ii) Ensuring the structural ability to carry loads imposed upon highways and bridges; and

    (iii) Minimizing life cycle costs. The transportation commission in carrying out the provisions of this section may delegate to the department of transportation the authority to select preservation projects to be included in the ((six-year)) ten-year program.

    (b) Priority programming for the improvement program must be based primarily upon the following, not necessarily in order of importance:

    (i) Traffic congestion, delay, and accidents;

    (ii) Location within a heavily traveled transportation corridor;

    (iii) Except for projects in cities having a population of less than five thousand persons, synchronization with other potential transportation projects, including transit and multimodal projects, within the heavily traveled corridor; and

    (iv) Use of benefit/cost analysis wherever feasible to determine the value of the proposed project.

    (c) Priority programming for the improvement program may also take into account:

    (i) Support for the state's economy, including job creation and job preservation;

    (ii) The cost-effective movement of people and goods;

    (iii) Accident and accident risk reduction;

    (iv) Protection of the state's natural environment;

    (v) Continuity and systematic development of the highway transportation network;

    (vi) Consistency with local comprehensive plans developed under chapter 36.70A RCW including the following if they have been included in the comprehensive plan:

    (A) Support for development in and revitalization of existing downtowns;

    (B) Extent that development implements local comprehensive plans for rural and urban residential and nonresidential densities;

    (C) Extent of compact, transit-oriented development for rural and urban residential and nonresidential densities;

    (D) Opportunities for multimodal transportation; and

    (E) Extent to which the project accommodates planned growth and economic development;

    (vii) Consistency with regional transportation plans developed under chapter 47.80 RCW;

    (viii) Public views concerning proposed improvements;

    (ix) The conservation of energy resources;

    (x) Feasibility of financing the full proposed improvement;

    (xi) Commitments established in previous legislative sessions;

    (xii) Relative costs and benefits of candidate programs.

    (d) Major projects addressing capacity deficiencies which prioritize allowing for preliminary engineering shall be reprioritized during the succeeding biennium, based upon updated project data. Reprioritized projects may be delayed or canceled by the transportation commission if higher priority projects are awaiting funding.

    (e) Major project approvals which significantly increase a project's scope or cost from original prioritization estimates shall include a review of the project's estimated revised priority rank and the level of funding provided. Projects may be delayed or canceled by the transportation commission if higher priority projects are awaiting funding.

    (2) The commission may depart from the priority programming established under subsection (1) of this section: (a) To the extent that otherwise funds cannot be utilized feasibly within the program; (b) as may be required by a court judgment, legally binding agreement, or state and federal laws and regulations; (c) as may be required to coordinate with federal, local, or other state agency construction projects; (d) to take advantage of some substantial financial benefit that may be available; (e) for continuity of route development; or (f) because of changed financial or physical conditions of an unforeseen or emergent nature. The commission or secretary of transportation shall maintain in its files information sufficient to show the extent to which the commission has departed from the established priority.

   (3) The commission shall identify those projects that yield freight mobility benefits or that alleviate the impacts of freight mobility upon affected communities.

 

Joint Transportation Committee

 

   NEW SECTION. Sec. 12. The joint transportation committee is created. The executive committee of the joint committee consists of the chairs and ranking members of the house and senate transportation committees. The chairs of the house and senate transportation committees shall serve as cochairs of the joint committee. All members of the house and senate standing committees on transportation are eligible for membership of the joint committee and shall serve when appointed by the executive committee.

   The joint transportation committee shall review and research transportation programs and issues in order to educate and promote the dissemination of transportation research to state and local government policymakers, including legislators and associated staff. All four members of the executive committee shall approve the annual work plan. Membership of the committee may vary depending on the subject matter of oversight and research projects. The committee may also make recommendations for functional or performance audits to the transportation performance audit board.

   The executive committee shall adopt rules and procedures for its operations.

   NEW SECTION. Sec. 13. The members of the joint transportation committee will receive allowances while attending meetings of the committee or subcommittees and while engaged in other authorized business of the committees as provided in RCW 44.04.120. Subject to RCW 44.04.260, all expenses incurred by the committee must be paid upon voucher forms as provided by the office of financial management and signed by the cochairs of the joint committee, or their authorized designees, and the authority of the chair or vice chair to sign vouchers continues until their successors are selected. Vouchers may be drawn upon funds appropriated for the expenses of the committee.

   NEW SECTION. Sec. 14. The joint transportation committee shall conduct a review of state level governance of transportation, with a focus on the appropriate roles of the separate branches of government. The committee shall review the statutory duties, roles, and functions of the transportation commission and the department. In that review the committee shall determine which responsibilities may be transferred to the executive and which may be transferred to the legislature. By December 15, 2005, the joint transportation committee shall make its recommendations to the house and senate transportation committees. The joint transportation committee shall consult with affected agencies and other stakeholders in conducting its analysis. The committee may consult with and retain private professional and technical experts as necessary to ensure an independent review and analysis.

 

Transfers

 

   NEW SECTION. Sec. 15. (1)(a) All reports, documents, surveys, books, records, files, papers, or written material relating to the conduct of performance reviews and audits in the possession of the legislative transportation committee must be delivered to the custody of the transportation commission. Any remaining documents, books, records, files, papers, and written materials must be delivered to the custody of the joint transportation committee. All funds, credits, or other assets held by the legislative transportation committee for the purposes of staffing the transportation performance audit board are assigned to the transportation commission. Any remaining funds, credits, or other assets held by the legislative transportation committee are assigned to the joint transportation committee.

    (b) If any question arises as to the transfer of any funds, books, documents, records, papers, files, equipment, or other tangible property used or held in the exercise of the powers and the performance of the duties and functions transferred, the director of financial management shall make a determination as to the proper allocation and certify the same to the state agencies concerned.

    (2) All employees of the legislative transportation committee are transferred to the jurisdiction of the transportation commission for the support of the transportation performance audit board. However, the commission may, if staffing needs warrant, assign the employees to other commission functions.

 

Transportation Performance Audits

 

    Sec. 16. RCW 44.75.020 and 2003 c 362 s 2 are each amended to read as follows:

    The definitions in this section apply throughout this chapter.

    (1) "Economy and efficiency audit" has the meaning contained in chapter 44.28 RCW.

    (2) "Joint legislative audit and review committee" means the agency created in chapter 44.28 RCW, or its statutory successor.

    (3) "Legislative auditor" has the meaning contained in chapter 44.28 RCW.

    (4) (("Legislative transportation committee" means the agency created in chapter 44.40 RCW, or its statutory successor.

    (5))) "Performance audit" has the meaning contained in chapter 44.28 RCW.

    (((6))) (5) "Performance review" means an outside evaluation of how a state agency uses its performance measures to assess the outcomes of its legislatively authorized activities.

    (((7))) (6) "Program audit" has the meaning contained in chapter 44.28 RCW.

    (((8))) (7) "Transportation performance audit board" or "board" means the board created in RCW 44.75.030.

    (((9))) (8) "Transportation-related agencies" or "agency" means any state or local agency, board, special purpose district, or commission that receives or generates funding primarily for transportation-related purposes. At a minimum, the department of transportation, the Washington state patrol, the department of licensing, the transportation improvement board or its successor entity, the county road administration board or its successor entity, and the traffic safety commission are considered transportation-related agencies.

    Sec. 17. RCW 44.75.030 and 2003 c 362 s 3 are each amended to read as follows:

    (1) The transportation performance audit board is created.

    (2) The board will consist of four legislative members, ((five)) three citizen members with transportation-related expertise, two citizen members with performance measurement expertise, one member of the transportation commission, one ex officio nonvoting member, and one at large member. The legislative auditor is the ex officio nonvoting member. The majority and minority leaders of the house and senate transportation committees, or their designees, are the legislative members. The governor shall appoint the at large member to serve for a term of four years. The citizen members must be ((nominated by professional associations chosen by the board's legislative members and)) appointed by the governor for terms of four years, except that at least half the initial appointments will be for terms of two years. The citizen members may not be currently, or within one year, employed by the Washington state department of transportation. The ((citizen members will consist of)) governor, when appointing the citizen members with transportation-related expertise, may consult with appropriate professional associations and shall consider the following transportation-related experiences:

   (a) ((One member with expertise in)) Construction project planning, including permitting and assuring regulatory compliance;

   (b) ((One member with expertise in)) Construction means and methods and construction management, crafting and implementing environmental mitigation plans, and administration;

   (c) ((One member with expertise in)) Construction engineering services, including construction management, materials testing, materials documentation, contractor payments, inspection, surveying, and project oversight;

   (d) ((One member with expertise in)) Project management, including design estimating, contract packaging, and procurement; and

   (e) ((One member with expertise in)) Transportation planning and congestion management.

   (3) The governor may not remove members from the board before the expiration of their terms unless for cause based upon a determination of incapacity, incompetence, neglect of duty, of malfeasance in office by the Thurston county superior court, upon petition and show cause proceedings brought for that purpose in that court and directed to the board member in question.

   (4) No member may be appointed for more than three consecutive terms.

   Sec. 18. RCW 44.75.040 and 2003 c 362 s 4 are each amended to read as follows:

   (1) The board shall meet periodically. It may adopt its own rules and may establish its own procedures. It shall act collectively in harmony with recorded resolutions or motions adopted by a majority vote of the members.

   (2) Each member of the transportation performance audit board will be compensated from the general appropriation for the ((legislative)) transportation ((committee)) commission in accordance with RCW 43.03.250 and reimbursed for actual necessary traveling and other expenses in going to, attending, and returning from meetings of the board or that are incurred in the discharge of duties requested by the chair. However, in no event may a board member be compensated in any year for more than one hundred twenty days, except the chair may be compensated for not more than one hundred fifty days. Service on the board does not qualify as a service credit for the purposes of a public retirement system.

   (3) The transportation performance audit board shall keep proper records and is subject to audit by the state auditor or other auditing entities.

   (4) Staff support to the transportation performance audit board must be provided by the ((legislative)) transportation ((committee)) commission, which shall provide professional support for the duties, functions, responsibilities, and activities of the board, including but not limited to information technology systems; data collection, processing, analysis, and reporting; project management; and office space, equipment, and secretarial support. ((The legislative evaluation and accountability program will provide data and information technology support consistent with the support currently supplied to existing legislative committees.)) Additionally, the commission shall designate, subject to board approval, a staff person to serve as the board administrator. The board administrator serves as an exempt employee and at the pleasure of the board.

   (5) Each member of the transportation performance audit board shall disclose any actual or potential conflict of interest, if applicable under the circumstance, regarding all performance reviews and performance audits conducted under this chapter.

    Sec. 19. RCW 44.75.050 and 2003 c 362 s 5 are each amended to read as follows:

    (1) The transportation performance audit board may review the performance and outcome measures of transportation-related agencies. The purpose of these reviews is to ensure that the legislature has the means to adequately and accurately assess the performance and outcomes of those agencies and departments. Where two or more agencies have shared responsibility for functions or priorities of government, these reviews can also determine whether effective interagency cooperation and collaboration occurs in areas such as program coordination, administrative structures, information systems, and administration of grants and loans.

    (2) The board shall, as soon as practicable, conduct a review of the comprehensive ten-year investment program process, including the required criteria, under RCW 47.05.030 and 47.05.051.

    (3) In conducting these reviews, the transportation performance audit board may work in consultation with the ((legislative transportation committee, the)) joint legislative audit and review committee, the office of financial management, and other state agencies.

    Sec. 20. RCW 44.75.080 and 2003 c 362 s 8 are each amended to read as follows:

    After reviewing the performance or outcome measures and benchmarks of an agency or department, or at any time it so determines, the transportation performance audit board shall ((recommend to the executive committee of the legislative transportation committee whether)) direct a full performance or functional audit of the agency or department, or a specific program within the agency or department((, is appropriate. Upon the request of the legislative transportation committee or its executive committee, the joint legislative audit and review committee shall add the full performance or functional audit to its biennial performance audit work plan. If the request duplicates or overlaps audits already in the work plan, or was performed under the previous biennial work plan, the executive committees of the legislative transportation committee and the joint legislative audit and review committee shall meet to discuss and resolve the duplication or overlap)).

    Sec. 21. RCW 44.75.090 and 2003 c 362 s 9 are each amended to read as follows:

    (((1))) To the greatest extent possible, ((or when requested by the executive committee of the legislative transportation committee)) and to the extent funds are appropriated, the ((legislative auditor)) board administrator shall, subject to board approval, contract with and consult with private independent professional and technical experts to optimize the independence of the reviews and performance audits. In determining the need to contract with private experts, the ((legislative auditor)) board administrator shall consider the degree of difficulty of the review or audit, the relative cost of contracting for expertise, and the need to maintain auditor independence from the subject agency or program. The board administrator may, subject to board approval, contract with the legislative auditor or state auditor to serve as the contract manager of the reviews and performance audits.

    (((2) After consultation with the executive committee of the legislative transportation committee on the appropriateness of costs, the legislative transportation committee shall reimburse the joint legislative audit and review committee or the legislative auditor for the costs of carrying out any requested performance audits, including the cost of contracts and consultant services.

    (3) The executive committee of the legislative transportation committee must review and approve the methodology for performance audits recommended by the transportation performance audit board.))

    Sec. 22. RCW 44.75.100 and 2003 c 362 s 10 are each amended to read as follows:


   (1) When the board has completed a performance audit, the board shall transmit the preliminary performance audit report to the affected state agency or local government and the office of financial management for comment. The agency or local government and the office of financial management shall provide any response to the board within thirty days after receipt of the preliminary report unless a different time period is approved by the board. The board shall incorporate the response of the agency or local government and the office of financial management into the final performance audit report. The board may also include an addendum with board comments on the management of the audit.

   (2) Before releasing the results of a performance audit originally requested by the joint transportation committee to the legislature or the public, the board administrator shall submit the preliminary performance audit report to the joint committee for review and comments solely on the management of the audit. Any comments by the joint committee must be included as a separate addendum to the final performance audit report.

   (3) Completed performance audits must be presented to the transportation performance audit board ((and the legislative transportation committee)). Published performance audits must be made available to the public through the ((legislative transportation committee and the joint legislative audit and review committee's)) board's web site and through customary public communications. Final reports must also be transmitted to the affected agency, the director of financial management, and the appropriate policy and fiscal standing committees of the legislature.

   Sec. 23. RCW 44.75.110 and 2003 c 362 s 11 are each amended to read as follows:

   The ((legislative auditor)) board administrator, or the legislative auditor or state auditor if contracted under RCW 44.75.090, shall determine in writing the scope of any performance audit ((requested)) directed by the ((legislative transportation committee or its executive committee)) transportation performance audit board, subject to the review and approval of the final scope of the audit by the transportation performance audit board((, and the legislative transportation committee or its executive committee)). In doing so, the ((legislative auditor,)) board administrator, or legislative auditor or state auditor if contracted under RCW 44.75.090, and the transportation performance audit board((, and the legislative transportation committee or its executive committee)) shall consider inclusion of the following elements in the scope of the audit:

   (1) Identification of potential cost savings in the agency, its programs, and its services;

   (2) Identification and recognition of best practices;

   (3) Identification of funding to the agency, to programs, and to services that can be eliminated or reduced;

   (4) Identification of programs and services that can be eliminated, reduced, or transferred to the private sector;

   (5) Analysis of gaps and overlaps in programs and services and recommendations for improving, dropping, blending, or separating functions to correct gaps or overlaps;

   (6) Analysis and recommendations for pooling information technology systems;

   (7) Analysis of the roles and functions of the agency, its programs, and its services and their compliance with statutory authority and recommendations for eliminating or changing those roles and functions and ensuring compliance with statutory authority;

   (8) Recommendations for eliminating or changing statutes, rules, and policy directives as may be necessary to ensure that the agency carry out reasonably and properly those functions expressly vested in the department by statute; and

   (9) Verification of the reliability and validity of department performance data, self-assessments, and performance measurement systems as required under RCW 43.88.090.

    Sec. 24. RCW 44.75.120 and 2003 c 362 s 12 are each amended to read as follows:

    When conducting a full performance audit of an agency or department, or a specific program within an agency or department, or multiple agencies, in accordance with RCW 44.75.110, the ((legislative auditor)) board administrator shall solicit input from appropriate industry representatives or experts. The audit report must make recommendations regarding the continuation, abolition, consolidation, or reorganization of each affected agency, department, or program. The audit report must identify opportunities to develop government partnerships, and eliminate program redundancies that will result in increased quality, effectiveness, and efficiency of state agencies.

    Sec. 25. RCW 44.28.161 and 2003 c 362 s 13 are each amended to read as follows:

    In addition to any other audits developed or included in the audit work plan under this chapter, the legislative auditor shall manage transportation-related performance audits ((directed by the executive committee of the legislative transportation committee under RCW 44.75.080. If directed to perform or contract for audit services under RCW 44.75.080, the legislative auditor or joint legislative audit and review committee will receive from the legislative transportation committee an interagency reimbursement equal to the cost of the contract or audit services)) if contracted to do so under RCW 44.75.090.

 

References to LTC

 

    Sec. 101. RCW 35.58.2796 and 1989 c 396 s 2 are each amended to read as follows:

    The department of transportation shall develop an annual report summarizing the status of public transportation systems in the state. By September 1st of each year, copies of the report shall be submitted to the ((legislative transportation committee)) transportation committees of the legislature and to each municipality, as defined in RCW 35.58.272, and to individual members of the municipality's legislative authority. ((The department shall prepare and submit a preliminary report by December 1, 1989.))

    To assist the department with preparation of the report, each municipality shall file a system report by April 1st of each year with the state department of transportation identifying its public transportation services for the previous calendar year and its objectives for improving the efficiency and effectiveness of those services. The system report shall address those items required for each public transportation system in the department's report.

    The department report shall describe individual public transportation systems, including contracted transportation services and dial-a-ride services, and include a statewide summary of public transportation issues and data. The descriptions shall include the following elements and such other elements as the department deems appropriate after consultation with the municipalities and the ((legislative transportation committee)) transportation committees of the legislature:

    (1) Equipment and facilities, including vehicle replacement standards;

    (2) Services and service standards;

    (3) Revenues, expenses, and ending balances, by fund source;

    (4) Policy issues and system improvement objectives, including community participation in development of those objectives and how those objectives address statewide transportation priorities;

    (5) Operating indicators applied to public transportation services, revenues, and expenses. Operating indicators shall include operating cost per passenger trip, operating cost per revenue vehicle service hour, passenger trips per revenue service hour, passenger trips per vehicle service mile, vehicle service hours per employee, and farebox revenue as a percent of operating costs.


   Sec. 102. RCW 36.78.070 and 1999 c 269 s 1 are each amended to read as follows:

   The county road administration board shall:

   (1) Establish by rule, standards of good practice for the administration of county roads and the efficient movement of people and goods over county roads;

   (2) Establish reporting requirements for counties with respect to the standards of good practice adopted by the board;

   (3) Receive and review reports from counties and reports from its executive director to determine compliance with legislative directives and the standards of good practice adopted by the board;

   (4) Advise counties on issues relating to county roads and the safe and efficient movement of people and goods over county roads and assist counties in developing uniform and efficient transportation-related information technology resources;

   (5) Report annually before the fifteenth day of January, and throughout the year as appropriate, to the state department of transportation and to the chairs of the ((legislative transportation committee and the)) house and senate transportation committees, and to other entities as appropriate on the status of county road administration in each county, including one copy to the staff of each of the committees. The annual report shall contain recommendations for improving administration of the county road programs;

   (6) Administer the rural arterial program established by chapter 36.79 RCW and the program funded by the county arterial preservation account established by RCW 46.68.090, as well as any other programs provided for in law.

   Sec. 103. RCW 41.40.037 and 2004 c 242 s 63 are each amended to read as follows:

   (1)(a) If a retiree enters employment with an employer sooner than one calendar month after his or her accrual date, the retiree's monthly retirement allowance will be reduced by five and one-half percent for every eight hours worked during that month. This reduction will be applied each month until the retiree remains absent from employment with an employer for one full calendar month.

   (b) The benefit reduction provided in (a) of this subsection will accrue for a maximum of one hundred sixty hours per month. Any benefit reduction over one hundred percent will be applied to the benefit the retiree is eligible to receive in subsequent months.

   (2)(a) Except as provided in (b) of this subsection, a retiree from plan 1 who enters employment with an employer at least one calendar month after his or her accrual date may continue to receive pension payments while engaged in such service for up to eight hundred sixty-seven hours of service in a calendar year without a reduction of pension.

   (b) A retiree from plan 1 who enters employment with an employer at least three calendar months after his or her accrual date and:

   (i) Is hired into a position for which the employer has documented a justifiable need to hire a retiree into the position;

   (ii) Is hired through the established process for the position with the approval of: A school board for a school district; the chief executive officer of a state agency employer; the secretary of the senate for the senate; the chief clerk of the house of representatives for the house of representatives; the secretary of the senate and the chief clerk of the house of representatives jointly for the joint legislative audit and review committee, ((the legislative transportation committee,)) the joint committee on pension policy, the legislative evaluation and accountability program, the legislative systems committee, and the statute law committee; or according to rules adopted for the rehiring of retired plan 1 members for a local government employer;

   (iii) The employer retains records of the procedures followed and decisions made in hiring the retiree, and provides those records in the event of an audit; and

    (iv) The employee has not already rendered a cumulative total of more than one thousand nine hundred hours of service while in receipt of pension payments beyond an annual threshold of eight hundred sixty-seven hours;

shall cease to receive pension payments while engaged in that service after the retiree has rendered service for more than one thousand five hundred hours in a calendar year. The one thousand nine hundred hour cumulative total under this subsection applies prospectively to those retiring after July 27, 2003, and retroactively to those who retired prior to July 27, 2003, and shall be calculated from the date of retirement.

    (c) When a plan 1 member renders service beyond eight hundred sixty-seven hours, the department shall collect from the employer the applicable employer retirement contributions for the entire duration of the member's employment during that calendar year.

    (d) A retiree from plan 2 or plan 3 who has satisfied the break in employment requirement of subsection (1) of this section may work up to eight hundred sixty-seven hours in a calendar year in an eligible position, as defined in RCW 41.32.010, 41.35.010, 41.37.010, or 41.40.010, or as a fire fighter or law enforcement officer, as defined in RCW 41.26.030, without suspension of his or her benefit.

    (3) If the retiree opts to reestablish membership under RCW 41.40.023(12), he or she terminates his or her retirement status and becomes a member. Retirement benefits shall not accrue during the period of membership and the individual shall make contributions and receive membership credit. Such a member shall have the right to again retire if eligible in accordance with RCW 41.40.180. However, if the right to retire is exercised to become effective before the member has rendered two uninterrupted years of service, the retirement formula and survivor options the member had at the time of the member's previous retirement shall be reinstated.

    (4) The department shall collect and provide the state actuary with information relevant to the use of this section for the select committee on pension policy.

    (5) The legislature reserves the right to amend or repeal this section in the future and no member or beneficiary has a contractual right to be employed for more than five months in a calendar year without a reduction of his or her pension.

    Sec. 104. RCW 43.10.101 and 1995 2nd sp.s. c 14 s 527 are each amended to read as follows:

    The attorney general shall prepare annually a report to the ((legislative transportation committee)) transportation committees of the legislature, the transportation commission, and the transportation performance audit board comprising a comprehensive summary of all cases involving tort claims against the department of transportation involving highways which were concluded and closed in the previous calendar year. The report shall include for each case closed:

    (1) A summary of the factual background of the case;

    (2) Identification of the attorneys representing the state and the opposing parties;

    (3) A synopsis of the legal theories asserted and the defenses presented;

    (4) Whether the case was tried, settled, or dismissed, and in whose favor;

    (5) The approximate number of attorney hours expended by the state on the case, together with the corresponding dollar amount billed therefore; and

    (6) Such other matters relating to the case as the attorney general deems relevant or appropriate, especially including any comments or recommendations for changes in statute law or agency practice that might effectively reduce the exposure of the state to such tort claims.

    Sec. 105. RCW 43.79.270 and 1998 c 177 s 1 are each amended to read as follows:


   (1) Whenever any money, from the federal government, or from other sources, which was not anticipated in the budget approved by the legislature has actually been received and is designated to be spent for a specific purpose, the head of any department, agency, board, or commission through which such expenditure shall be made is to submit to the governor a statement which may be in the form of a request for an allotment amendment setting forth the facts constituting the need for such expenditure and the estimated amount to be expended: PROVIDED, That no expenditure shall be made in excess of the actual amount received, and no money shall be expended for any purpose except the specific purpose for which it was received. A copy of any proposal submitted to the governor to expend money from an appropriated fund or account in excess of appropriations provided by law which is based on the receipt of unanticipated revenues shall be submitted to the joint legislative audit and review committee and also to the standing committees on ways and means of the house and senate if the legislature is in session at the same time as it is transmitted to the governor.

   (2) Notwithstanding subsection (1) of this section, whenever money from any source that was not anticipated in the transportation budget approved by the legislature has actually been received and is designated to be spent for a specific purpose, the head of a department, agency, board, or commission through which the expenditure must be made shall submit to the governor a statement, which may be in the form of a request for an allotment amendment, setting forth the facts constituting the need for the expenditure and the estimated amount to be expended. However, no expenditure may be made in excess of the actual amount received, and no money may be expended for any purpose except the specific purpose for which it was received. A copy of any proposal submitted to the governor to expend money from an appropriated transportation fund or account in excess of appropriations provided by law that is based on the receipt of unanticipated revenues must be submitted, at a minimum, to the standing committees on transportation of the house and senate((, if the legislature is in session,)) at the same time as it is transmitted to the governor. ((During the legislative interim, any such proposal must be submitted to the legislative transportation committee.))

   Sec. 106. RCW 43.79.280 and 1998 c 177 s 2 are each amended to read as follows:

   (1) If the governor approves such estimate in whole or part, he shall endorse on each copy of the statement his approval, together with a statement of the amount approved in the form of an allotment amendment, and transmit one copy to the head of the department, agency, board, or commission authorizing the expenditure. An identical copy of the governor's statement of approval and a statement of the amount approved for expenditure shall be transmitted simultaneously to the joint legislative audit and review committee and also to the standing committee on ways and means of the house and senate of all executive approvals of proposals to expend money in excess of appropriations provided by law.

   (2) If the governor approves an estimate with transportation funding implications, in whole or part, he shall endorse on each copy of the statement his approval, together with a statement of the amount approved in the form of an allotment amendment, and transmit one copy to the head of the department, agency, board, or commission authorizing the expenditure. An identical copy of the governor's statement of approval of a proposal to expend transportation money in excess of appropriations provided by law and a statement of the amount approved for expenditure must be transmitted simultaneously to the standing committees on transportation of the house and senate. ((During the legislative interim, all estimate approvals endorsed by the governor along with a statement of the amount approved in the form of an allotment amendment must be transmitted simultaneously to the legislative transportation committee.))

    Sec. 107. RCW 43.88.020 and 2000 2nd sp.s. c 4 s 11 are each amended to read as follows:

    (1) "Budget" means a proposed plan of expenditures for a given period or purpose and the proposed means for financing these expenditures.

    (2) "Budget document" means a formal statement, either written or provided on any electronic media or both, offered by the governor to the legislature, as provided in RCW 43.88.030.

    (3) "Director of financial management" means the official appointed by the governor to serve at the governor's pleasure and to whom the governor may delegate necessary authority to carry out the governor's duties as provided in this chapter. The director of financial management shall be head of the office of financial management which shall be in the office of the governor.

    (4) "Agency" means and includes every state office, officer, each institution, whether educational, correctional, or other, and every department, division, board, and commission, except as otherwise provided in this chapter.

    (5) "Public funds", for purposes of this chapter, means all moneys, including cash, checks, bills, notes, drafts, stocks, and bonds, whether held in trust, for operating purposes, or for capital purposes, and collected or disbursed under law, whether or not such funds are otherwise subject to legislative appropriation, including funds maintained outside the state treasury.

    (6) "Regulations" means the policies, standards, and requirements, stated in writing, designed to carry out the purposes of this chapter, as issued by the governor or the governor's designated agent, and which shall have the force and effect of law.

    (7) "Ensuing biennium" means the fiscal biennium beginning on July 1st of the same year in which a regular session of the legislature is held during an odd-numbered year pursuant to Article II, section 12 of the Constitution and which biennium next succeeds the current biennium.

    (8) "Dedicated fund" means a fund in the state treasury, or a separate account or fund in the general fund in the state treasury, that by law is dedicated, appropriated, or set aside for a limited object or purpose; but "dedicated fund" does not include a revolving fund or a trust fund.

    (9) "Revolving fund" means a fund in the state treasury, established by law, from which is paid the cost of goods or services furnished to or by a state agency, and which is replenished through charges made for such goods or services or through transfers from other accounts or funds.

    (10) "Trust fund" means a fund in the state treasury in which designated persons or classes of persons have a vested beneficial interest or equitable ownership, or which was created or established by a gift, grant, contribution, devise, or bequest that limits the use of the fund to designated objects or purposes.

    (11) "Administrative expenses" means expenditures for: (a) Salaries, wages, and related costs of personnel and (b) operations and maintenance including but not limited to costs of supplies, materials, services, and equipment.

    (12) "Fiscal year" means the year beginning July 1st and ending the following June 30th.

    (13) "Lapse" means the termination of authority to expend an appropriation.

    (14) "Legislative fiscal committees" means the joint legislative audit and review committee, the legislative evaluation and accountability program committee, and the ways and means and transportation committees of the senate and house of representatives((, and, where appropriate, the legislative transportation committee)).

    (15) "Fiscal period" means the period for which an appropriation is made as specified within the act making the appropriation.

    (16) "Primary budget driver" means the primary determinant of a budget level, other than a price variable, which causes or is associated with the major expenditure of an agency or budget unit within an agency, such as a caseload, enrollment, workload, or population statistic.

   (17) "State tax revenue limit" means the limitation created by chapter 43.135 RCW.

   (18) "General state revenues" means the revenues defined by Article VIII, section 1(c) of the state Constitution.

   (19) "Annual growth rate in real personal income" means the estimated percentage growth in personal income for the state during the current fiscal year, expressed in constant value dollars, as published by the office of financial management or its successor agency.

   (20) "Estimated revenues" means estimates of revenue in the most recent official economic and revenue forecast prepared under RCW 82.33.020, and prepared by the office of financial management for those funds, accounts, and sources for which the office of the economic and revenue forecast council does not prepare an official forecast ((including estimates of revenues to support financial plans under RCW 44.40.070)), that are prepared by the office of financial management in consultation with the transportation revenue forecast council.

   (21) "Estimated receipts" means the estimated receipt of cash in the most recent official economic and revenue forecast prepared under RCW 82.33.020, and prepared by the office of financial management for those funds, accounts, and sources for which the office of the economic and revenue forecast council does not prepare an official forecast.

   (22) "State budgeting, accounting, and reporting system" means a system that gathers, maintains, and communicates fiscal information. The system links fiscal information beginning with development of agency budget requests through adoption of legislative appropriations to tracking actual receipts and expenditures against approved plans.

   (23) "Allotment of appropriation" means the agency's statement of proposed expenditures, the director of financial management's review of that statement, and the placement of the approved statement into the state budgeting, accounting, and reporting system.

   (24) "Statement of proposed expenditures" means a plan prepared by each agency that breaks each appropriation out into monthly detail representing the best estimate of how the appropriation will be expended.

   (25) "Undesignated fund balance (or deficit)" means unreserved and undesignated current assets or other resources available for expenditure over and above any current liabilities which are expected to be incurred by the close of the fiscal period.

   (26) "Internal audit" means an independent appraisal activity within an agency for the review of operations as a service to management, including a systematic examination of accounting and fiscal controls to assure that human and material resources are guarded against waste, loss, or misuse; and that reliable data are gathered, maintained, and fairly disclosed in a written report of the audit findings.

   (27) "Performance verification" means an analysis that (a) verifies the accuracy of data used by state agencies in quantifying intended results and measuring performance toward those results, and (b) verifies whether or not the reported results were achieved.

   (28) "Performance audit" has the same meaning as it is defined in RCW 44.28.005.

   Sec. 108. RCW 43.88.030 and 2004 c 276 s 908 are each amended to read as follows:

   (1) The director of financial management shall provide all agencies with a complete set of instructions for submitting biennial budget requests to the director at least three months before agency budget documents are due into the office of financial management. ((The director shall provide agencies and committees that are required under RCW 44.40.070 to develop comprehensive six-year program and financial plans with a complete set of instructions for submitting these program and financial plans at the same time that instructions for submitting other budget requests are provided.)) The budget document or documents shall consist of the governor's budget message which shall be explanatory of the budget and shall contain an outline of the proposed financial policies of the state for the ensuing fiscal period, as well as an outline of the proposed six-year financial policies where applicable, and shall describe in connection therewith the important features of the budget. The message shall set forth the reasons for salient changes from the previous fiscal period in expenditure and revenue items and shall explain any major changes in financial policy. Attached to the budget message shall be such supporting schedules, exhibits and other explanatory material in respect to both current operations and capital improvements as the governor shall deem to be useful to the legislature. The budget document or documents shall set forth a proposal for expenditures in the ensuing fiscal period, or six-year period where applicable, based upon the estimated revenues and caseloads as approved by the economic and revenue forecast council and caseload forecast council or upon the estimated revenues and caseloads of the office of financial management for those funds, accounts, sources, and programs for which the forecast councils do not prepare an official forecast((, including those revenues anticipated to support the six-year programs and financial plans under RCW 44.40.070. In estimating revenues to support financial plans under RCW 44.40.070, the office of financial management shall rely on information and advice from the transportation revenue forecast council)). Revenues shall be estimated for such fiscal period from the source and at the rates existing by law at the time of submission of the budget document, including the supplemental budgets submitted in the even-numbered years of a biennium. However, the estimated revenues and caseloads for use in the governor's budget document may be adjusted to reflect budgetary revenue transfers and revenue and caseload estimates dependent upon budgetary assumptions of enrollments, workloads, and caseloads. All adjustments to the approved estimated revenues and caseloads must be set forth in the budget document. The governor may additionally submit, as an appendix to each supplemental, biennial, or six-year agency budget or to the budget document or documents, a proposal for expenditures in the ensuing fiscal period from revenue sources derived from proposed changes in existing statutes.

    Supplemental and biennial documents shall reflect a six-year expenditure plan consistent with estimated revenues from existing sources ((and at existing rates for those agencies required to submit six-year program and financial plans under RCW 44.40.070)). Any additional revenue resulting from proposed changes to existing statutes shall be separately identified within the document as well as related expenditures for the six-year period.

    The budget document or documents shall also contain:

    (a) Revenues classified by fund and source for the immediately past fiscal period, those received or anticipated for the current fiscal period, and those anticipated for the ensuing biennium((, and those anticipated for the ensuing six-year period to support the six-year programs and financial plans required under RCW 44.40.070));

    (b) The undesignated fund balance or deficit, by fund;

    (c) Such additional information dealing with expenditures, revenues, workload, performance, and personnel as the legislature may direct by law or concurrent resolution;

    (d) Such additional information dealing with revenues and expenditures as the governor shall deem pertinent and useful to the legislature;

    (e) Tabulations showing expenditures classified by fund, function, activity, and agency. However, documents submitted for the 2005-07 biennial budget request need not show expenditures by activity;

    (f) A delineation of each agency's activities, including those activities funded from nonbudgeted, nonappropriated sources, including funds maintained outside the state treasury;


   (g) Identification of all proposed direct expenditures to implement the Puget Sound water quality plan under chapter 90.71 RCW, shown by agency and in total; and

   (h) Tabulations showing each postretirement adjustment by retirement system established after fiscal year 1991, to include, but not be limited to, estimated total payments made to the end of the previous biennial period, estimated payments for the present biennium, and estimated payments for the ensuing biennium.

   (2) The budget document or documents shall include detailed estimates of all anticipated revenues applicable to proposed operating or capital expenditures and shall also include all proposed operating or capital expenditures. The total of beginning undesignated fund balance and estimated revenues less working capital and other reserves shall equal or exceed the total of proposed applicable expenditures. The budget document or documents shall further include:

   (a) Interest, amortization and redemption charges on the state debt;

   (b) Payments of all reliefs, judgments, and claims;

   (c) Other statutory expenditures;

   (d) Expenditures incident to the operation for each agency;

   (e) Revenues derived from agency operations;

   (f) Expenditures and revenues shall be given in comparative form showing those incurred or received for the immediately past fiscal period and those anticipated for the current biennium and next ensuing biennium((, as well as those required to support the six-year programs and financial plans required under RCW 44.40.070));

   (g) A showing and explanation of amounts of general fund and other funds obligations for debt service and any transfers of moneys that otherwise would have been available for appropriation;

   (h) Common school expenditures on a fiscal-year basis;

   (i) A showing, by agency, of the value and purpose of financing contracts for the lease/purchase or acquisition of personal or real property for the current and ensuing fiscal periods; and

   (j) A showing and explanation of anticipated amounts of general fund and other funds required to amortize the unfunded actuarial accrued liability of the retirement system specified under chapter 41.45 RCW, and the contributions to meet such amortization, stated in total dollars and as a level percentage of total compensation.

   (3) A separate capital budget document or schedule shall be submitted that will contain the following:

   (a) A statement setting forth a long-range facilities plan for the state that identifies and includes the highest priority needs within affordable spending levels;

   (b) A capital program consisting of proposed capital projects for the next biennium and the two biennia succeeding the next biennium consistent with the long-range facilities plan. Insomuch as is practical, and recognizing emergent needs, the capital program shall reflect the priorities, projects, and spending levels proposed in previously submitted capital budget documents in order to provide a reliable long-range planning tool for the legislature and state agencies;

   (c) A capital plan consisting of proposed capital spending for at least four biennia succeeding the next biennium;

   (d) A strategic plan for reducing backlogs of maintenance and repair projects. The plan shall include a prioritized list of specific facility deficiencies and capital projects to address the deficiencies for each agency, cost estimates for each project, a schedule for completing projects over a reasonable period of time, and identification of normal maintenance activities to reduce future backlogs;

   (e) A statement of the reason or purpose for a project;

   (f) Verification that a project is consistent with the provisions set forth in chapter 36.70A RCW;

   (g) A statement about the proposed site, size, and estimated life of the project, if applicable;

    (h) Estimated total project cost;

    (i) For major projects valued over five million dollars, estimated costs for the following project components: Acquisition, consultant services, construction, equipment, project management, and other costs included as part of the project. Project component costs shall be displayed in a standard format defined by the office of financial management to allow comparisons between projects;

    (j) Estimated total project cost for each phase of the project as defined by the office of financial management;

    (k) Estimated ensuing biennium costs;

    (l) Estimated costs beyond the ensuing biennium;

    (m) Estimated construction start and completion dates;

    (n) Source and type of funds proposed;

    (o) Estimated ongoing operating budget costs or savings resulting from the project, including staffing and maintenance costs;

    (p) For any capital appropriation requested for a state agency for the acquisition of land or the capital improvement of land in which the primary purpose of the acquisition or improvement is recreation or wildlife habitat conservation, the capital budget document, or an omnibus list of recreation and habitat acquisitions provided with the governor's budget document, shall identify the projected costs of operation and maintenance for at least the two biennia succeeding the next biennium. Omnibus lists of habitat and recreation land acquisitions shall include individual project cost estimates for operation and maintenance as well as a total for all state projects included in the list. The document shall identify the source of funds from which the operation and maintenance costs are proposed to be funded;

    (q) Such other information bearing upon capital projects as the governor deems to be useful;

    (r) Standard terms, including a standard and uniform definition of normal maintenance, for all capital projects;

    (s) Such other information as the legislature may direct by law or concurrent resolution.

    For purposes of this subsection (3), the term "capital project" shall be defined subsequent to the analysis, findings, and recommendations of a joint committee comprised of representatives from the house capital appropriations committee, senate ways and means committee, ((legislative transportation committee,)) legislative evaluation and accountability program committee, and office of financial management.

    (4) No change affecting the comparability of agency or program information relating to expenditures, revenues, workload, performance and personnel shall be made in the format of any budget document or report presented to the legislature under this section or RCW 43.88.160(1) relative to the format of the budget document or report which was presented to the previous regular session of the legislature during an odd-numbered year without prior legislative concurrence. Prior legislative concurrence shall consist of (a) a favorable majority vote on the proposal by the standing committees on ways and means of both houses if the legislature is in session or (b) a favorable majority vote on the proposal by members of the legislative evaluation and accountability program committee if the legislature is not in session.

    Sec. 109. RCW 43.88.230 and 1996 c 288 s 40 are each amended to read as follows:

    For the purposes of this chapter, the statute law committee, the joint legislative audit and review committee, the ((legislative)) joint transportation committee, the legislative evaluation and accountability program committee, the office of state actuary, and all legislative standing committees of both houses shall be deemed a part of the legislative branch of state government.

    Sec. 110. RCW 43.105.160 and 1999 c 80 s 9 are each amended to read as follows:

    (1) The department shall prepare a state strategic information technology plan which shall establish a statewide mission, goals, and objectives for the use of information technology, including goals for electronic access to government records, information, and services. The plan shall be developed in accordance with the standards and policies established by the board and shall be submitted to the board for review, modification as necessary, and approval. The department shall seek the advice of the board in the development of this plan.

   The plan approved under this section shall be updated as necessary and submitted to the governor((,)) and the chairs and ranking minority members of the appropriations committees of the senate and the house of representatives((, and, during the legislative session, to the chairs and ranking minority members of the transportation committees of the senate and the house of representatives. During the legislative interim, the approved plan must be submitted to the legislative transportation committee, instead of the standing transportation committees)).

   (2) The department shall prepare a biennial state performance report on information technology based on agency performance reports required under RCW 43.105.170 and other information deemed appropriate by the department. The report shall include, but not be limited to:

   (a) An analysis, based upon agency portfolios, of the state's information technology infrastructure, including its value, condition, and capacity;

   (b) An evaluation of performance relating to information technology;

   (c) An assessment of progress made toward implementing the state strategic information technology plan, including progress toward electronic access to public information and enabling citizens to have two-way access to public records, information, and services;

   (d) An analysis of the success or failure, feasibility, progress, costs, and timeliness of implementation of major information technology projects under RCW 43.105.190;

   (e) Identification of benefits, cost avoidance, and cost savings generated by major information technology projects developed under RCW 43.105.190; and

   (f) An inventory of state information services, equipment, and proprietary software.

   Copies of the report shall be distributed biennially to the governor((,)) and the chairs and ranking minority members of the appropriations committees of the senate and the house of representatives((, and, during the legislative session, the chairs and ranking minority members of the transportation committees of the senate and the house of representatives. During the legislative interim, the report must be submitted to the legislative transportation committee, instead of the standing transportation committees)).

   Sec. 111. RCW 43.105.190 and 1999 c 80 s 12 are each amended to read as follows:

   (1) The department, with the approval of the board, shall establish standards and policies governing the planning, implementation, and evaluation of major information technology projects, including those proposed by the superintendent of public instruction, in conjunction with educational service districts, or statewide or regional providers of K-12 education information technology services. The standards and policies shall:

   (a) Establish criteria to identify projects which are subject to this section. Such criteria shall include, but not be limited to, significant anticipated cost, complexity, or statewide significance of the project; and

   (b) Establish a model process and procedures which agencies shall follow in developing and implementing projects within their information technology portfolios. Agencies may propose, for approval by the department, a process and procedures unique to the agency. The department may accept or require modification of such agency proposals or the department may reject such agency proposals and require use of the model process and procedures established under this subsection. Any process and procedures developed under this subsection shall require (i) distinct and identifiable phases upon which funding may be based, (ii) user validation of products through system demonstrations and testing of prototypes and deliverables, and (iii) other elements identified by the board.

    The director may terminate a major project if the director determines that the project is not meeting or is not expected to meet anticipated performance standards.

    (2) The office of financial management shall establish policies and standards consistent with portfolio-based information technology management to govern the funding of projects developed under this section. The policies and standards shall provide for:

    (a) Funding of a project under terms and conditions mutually agreed to by the director, the director of financial management, and the head of the agency proposing the project. However, the office of financial management may require incremental funding of a project on a phase-by-phase basis whereby funds for a given phase of a project may be released only when the office of financial management determines, with the advice of the department, that the previous phase is satisfactorily completed;

    (b) Acceptance testing of products to assure that products perform satisfactorily before they are accepted and final payment is made; and

    (c) Other elements deemed necessary by the office of financial management.

    (3) The department shall evaluate projects based on the demonstrated business needs and benefits; cost; technology scope and feasibility; impact on the agency's information technology portfolio and on the statewide infrastructure; and final project implementation plan based upon available funding.

    Copies of project evaluations conducted under this subsection shall be submitted to the office of financial management and the chairs, ranking minority members, and staff coordinators of the appropriations committees of the senate and house of representatives.

    If there are projects that receive funding from a transportation fund or account, copies of those projects' evaluations conducted under this subsection must be submitted((, during the legislative session,)) to the chairs and ranking minority members of the transportation committees of the senate and the house of representatives. ((During the legislative interim, the project evaluations must be submitted to the legislative transportation committee.))

    Sec. 112. RCW 44.04.260 and 2003 c 295 s 12 are each amended to read as follows:

    The joint legislative audit and review committee, the ((legislative)) joint transportation committee, the select committee on pension policy, the legislative evaluation and accountability program committee, and the joint legislative systems committee are subject to such operational policies, procedures, and oversight as are deemed necessary by the facilities and operations committee of the senate and the executive rules committee of the house of representatives to ensure operational adequacy of the agencies of the legislative branch. As used in this section, "operational policies, procedures, and oversight" includes the development process of biennial budgets, contracting procedures, personnel policies, and compensation plans, selection of a chief administrator, facilities, and expenditures. This section does not grant oversight authority to the facilities and operations committee of the senate over any standing committee of the house of representatives or oversight authority to the executive rules committee of the house of representatives over any standing committee of the senate.

    Sec. 113. RCW 44.28.088 and 2003 c 362 s 14 are each amended to read as follows:

    (1) When the legislative auditor has completed a performance audit authorized in the performance audit work plan, the legislative auditor shall transmit the preliminary performance audit report to the affected state agency or local government and the office of financial management for comment. The agency or local government and the office of financial management shall provide any response to the legislative auditor within thirty days after receipt of the preliminary performance audit report unless a different time period is approved by the joint committee. The legislative auditor shall incorporate the response of the agency or local government and the office of financial management into the final performance audit report.

   (2) Except as provided in subsection (3) of this section, before releasing the results of a performance audit to the legislature or the public, the legislative auditor shall submit the preliminary performance audit report to the joint committee for its review, comments, and final recommendations. Any comments by the joint committee must be included as a separate addendum to the final performance audit report. Upon consideration and incorporation of the review, comments, and recommendations of the joint committee, the legislative auditor shall transmit the final performance audit report to the affected agency or local government, the director of financial management, the leadership of the senate and the house of representatives, and the appropriate standing committees of the house of representatives and the senate and shall publish the results and make the report available to the public. For purposes of this section, "leadership of the senate and the house of representatives" means the speaker of the house, the majority leaders of the senate and the house of representatives, the minority leaders of the senate and the house of representatives, the caucus chairs of both major political parties of the senate and the house of representatives, and the floor leaders of both major political parties of the senate and the house of representatives.

   (3) If contracted to manage a transportation-related performance audit under RCW 44.75.090, before releasing the results of a performance audit originally ((requested)) directed by the ((executive committee of the legislative transportation committee)) transportation performance audit board to the legislature or the public, the legislative auditor shall submit the preliminary performance audit report to the ((executive committee of the joint committee and the executive committee of the legislative transportation committee)) transportation performance audit board for review and comments solely on the management of the audit. Any comments by the ((executive committee of the joint committee and executive committee of the legislative transportation committee)) transportation performance audit board must be included as a separate addendum to the final performance audit report. Upon consideration and incorporation of the review and comments of the ((executive committee of the joint committee and executive committee of the legislative transportation committee)) transportation performance audit board, the legislative auditor shall transmit the final performance audit report to the affected agency or local government, the director of financial management, the leadership of the senate and the house of representatives, and the appropriate standing committees of the house of representatives and the senate and shall publish the results and make the report available to the public.

   Sec. 114. RCW 44.40.025 and 1996 c 288 s 49 are each amended to read as follows:

   ((In addition to the powers and duties authorized in RCW 44.40.020, the committee and)) The standing committees on transportation of the house and senate shall, in coordination with the joint legislative audit and review committee, the legislative evaluation and accountability program committee, and the ways and means committees of the senate and house of representatives, ascertain, study, ((and/or)) and analyze all available facts and matters relating or pertaining to sources of revenue, appropriations, expenditures, and financial condition of the motor vehicle fund and accounts thereof, the highway safety fund, and all other funds or accounts related to transportation programs of the state.

    The joint legislative audit and review committee, the legislative evaluation and accountability program committee, and the ways and means committees of the senate and house of representatives shall coordinate their activities with the ((legislative)) transportation committees of the legislature in carrying out the committees' powers and duties under chapter 43.88 RCW in matters relating to the transportation programs of the state.

    Sec. 115. RCW 46.01.320 and 1996 c 315 s 2 are each amended to read as follows:

    The title and registration advisory committee is created within the department. The committee consists of the director or a designee, who shall serve as chair, the assistant director for vehicle services, the administrator of title and registration services, two members from each of the house and senate transportation committees, two county auditors nominated by the Washington association of county officials, and two representatives of subagents nominated by an association of vehicle subagents. The committee shall meet at least twice a year, and may meet as often as is necessary.

    The committee's purpose is to foster communication between the legislature, the department, county auditors, and subagents. The committee shall make recommendations ((when requested by the legislative transportation committee, or on its own initiative,)) about revisions to fee structures, implications of fee revisions on cost sharing, and the development of standard contracts provided for in RCW 46.01.140(3).

    Sec. 116. RCW 46.01.325 and 1996 c 315 s 3 are each amended to read as follows:

    (1) The director shall prepare, with the advice of the title and registration advisory committee, an annual comprehensive analysis and evaluation of agent and subagent fees. The director shall make recommendations for agent and subagent fee revisions approved by the title and registration advisory committee to the ((legislative)) senate and house transportation committees by January 1st of every third year starting with 1996. Fee revision recommendations may be made more frequently when justified by the annual analysis and evaluation, and requested by the title and registration advisory committee.

    (2) The annual comprehensive analysis and evaluation must consider, but is not limited to:

    (a) Unique and significant financial, legislative, or other relevant developments that may impact fees;

    (b) Current funding for ongoing operating and maintenance automation project costs affecting revenue collection and service delivery;

    (c) Future system requirements including an appropriate sharing of costs between the department, agents, and subagents;

    (d) Beneficial mix of customer service delivery options based on a fee structure commensurate with quality performance standards;

    (e) Appropriate indices projecting state and national growth in business and economic conditions prepared by the United States department of commerce, the department of revenue, and the revenue forecast council for the state of Washington.

    Sec. 117. RCW 46.16.705 and 2003 c 196 s 101 are each amended to read as follows:

    (1) The special license plate review board is created.

    (2) The board will consist of seven members: One member appointed by the governor and who will serve as chair of the board; four members of the legislature, one from each caucus of the house of representatives and the senate; a department of licensing representative appointed by the director; and a Washington state patrol representative appointed by the chief.

    (3) Members shall serve terms of four years, except that four of the members initially appointed will be appointed for terms of two years. No member may be appointed for more than three consecutive terms.

    (4) The ((legislative transportation committee)) respective appointing authority may remove members from the board before the expiration of their terms only for cause based upon a determination of incapacity, incompetence, neglect of duty, or malfeasance in office as ordered by the Thurston county superior court, upon petition and show cause proceedings brought for that purpose in that court and directed to the board member in question.

   Sec. 118. RCW 46.16.715 and 2003 c 196 s 102 are each amended to read as follows:

   (1) The board shall meet periodically at the call of the chair, but must meet at least one time each year within ninety days before an upcoming regular session of the legislature. The board may adopt its own rules and may establish its own procedures. It shall act collectively in harmony with recorded resolutions or motions adopted by a majority vote of the members, and it must have a quorum present to take a vote on a special license plate application.

   (2) The board will be compensated from the general appropriation for the ((legislative transportation committee)) department of licensing in accordance with RCW 43.03.250. Each board member will be compensated in accordance with RCW 43.03.250 and reimbursed for actual necessary traveling and other expenses in going to, attending, and returning from meetings of the board or that are incurred in the discharge of duties requested by the chair. However, in no event may a board member be compensated in any year for more than one hundred twenty days, except the chair may be compensated for not more than one hundred fifty days. Service on the board does not qualify as a service credit for the purposes of a public retirement system.

   (3) The board shall keep proper records and is subject to audit by the state auditor or other auditing entities.

   (4) The department of licensing shall provide administrative support to the board, which must include at least the following:

   (a) Provide general staffing to meet the administrative needs of the board;

   (b) Report to the board on the reimbursement status of any new special license plate series for which the state had to pay the start-up costs;

   (c) Process special license plate applications and confirm that the sponsoring organization has submitted all required documentation. If an incomplete application is received, the department must return it to the sponsoring organization;

   (d) Compile the annual financial reports submitted by sponsoring organizations with active special license plate series and present those reports to the board for review and approval.

   (((5) The legislative transportation committee shall provide general oversight of the board, which must include at least the following:

   (a) Process and approve board member compensation requests;

   (b) Review the annual financial reports submitted to the board by sponsoring organizations;

   (c) Review annually the list of the board's approved and rejected special license plate proposals submitted by sponsoring organizations.))

   Sec. 119. RCW 46.16.725 and 2003 c 196 s 103 are each amended to read as follows:

   (1) The creation of the board does not in any way preclude the authority of the legislature to independently propose and enact special license plate legislation.

   (2) The board must review and either approve or reject special license plate applications submitted by sponsoring organizations.

   (3) Duties of the board include but are not limited to the following:

   (a) Review and approve the annual financial reports submitted by sponsoring organizations with active special license plate series and present those annual financial reports to the ((legislative)) senate and house transportation committees;

   (b) Report annually to the ((legislative)) senate and house transportation committees on the special license plate applications that were considered by the board;

    (c) Issue approval and rejection notification letters to sponsoring organizations, the department, the chairs of the senate and house of representatives transportation committees, and the legislative sponsors identified in each application. The letters must be issued within seven days of making a determination on the status of an application;

    (d) Review annually the number of plates sold for each special license plate series created after January 1, 2003. The board may submit a recommendation to discontinue a special plate series to the chairs of the senate and house of representatives transportation committees.

    Sec. 120. RCW 46.73.010 and 1985 c 333 s 1 are each amended to read as follows:

    The Washington state patrol may adopt rules establishing standards for qualifications and hours of service of drivers for private carriers as defined by RCW 81.80.010(6). Such standards shall correlate with and, as far as reasonable, conform to the regulations contained in Title 49 C.F.R., Chapter 3, Subchapter B, Parts 391 and 395, on July 28, 1985. ((At least thirty days before filing notice of the proposed rules with the code reviser, the state patrol shall submit them to the legislative transportation committee for review.))

    Sec. 121. RCW 47.01.280 and 1999 c 94 s 10 are each amended to read as follows:

    (1) Upon receiving an application for improvements to an existing state highway or highways pursuant to RCW 43.160.074 from the community economic revitalization board, the transportation commission shall, in a timely manner, determine whether or not the proposed state highway improvements:

    (a) Meet the safety and design criteria of the department of transportation;

    (b) Will impair the operational integrity of the existing highway system;

    (c) Will affect any other improvements planned by the department; and

    (d) Will be consistent with its policies developed pursuant to RCW 47.01.071.

    (2) Upon completion of its determination of the factors contained in subsection (1) of this section and any other factors it deems pertinent, the transportation commission shall forward its approval, as submitted or amended or disapproval of the proposed improvements to the board, along with any recommendation it may wish to make concerning the desirability and feasibility of the proposed development. If the transportation commission disapproves any proposed improvements, it shall specify its reasons for disapproval.

    (3) Upon notification from the board of an application's approval pursuant to RCW 43.160.074, the transportation commission shall direct the department of transportation to carry out the improvements in coordination with the applicant.

    (((4) The transportation commission shall notify the legislative transportation committee of all state highway improvements to be carried out pursuant to RCW 43.160.074 and this section.))

    Sec. 122. RCW 47.04.210 and 2001 2nd sp.s. c 14 s 601 are each amended to read as follows:

    Federal funds that are administered by the department of transportation and are passed through to municipal corporations or political subdivisions of the state and moneys that are received as total reimbursement for goods, services, or projects constructed by the department of transportation are removed from the transportation budget. To process and account for these expenditures a new treasury trust account is created to be used for all department of transportation one hundred percent federal and local reimbursable transportation expenditures. This new account is nonbudgeted and nonappropriated. At the same time, federal and private local appropriations and full-time equivalents in subprograms R2, R3, T6, Y6, and Z2 processed through this new account are removed from the department of transportation's 1997-99 budget.


   The department of transportation may make expenditures from the account before receiving federal and local reimbursements. However, at the end of each biennium, the account must maintain a zero or positive cash balance. In the twenty-fourth month of each biennium the department of transportation shall calculate and transfer sufficient cash from either the motor vehicle fund or the multimodal transportation account to cover any negative cash balances. The amount transferred is calculated based on expenditures from each fund. In addition, any interest charges accruing to the new account must be distributed to the motor vehicle fund and the multimodal transportation account.

   The department of transportation shall provide an annual report to the ((legislative)) senate and house transportation committees and the office of financial management on expenditures and full-time equivalents processed through the new account. The report must also include recommendations for process changes, if needed.

   Sec. 123. RCW 47.04.220 and 2001 2nd sp.s. c 14 s 602 are each amended to read as follows:

   (1) The miscellaneous transportation programs account is created in the custody of the state treasurer.

   (2) Moneys from the account may be used only for the costs of:

   (a) Miscellaneous transportation services provided by the department that are reimbursed by other public and private entities;

   (b) Local transportation projects for which the department is a conduit for federal reimbursement to a municipal corporation or political subdivision; or

   (c) Other reimbursable activities as recommended by the ((legislative)) senate and house transportation committees and approved by the office of financial management.

   (3) Moneys received as reimbursement for expenditures under subsection (2) of this section must be deposited into the account.

   (4) No appropriation is required for expenditures from this account. This fund is not subject to allotment procedures provided under chapter 43.88 RCW.

   (5) Only the secretary of transportation or the secretary's designee may authorize expenditures from the account.

   (6) It is the intent of the legislature that this account maintain a zero or positive cash balance at the end of each biennium. Toward this purpose the department may make expenditures from the account before receiving reimbursements under subsection (2) of this section. Before the end of the biennium, the department shall transfer sufficient cash to cover any negative cash balances from the motor vehicle fund and the multimodal transportation account to the miscellaneous transportation programs account for unrecovered reimbursements. The department shall calculate the distribution of this transfer based on expenditures. In the ensuing biennium the department shall transfer the reimbursements received in the miscellaneous transportation programs account back to the motor vehicle fund and the multimodal transportation account to the extent of the cash transferred at biennium end. The department shall also distribute any interest charges accruing to the miscellaneous transportation programs account to the motor vehicle fund and the multimodal transportation account. Adjustments for any indirect cost recoveries may also be made at this time.

   (7) The department shall provide an annual report to the ((legislative)) senate and house transportation committees and the office of financial management on the expenditures and full-time equivalents processed through the miscellaneous transportation programs account. The report must also include recommendations for changes to the process, if needed.

   Sec. 124. RCW 47.06.110 and 1996 c 186 s 512 are each amended to read as follows:

   The state-interest component of the statewide multimodal transportation plan shall include a state public transportation plan that:

    (1) Articulates the state vision of an interest in public transportation and provides quantifiable objectives, including benefits indicators;

    (2) Identifies the goals for public transit and the roles of federal, state, regional, and local entities in achieving those goals;

    (3) Recommends mechanisms for coordinating state, regional, and local planning for public transportation;

    (4) Recommends mechanisms for coordinating public transportation with other transportation services and modes;

    (5) Recommends criteria, consistent with the goals identified in subsection (2) of this section and with RCW 82.44.180 (2) and (3), for existing federal authorizations administered by the department to transit agencies; and

    (6) Recommends a statewide public transportation facilities and equipment management system as required by federal law.

    In developing the state public transportation plan, the department shall involve local jurisdictions, public and private providers of transportation services, nonmotorized interests, and state agencies with an interest in public transportation, including but not limited to the departments of community, trade, and economic development, social and health services, and ecology, the office of the superintendent of public instruction, the office of the governor, and the office of financial management.

    The department shall submit ((an initial report)) to the ((legislative)) senate and house transportation committees by December ((1, 1993, and shall provide annual)) 1st of each year, reports summarizing the plan's progress ((each year thereafter)).

    Sec. 125. RCW 47.06A.020 and 1999 c 216 s 1 are each amended to read as follows:

    (1) The board shall:

    (a) Adopt rules and procedures necessary to implement the freight mobility strategic investment program;

    (b) Solicit from public entities proposed projects that meet eligibility criteria established in accordance with subsection (4) of this section; and

    (c) Review and evaluate project applications based on criteria established under this section, and prioritize and select projects comprising a portfolio to be funded in part with grants from state funds appropriated for the freight mobility strategic investment program. In determining the appropriate level of state funding for a project, the board shall ensure that state funds are allocated to leverage the greatest amount of partnership funding possible. After selecting projects comprising the portfolio, the board shall submit them as part of its budget request to the office of financial management and the legislature. The board shall ensure that projects submitted as part of the portfolio are not more appropriately funded with other federal, state, or local government funding mechanisms or programs. The board shall reject those projects that appear to improve overall general mobility with limited enhancement for freight mobility.

    The board shall provide periodic progress reports on its activities to the office of financial management and the ((legislative)) senate and house transportation committees.

    (2) The board may:

    (a) Accept from any state or federal agency, loans or grants for the financing of any transportation project and enter into agreements with any such agency concerning the loans or grants;

    (b) Provide technical assistance to project applicants;

    (c) Accept any gifts, grants, or loans of funds, property, or financial, or other aid in any form from any other source on any terms and conditions which are not in conflict with this chapter;

    (d) Adopt rules under chapter 34.05 RCW as necessary to carry out the purposes of this chapter; and

    (e) Do all things necessary or convenient to carry out the powers expressly granted or implied under this chapter.

    (3) The board shall designate strategic freight corridors within the state. The board shall update the list of designated strategic corridors not less than every two years, and shall establish a method of collecting and verifying data, including information on city and county-owned roadways.

   (4) ((From June 11, 1998, through the biennium ending June 30, 2001,)) The board shall utilize threshold project eligibility criteria that, at a minimum, includes the following:

   (a) The project must be on a strategic freight corridor;

   (b) The project must meet one of the following conditions:

   (i) It is primarily aimed at reducing identified barriers to freight movement with only incidental benefits to general or personal mobility; or

   (ii) It is primarily aimed at increasing capacity for the movement of freight with only incidental benefits to general or personal mobility; or

   (iii) It is primarily aimed at mitigating the impact on communities of increasing freight movement, including roadway/railway conflicts; and

   (c) The project must have a total public benefit/total public cost ratio of equal to or greater than one.

   (5) From June 11, 1998, through the biennium ending June 30, 2001, the board shall use the multicriteria analysis and scoring framework for evaluating and ranking eligible freight mobility and freight mitigation projects developed by the freight mobility project prioritization committee and contained in the January 16, 1998, report entitled "Project Eligibility, Priority and Selection Process for a Strategic Freight Investment Program." The prioritization process shall measure the degree to which projects address important program objectives and shall generate a project score that reflects a project's priority compared to other projects. The board shall assign scoring points to each criterion that indicate the relative importance of the criterion in the overall determination of project priority. After June 30, 2001, the board may supplement and refine the initial project priority criteria and scoring framework developed by the freight mobility project prioritization committee as expertise and experience is gained in administering the freight mobility program.

   (6) It is the intent of the legislature that each freight mobility project contained in the project portfolio submitted by the board utilize the greatest amount of nonstate funding possible. The board shall adopt rules that give preference to projects that contain the greatest levels of financial participation from nonprogram fund sources. The board shall consider twenty percent as the minimum partnership contribution, but shall also ensure that there are provisions allowing exceptions for projects that are located in areas where minimal local funding capacity exists or where the magnitude of the project makes the adopted partnership contribution financially unfeasible.

   (7) The board shall develop and recommend policies that address operational improvements that primarily benefit and enhance freight movement, including, but not limited to, policies that reduce congestion in truck lanes at border crossings and weigh stations and provide for access to ports during nonpeak hours.

   Sec. 126. RCW 47.10.790 and 1985 c 406 s 1 are each amended to read as follows:

   (1) In order to provide funds for the location, design, right of way, and construction of selected interstate highway improvements, there shall be issued and sold upon the request of the Washington state transportation commission, a total of one hundred million dollars of general obligation bonds of the state of Washington to pay the state's share of costs for completion of state route 90 (state route 5 to state route 405) and other related state highway projects eligible for regular federal interstate funding and until December 31, 1989, to temporarily pay the regular federal share of construction of completion projects on state route 90 (state route 5 to state route 405) and other related state highway projects eligible for regular interstate funding in advance of federal-aid apportionments under the provisions of 23 U.S.C. Secs. 115 or 122: PROVIDED, That the total amount of bonds issued to temporarily pay the regular federal share of construction of federal-aid interstate highways in advance of federal-aid apportionments as authorized by this section and RCW 47.10.801 shall not exceed one hundred twenty million dollars: PROVIDED FURTHER, That the transportation commission shall ((consult with the legislative transportation committee prior to the adoption of)) adopt plans for the obligation of federal-aid apportionments received in federal fiscal year 1985 and subsequent years to pay the regular federal share of federal-aid interstate highway construction projects or to convert such apportionments under the provisions of 23 U.S.C. Secs. 115 or 122.

    (2) The transportation commission((, in consultation with the legislative transportation committee,)) may at any time find and determine that any amount of the bonds authorized in subsection (1) of this section, and not then sold, are no longer required to be issued and sold for the purposes described in subsection (1) of this section.

    (3) Any bonds authorized by subsection (1) of this section that the transportation commission determines are no longer required for the purpose of paying the cost of the designated interstate highway improvements described therein shall be issued and sold, upon the request of the Washington state transportation commission, to provide funds for the location, design, right of way, and construction of major transportation improvements throughout the state ((that are identified as category C improvements in RCW 47.05.030)).

    Sec. 127. RCW 47.10.801 and 1999 c 94 s 13 are each amended to read as follows:

    (1) In order to provide funds necessary for the location, design, right of way, and construction of selected interstate and other state highway improvements, there shall be issued and sold, subject to subsections (2), (3), and (4) of this section, upon the request of the Washington state transportation commission a total of four hundred sixty million dollars of general obligation bonds of the state of Washington for the following purposes and specified sums:

    (a) Not to exceed two hundred twenty-five million dollars to pay the state's share of costs for federal-aid interstate highway improvements and until December 31, 1989, to temporarily pay the regular federal share of construction of federal-aid interstate highway improvements to complete state routes 82, 90, 182, and 705 in advance of federal-aid apportionments under the provisions of 23 U.S.C. Secs. 115 or 122: PROVIDED, That the total amount of bonds issued to temporarily pay the regular federal share of construction of federal-aid interstate highways in advance of federal-aid apportionments as authorized by this section and RCW 47.10.790 shall not exceed one hundred twenty million dollars: PROVIDED FURTHER, That the transportation commission shall ((consult with the legislative transportation committee prior to the adoption of)) adopt plans for the obligation of federal-aid apportionments received in federal fiscal year 1985 and subsequent years to pay the regular federal share of federal-aid interstate highway construction projects or to convert such apportionments under the provisions of 23 U.S.C. Secs. 115 or 122;

    (b) Two hundred twenty-five million dollars for major transportation improvements throughout the state that are identified as category C improvements and for selected major non-interstate construction and reconstruction projects that are included as Category A Improvements ((in RCW 47.05.030));

    (c) Ten million dollars for state highway improvements necessitated by planned economic development, as determined through the procedures set forth in RCW 43.160.074 and 47.01.280.

    (2) The amount of bonds authorized in subsection (1)(a) of this section shall be reduced if the transportation commission((, in consultation with the legislative transportation committee,)) determines that any of the bonds that have not been sold are no longer required.


   (3) The amount of bonds authorized in subsection (1)(b) of this section shall be increased by an amount not to exceed, and concurrent with, any reduction of bonds authorized under subsection (1)(a) of this section in the manner prescribed in subsection (2) of this section.

   (4) The transportation commission may decrease the amount of bonds authorized in subsection (1)(c) of this section and increase the amount of bonds authorized in subsection (1)(a) or (b) of this section, or both by an amount equal to the decrease in subsection (1)(c) of this section. The transportation commission may decrease the amount of bonds authorized in subsection (1)(c) of this section only if the legislature appropriates an equal amount of funds from the motor vehicle fund - basic account for the purposes enumerated in subsection (1)(c) of this section.

   Sec. 128. RCW 47.10.802 and 1986 c 290 s 1 are each amended to read as follows:

   Upon request being made by the transportation commission, the state finance committee shall supervise and provide for the issuance, sale, and retirement of the bonds authorized by RCW 47.10.801 in accordance with chapter 39.42 RCW. The amount of such bonds issued and sold under RCW 47.10.801 through 47.10.809 in any biennium may not exceed the amount of a specific appropriation therefor. Such bonds may be sold from time to time in such amounts as may be necessary for the orderly progress of the state highway improvements specified in RCW 47.10.801. The amount of bonds issued and sold under RCW 47.10.801(1)(a) in any biennium shall not, except as provided in that section, exceed the amount required to match federal-aid interstate funds available to the state of Washington. ((The transportation commission shall give notice of its intent to sell bonds to the legislative transportation committee before requesting the state finance committee to issue and sell bonds authorized by RCW 47.10.801(1)(a).)) The bonds shall be sold in such manner, at such time or times, in such amounts, and at such price or prices as the state finance committee shall determine. The state finance committee may obtain insurance, letters of credit, or other credit facility devices with respect to the bonds and may authorize the execution and delivery of agreements, promissory notes, and other obligations for the purpose of insuring the payment or enhancing the marketability of the bonds. Promissory notes or other obligations issued under this section shall not constitute a debt or the contracting of indebtedness under any constitutional or statutory indebtedness limitation if their payment is conditioned upon the failure of the state to pay the principal of or interest on the bonds with respect to which the promissory notes or other obligations relate. The state finance committee may authorize the issuance of short-term obligations in lieu of long-term obligations for the purposes of more favorable interest rates, lower total interest costs, and increased marketability and for the purposes of retiring the bonds during the life of the project for which they were issued.

   Sec. 129. RCW 47.17.850 and 1984 c 7 s 139 are each amended to read as follows:

   A state highway to be known as state route number 906 is established as follows:

   Beginning at a junction with state route number 90 at the West Summit interchange of Snoqualmie Pass, thence along the alignment of the state route number 90 as it existed on May 11, 1967, in a southeasterly direction to a junction with state route number 90 at the Hyak interchange.

   ((The legislative transportation committee, the house and senate transportation committees, and the department shall undertake appropriate studies to evaluate state route number 906 to determine whether or not it should permanently remain on the state system.))

   Sec. 130. RCW 47.26.167 and 1991 c 342 s 62 are each amended to read as follows:

   The legislature recognizes the need for a multijurisdictional body to review future requests for jurisdictional transfers. The board is hereby directed, beginning September 1, 1991, to receive petitions from cities, counties, or the state requesting any addition or deletion from the state highway system. The board is required to utilize the criteria established in RCW 47.17.001 in evaluating petitions and to adopt rules for implementation of this process. The board shall forward to the ((legislative)) senate and house transportation committees by November 15 each year any recommended jurisdictional transfers.

    Sec. 131. RCW 47.26.170 and 1994 c 179 s 16 are each amended to read as follows:

    Each county having within its boundaries an urban area and cities and towns shall prepare and submit to the transportation improvement board arterial inventory data required to determine the long-range arterial construction needs. The counties, cities, and towns shall revise the arterial inventory data every four years to show the current arterial construction needs through the advanced planning period, and as revised shall submit them to the transportation improvement board during the first week of January every four years beginning in 1996. The inventory data shall be prepared pursuant to guidelines established by the transportation improvement board. As information is updated, it shall be made available to the commission ((and the legislative transportation committee)).

    Sec. 132. RCW 47.46.030 and 2002 c 114 s 3 are each amended to read as follows:

    (1) The secretary or a designee shall solicit proposals from, and negotiate and enter into agreements with, private entities to undertake as appropriate, together with the department and other public entities, all or a portion of the study, planning, design, construction, operation, and maintenance of transportation systems and facilities, using in whole or in part public or private sources of financing.

    The public-private initiatives program may develop up to six demonstration projects. Each proposal shall be weighed on its own merits, and each of the six agreements shall be negotiated individually, and as a stand-alone project.

    (2) If project proposals selected prior to September 1, 1994, are terminated by the public or private sectors, the department shall not select any new projects, including project proposals submitted to the department prior to September 1, 1994, and designated by the transportation commission as placeholder projects, after June 16, 1995, until June 30, 1997.

    The department, in consultation with the legislative transportation committee, shall conduct a program and fiscal audit of the public-private initiatives program for the biennium ending June 30, 1997. The department shall submit a progress report to the legislative transportation committee on the program and fiscal audit by June 30, 1996, with preliminary and final audit reports due December 1, 1996, and June 30, 1997, respectively.

    The department shall develop and submit a proposed public involvement plan to the 1997 legislature to identify the process for selecting new potential projects and the associated costs of implementing the plan. The legislature must adopt the public involvement plan before the department may proceed with any activity related to project identification and selection. Following legislative adoption of the public involvement plan, the department is authorized to implement the plan and to identify potential new projects.

    The public involvement plan for projects selected after June 30, 1997, shall, at a minimum, identify projects that: (a) Have the potential of achieving overall public support among users of the projects, residents of communities in the vicinity of the projects, and residents of communities impacted by the projects; (b) meet a state transportation need; (c) provide a significant state benefit; and (d) provide competition among proposers and maximum cost benefits to users. Prospective projects may include projects identified by the department or submitted by the private sector.

    Projects that meet the minimum criteria established under this section and the requirements of the public involvement plan developed by the department and approved by the legislature shall be submitted to the Washington state transportation commission for its review. ((The commission, in turn, shall submit a list of eligible projects to the legislative transportation committee for its consideration.)) Forty-five days after the submission to the ((legislative transportation committee)) commission of the list of eligible projects, the secretary is authorized to solicit proposals for the eligible project.

   (3) Prior to entering into agreements with private entities under the requirements of RCW 47.46.040 for any project proposal selected before September 1, 1994, or after June 30, 1997, except as provided for in subsections (((12))) (11) and (((13))) (12) of this section, the department shall require an advisory vote as provided under subsections (5) through (((10))) (9) of this section.

   (4) The advisory vote shall apply to project proposals selected prior to September 1, 1994, or after June 30, 1997, that receive public opposition as demonstrated by the submission to the department of original petitions bearing at least five thousand signatures of individuals opposing the project collected and submitted in accordance with the dates established in subsections (((12))) (11) and (((13))) (12) of this section. The advisory vote shall be on the preferred alternative identified under the requirements of chapter 43.21C RCW and, if applicable, the national environmental policy act, 42 U.S.C. 4321 et seq. The execution by the department of the advisory vote process established in this section is subject to the prior appropriation of funds by the legislature for the purpose of conducting environmental impact studies, a public involvement program, local involvement committee activities, traffic and economic impact analyses, engineering and technical studies, and the advisory vote.

   (5) In preparing for the advisory vote, the department shall conduct a comprehensive analysis of traffic patterns and economic impact to define the geographical boundary of the project area that is affected by the imposition of tolls or user fees authorized under this chapter. The area so defined is referred to in this section as the affected project area. In defining the affected project area, the department shall, at a minimum, undertake: (a) A comparison of the estimated percentage of residents of communities in the vicinity of the project and in other communities impacted by the project who could be subject to tolls or user fees and the estimated percentage of other users and transient traffic that could be subject to tolls or user fees; (b) an analysis of the anticipated traffic diversion patterns; (c) an analysis of the potential economic impact resulting from proposed toll rates or user fee rates imposed on residents, commercial traffic, and commercial entities in communities in the vicinity of and impacted by the project; (d) an analysis of the economic impact of tolls or user fees on the price of goods and services generally; and (e) an analysis of the relationship of the project to state transportation needs and benefits.

   (6)(a) After determining the definition of the affected project area, the department shall establish a committee comprised of individuals who represent cities and counties in the affected project area; organizations formed to support or oppose the project; and users of the project. The committee shall be named the public-private local involvement committee, and be known as the local involvement committee.

   (b) The members of the local involvement committee shall be: (i) An elected official from each city within the affected project area; (ii) an elected official from each county within the affected project area; (iii) two persons from each county within the affected project area who represent an organization formed in support of the project, if the organization exists; (iv) two persons from each county within the affected project area who represent an organization formed to oppose the project, if the organization exists; and (v) four public members active in a statewide transportation organization. If the committee makeup results in an even number of committee members, there shall be an additional appointment of an elected official from the county in which all, or the greatest portion of the project is located.

    (c) City and county elected officials shall be appointed by a majority of the members of the city or county legislative authorities of each city or county within the affected project area, respectively. The county legislative authority of each county within the affected project area shall identify and validate organizations officially formed in support of or in opposition to the project and shall make the appointments required under this section from a list submitted by the chair of the organizations. Public members shall be appointed by the governor. All appointments to the local involvement committee shall be made and submitted to the department of transportation no later than January 1, 1996, for projects selected prior to September 1, 1994, and no later than thirty days after the affected project area is defined for projects selected after June 30, 1997. Vacancies in the membership of the local involvement committee shall be filled by the appointing authority under (b)(i) through (v) of this subsection for each position on the committee.

    (d) The local involvement committee shall serve in an advisory capacity to the department on all matters related to the execution of the advisory vote.

    (e) Members of the local involvement committee serve without compensation and may not receive subsistence, lodging expenses, or travel expenses.

    (7) The department shall conduct a minimum thirty-day public comment period on the definition of the geographical boundary of the project area. The department, in consultation with the local involvement committee, shall make adjustments, if required, to the definition of the geographical boundary of the affected project area, based on comments received from the public. Within fourteen calendar days after the public comment period, the department shall set the boundaries of the affected project area in units no smaller than a precinct as defined in RCW ((29.01.120)) 29A.04.121.

    (8) The department, in consultation with the local involvement committee, shall develop a description for selected project proposals. After developing the description of the project proposal, the department shall publish the project proposal description in newspapers of general circulation for seven calendar days in the affected project area. Within fourteen calendar days after the last day of the publication of the project proposal description, the department shall transmit a copy of the map depicting the affected project area and the description of the project proposal to the county auditor of the county in which any portion of the affected project area is located.

    (9) ((The department shall provide the legislative transportation committee with progress reports on the status of the definition of the affected project area and the description of the project proposal.

    (10))) Upon receipt of the map and the description of the project proposal, the county auditor shall, within thirty days, verify the precincts that are located within the affected project area. The county auditor shall prepare the text identifying and describing the affected project area and the project proposal using the definition of the geographical boundary of the affected project area and the project description submitted by the department and shall set an election date for the submission of a ballot proposition authorizing the imposition of tolls or user fees to implement the proposed project within the affected project area, which date may be the next succeeding general election to be held in the state, or at a special election, if requested by the department. The text of the project proposal must appear in a voter's pamphlet for the affected project area. The department shall pay the costs of publication and distribution. The special election date must be the next date for a special election provided under RCW ((29.13.020)) 29A.04.330 that is at least sixty days but, if authorized under RCW ((29.13.020)) 29A.04.330, no more than ninety days after the receipt of the final map and project description by the auditor. The department shall pay the cost of an election held under this section.

   (((11))) (10) Notwithstanding any other provision of law, the department may contract with a private developer of a selected project proposal to conduct environmental impact studies, a public involvement program, and engineering and technical studies funded by the legislature. For projects subject to this subsection, the department shall not enter into an agreement under RCW 47.46.040 prior to the advisory vote on the preferred alternative.

   (((12))) (11) Subsections (5) through (((10))) (9) of this section shall not apply to project proposals selected prior to September 1, 1994, that have no organized public opposition as demonstrated by the submission to the department of original petitions bearing at least five thousand signatures of individuals opposing the project, collected and submitted after September 1, 1994, and by thirty calendar days after June 16, 1995.

   (((13))) (12) Subsections (5) through (((10))) (9) of this section shall not apply to project proposals selected after June 30, 1997, that have no organized public opposition as demonstrated by the submission to the department of original petitions bearing at least five thousand signatures of individuals opposing the project, collected and submitted by ninety calendar days after project selection.

   Sec. 133. RCW 47.46.040 and 2002 c 114 s 16 are each amended to read as follows:

   (1) The secretary or a designee shall consult with legal, financial, and other experts within and outside state government in the negotiation and development of the agreements.

   (2) Agreements may provide for private ownership of the projects during the construction period. After completion and final acceptance of each project or discrete segment thereof, the agreement may provide for state ownership of the transportation systems and facilities and lease to the private entity unless the state elects to provide for ownership of the facility by the private entity during the term of the agreement.

   The state may lease each of the demonstration projects, or applicable project segments, to the private entities for operating purposes for up to fifty years.

   (3) The department may exercise any power possessed by it to facilitate the development, construction, financing operation, and maintenance of transportation projects under this section. Agreements for maintenance services entered into under this section shall provide for full reimbursement for services rendered by the department or other state agencies. Agreements for police services for projects, involving state highway routes, developed under agreements shall be entered into with the Washington state patrol. The agreement for police services shall provide that the state patrol will be reimbursed for costs on a comparable basis with the costs incurred for comparable service on other state highway routes. The department may provide services for which it is reimbursed, including but not limited to preliminary planning, environmental certification, and preliminary design of the demonstration projects.

   (4) The plans and specifications for each project constructed under this section shall comply with the department's standards for state projects. A facility constructed by and leased to a private entity is deemed to be a part of the state highway system for purposes of identification, maintenance, and enforcement of traffic laws and for the purposes of applicable sections of this title. Upon reversion of the facility to the state, the project must meet all applicable state standards. Agreements shall address responsibility for reconstruction or renovations that are required in order for a facility to meet all applicable state standards upon reversion of the facility to the state.

   (5) For the purpose of facilitating these projects and to assist the private entity in the financing, development, construction, and operation of the transportation systems and facilities, the agreements may include provisions for the department to exercise its authority, including the lease of facilities, rights of way, and airspace, exercise of the power of eminent domain, granting of development rights and opportunities, granting of necessary easements and rights of access, issuance of permits and other authorizations, protection from competition, remedies in the event of default of either of the parties, granting of contractual and real property rights, liability during construction and the term of the lease, authority to negotiate acquisition of rights of way in excess of appraised value, and any other provision deemed necessary by the secretary.

    (6) The agreements entered into under this section may include provisions authorizing the state to grant necessary easements and lease to a private entity existing rights of way or rights of way subsequently acquired with public or private financing. The agreements may also include provisions to lease to the entity airspace above or below the right of way associated or to be associated with the private entity's transportation facility. In consideration for the reversion rights in these privately constructed facilities, the department may negotiate a charge for the lease of airspace rights during the term of the agreement for a period not to exceed fifty years. If, after the expiration of this period, the department continues to lease these airspace rights to the private entity, it shall do so only at fair market value. The agreement may also provide the private entity the right of first refusal to undertake projects utilizing airspace owned by the state in the vicinity of the public-private project.

    (7) Agreements under this section may include any contractual provision that is necessary to protect the project revenues required to repay the costs incurred to study, plan, design, finance, acquire, build, install, operate, enforce laws, and maintain toll highways, bridges, and tunnels and which will not unreasonably inhibit or prohibit the development of additional public transportation systems and facilities. Agreements under this section must secure and maintain liability insurance coverage in amounts appropriate to protect the project's viability and may address state indemnification of the private entity for design and construction liability where the state has approved relevant design and construction plans.

    (8) Agreements entered into under this section shall include a process that provides for public involvement in decision making with respect to the development of the projects.

    (9)(a) In carrying out the public involvement process required in subsection (8) of this section, the private entity shall proactively seek public participation through a process appropriate to the characteristics of the project that assesses and demonstrates public support among: Users of the project, residents of communities in the vicinity of the project, and residents of communities impacted by the project.

    (b) The private entity shall conduct a comprehensive public involvement process that provides, periodically throughout the development and implementation of the project, users and residents of communities in the affected project area an opportunity to comment upon key issues regarding the project including, but not limited to: (i) Alternative sizes and scopes; (ii) design; (iii) environmental assessment; (iv) right of way and access plans; (v) traffic impacts; (vi) tolling or user fee strategies and tolling or user fee ranges; (vii) project cost; (viii) construction impacts; (ix) facility operation; and (x) any other salient characteristics.

    (c) If the affected project area has not been defined, the private entity shall define the affected project area by conducting, at a minimum: (i) A comparison of the estimated percentage of residents of communities in the vicinity of the project and in other communities impacted by the project who could be subject to tolls or user fees and the estimated percentage of other users and transient traffic that could be subject to tolls or user fees; (ii) an analysis of the anticipated traffic diversion patterns; (iii) an analysis of the potential economic impact resulting from proposed toll rates or user fee rates imposed on residents, commercial traffic, and commercial entities in communities in the vicinity of and impacted by the project; (iv) an analysis of the economic impact of tolls or user fees on the price of goods and services generally; and (v) an analysis of the relationship of the project to state transportation needs and benefits.

   The agreement may require an advisory vote by users of and residents in the affected project area.

   (d) In seeking public participation, the private entity shall establish a local involvement committee or committees comprised of residents of the affected project area, individuals who represent cities and counties in the affected project area, organizations formed to support or oppose the project, if such organizations exist, and users of the project. The private entity shall, at a minimum, establish a committee as required under the specifications of RCW 47.46.030(6)(b) (ii) and (iii) and appointments to such committee shall be made no later than thirty days after the project area is defined.

   (e) Local involvement committees shall act in an advisory capacity to the department and the private entity on all issues related to the development and implementation of the public involvement process established under this section.

   (f) The department and the private entity shall provide the ((legislative transportation committee and)) local involvement committees with progress reports on the status of the public involvement process including the results of an advisory vote, if any occurs.

   (10) Nothing in this chapter limits the right of the secretary and his or her agents to render such advice and to make such recommendations as they deem to be in the best interests of the state and the public.

   Sec. 134. RCW 79A.05.125 and 1999 c 301 s 3 are each amended to read as follows:

   (1) The department of transportation shall negotiate a franchise with a rail carrier to establish and maintain a rail line over portions of the Milwaukee Road corridor owned by the state between Ellensburg and Lind. The department of transportation may negotiate such a franchise with any qualified rail carrier. Criteria for negotiating the franchise and establishing the right of way include:

   (a) Assurances that resources from the franchise will be sufficient to compensate the state for use of the property, including completion of a cross-state trail between Easton and the Idaho border;

   (b) Types of payment for use of the franchise, including payment for the use of federally granted trust lands in the transportation corridor;

   (c) Standards for maintenance of the line;

   (d) Provisions ensuring that both the conventional and intermodal rail service needs of local shippers are met. Such accommodations may comprise agreements with the franchisee to offer or maintain adequate service or to provide service by other carriers at commercially reasonable rates;

   (e) Provisions requiring the franchisee, upon reasonable request of any other rail operator, to provide rail service and interchange freight over what is commonly known as the Stampede Pass rail line from Cle Elum to Auburn at commercially reasonable rates;

   (f) If any part of the franchise agreement is invalidated by actions or rulings of the federal surface transportation board or a court of competent jurisdiction, the remaining portions of the franchise agreement are not affected;

   (g) Compliance with environmental standards; and

   (h) Provisions for insurance and the coverage of liability.

   (2) The franchise may provide for periodic review of financial arrangements under the franchise.

   (3) The department of transportation, in consultation with the parks and recreation commission and the ((legislative)) senate and house transportation committees, shall negotiate the terms of the franchise, and shall present the agreement to the parks and recreation commission for approval of as to terms and provisions affecting the cross-state trail or affecting the commission.

    (4) This section expires July 1, 2006, if the department of transportation does not enter into a franchise agreement for a rail line over portions of the Milwaukee Road corridor by July 1, 2006.

    Sec. 135. RCW 81.80.395 and 1988 c 138 s 1 are each amended to read as follows:

    The Washington utilities and transportation commission may enter into an agreement or arrangement with a duly authorized representative of the state of Idaho, for the purpose of granting to operators of commercial vehicles that are properly registered in the state of Idaho, the privilege of operating their vehicles in this state within a designated area near the border of their state without the need for registration as required by chapter 81.80 RCW if the state of Idaho grants a similar privilege to operators of commercial vehicles from this state. The initial designated area shall be limited to state route 195 from the Idaho border to Lewiston, and SR 12 from Lewiston to Clarkston. ((The utilities and transportation commission shall submit other proposed reciprocal agreements in designated border areas to the legislative transportation committee for approval.))

    Sec. 136. RCW 81.104.110 and 1998 c 245 s 165 are each amended to read as follows:

    The legislature recognizes that the planning processes described in RCW 81.104.100 provide a recognized framework for guiding high capacity transportation studies. However, the process cannot guarantee appropriate decisions unless key study assumptions are reasonable.

    To assure appropriate system plan assumptions and to provide for review of system plan results, an expert review panel shall be appointed to provide independent technical review for development of any system plan which is to be funded in whole or in part by the imposition of any voter-approved local option funding sources enumerated in RCW 81.104.140.

    (1) The expert review panel shall consist of five to ten members who are recognized experts in relevant fields, such as transit operations, planning, emerging transportation technologies, engineering, finance, law, the environment, geography, economics, and political science.

    (2) The expert review panel shall be selected cooperatively by the chairs of the ((legislative)) senate and house transportation committees, the secretary of the department of transportation, and the governor to assure a balance of disciplines. In the case of counties adjoining another state or Canadian province the expert review panel membership shall be selected cooperatively with representatives of the adjoining state or Canadian province.

    (3) The chair of the expert review panel shall be designated by the appointing authorities.

    (4) The expert review panel shall serve without compensation but shall be reimbursed for expenses according to ((chapter 43.03)) RCW 43.03.050 and 43.03.060. Reimbursement shall be paid from within the existing resources of the local authority planning under this chapter.

    (5) The panel shall carry out the duties set forth in subsections (6) and (7) of this section until the date on which an election is held to consider the high capacity transportation system and financing plans. ((Funds appropriated for expenses of the expert panel shall be administered by the department of transportation.))

    (6) The expert panel shall review all reports required in RCW 81.104.100(2) and shall concentrate on service modes and concepts, costs, patronage and financing evaluations.

    (7) The expert panel shall provide timely reviews and comments on individual reports and study conclusions to the department of transportation, the regional transportation planning organization, the joint regional policy committee, and the submitting lead transit agency. In the case of counties adjoining another state or Canadian province, the expert review panel shall provide its reviews, comments, and conclusions to the representatives of the adjoining state or Canadian province.


   (8) The ((legislative transportation committee)) local authority planning under this chapter shall contract for consulting services for expert review panels. The amount of consultant support shall be negotiated with each expert review panel by the ((legislative transportation committee)) local authority and shall be paid from ((appropriations for that purpose from the high capacity transportation account)) within the local authority's existing resources.

   Sec. 137. RCW 82.33.020 and 1992 c 231 s 34 are each amended to read as follows:

   (1) Four times each year the supervisor shall prepare, subject to the approval of the economic and revenue forecast council under RCW 82.33.010:

   (a) An official state economic and revenue forecast;

   (b) An unofficial state economic and revenue forecast based on optimistic economic and revenue projections; and

   (c) An unofficial state economic and revenue forecast based on pessimistic economic and revenue projections.

   (2) The supervisor shall submit forecasts prepared under this section, along with any unofficial forecasts provided under RCW 82.33.010, to the governor and the members of the committees on ways and means and the chairs of the committees on transportation of the senate and house of representatives ((and the chair of the legislative transportation committee)), including one copy to the staff of each of the committees, on or before November 20th, February 20th in the even-numbered years, March 20th in the odd-numbered years, June 20th, and September 20th. All forecasts shall include both estimated receipts and estimated revenues in conformance with generally accepted accounting principles as provided by RCW 43.88.037.

   (3) All agencies of state government shall provide to the supervisor immediate access to all information relating to economic and revenue forecasts. Revenue collection information shall be available to the supervisor the first business day following the conclusion of each collection period.

   (4) The economic and revenue forecast supervisor and staff shall co-locate and share information, data, and files with the tax research section of the department of revenue but shall not duplicate the duties and functions of one another.

   (5) As part of its forecasts under subsection (1) of this section, the supervisor shall provide estimated revenue from tuition fees as defined in RCW 28B.15.020.

   Sec. 138. RCW 82.70.060 and 2003 c 364 s 6 are each amended to read as follows:

   The commute trip reduction task force shall determine the effectiveness of the tax credit under RCW 82.70.020, the grant program in RCW 70.94.996, and the relative effectiveness of the tax credit and the grant program as part of its ongoing evaluation of the commute trip reduction law and report to the ((legislative)) senate and house transportation committees and to the fiscal committees of the house of representatives and the senate. The report must include information on the amount of tax credits claimed to date and recommendations on future funding between the tax credit program and the grant program. The report must be incorporated into the recommendations required in RCW 70.94.537(5).

   Sec. 139. RCW 82.80.070 and 2002 c 56 s 413 are each amended to read as follows:

   (1) The proceeds collected pursuant to the exercise of the local option authority of RCW 82.80.010, ((82.80.020,)) 82.80.030, and 82.80.050 (hereafter called "local option transportation revenues") shall be used for transportation purposes only, including but not limited to the following: The operation and preservation of roads, streets, and other transportation improvements; new construction, reconstruction, and expansion of city streets, county roads, and state highways and other transportation improvements; development and implementation of public transportation and high-capacity transit improvements and programs; and planning, design, and acquisition of right of way and sites for such transportation purposes. The proceeds collected from excise taxes on the sale, distribution, or use of motor vehicle fuel and special fuel under RCW 82.80.010 shall be used exclusively for "highway purposes" as that term is construed in Article II, section 40 of the state Constitution.

    (2) The local option transportation revenues shall be expended for transportation uses consistent with the adopted transportation and land use plans of the jurisdiction expending the funds and consistent with any applicable and adopted regional transportation plan for metropolitan planning areas.

    (3) Each local government with a population greater than eight thousand that levies or expends local option transportation funds, is also required to develop and adopt a specific transportation program that contains the following elements:

    (a) The program shall identify the geographic boundaries of the entire area or areas within which local option transportation revenues will be levied and expended.

    (b) The program shall be based on an adopted transportation plan for the geographic areas covered and shall identify the proposed operation and construction of transportation improvements and services in the designated plan area intended to be funded in whole or in part by local option transportation revenues and shall identify the annual costs applicable to the program.

    (c) The program shall indicate how the local transportation plan is coordinated with applicable transportation plans for the region and for adjacent jurisdictions.

    (d) The program shall include at least a six-year funding plan, updated annually, identifying the specific public and private sources and amounts of revenue necessary to fund the program. The program shall include a proposed schedule for construction of projects and expenditure of revenues. The funding plan shall consider the additional local tax revenue estimated to be generated by new development within the plan area if all or a portion of the additional revenue is proposed to be earmarked as future appropriations for transportation improvements in the program.

    (4) Local governments with a population greater than eight thousand exercising the authority for local option transportation funds shall periodically review and update their transportation program to ensure that it is consistent with applicable local and regional transportation and land use plans and within the means of estimated public and private revenue available.

    (5) In the case of expenditure for new or expanded transportation facilities, improvements, and services, priorities in the use of local option transportation revenues shall be identified in the transportation program and expenditures shall be made based upon the following criteria, which are stated in descending order of weight to be attributed:

    (a) First, the project serves a multijurisdictional function;

    (b) Second, it is necessitated by existing or reasonably foreseeable congestion;

    (c) Third, it has the greatest person-carrying capacity;

    (d) Fourth, it is partially funded by other government funds, such as from the state transportation improvement board, or by private sector contributions, such as those from the local transportation act, chapter 39.92 RCW; and

    (e) Fifth, it meets such other criteria as the local government determines is appropriate.

    (6) It is the intent of the legislature that as a condition of levying, receiving, and expending local option transportation revenues, no local government agency use the revenues to replace, divert, or loan any revenues currently being used for transportation purposes to nontransportation purposes. ((The association of Washington cities and the Washington state association of counties, in consultation with the legislative transportation committee, shall study the issue of nondiversion and make recommendations to the legislative transportation committee for language implementing the intent of this section by December 1, 1990.))


   (7) Local governments are encouraged to enter into interlocal agreements to jointly develop and adopt with other local governments the transportation programs required by this section for the purpose of accomplishing regional transportation planning and development.

   (8) Local governments may use all or a part of the local option transportation revenues for the amortization of local government general obligation and revenue bonds issued for transportation purposes consistent with the requirements of this section.

   (9) Subsections (1) through (8) of this section do not apply to a regional transportation investment district imposing a tax or fee under the local option authority of this chapter. Proceeds collected under the exercise of local option authority under this chapter by a district must be used in accordance with chapter 36.120 RCW.

   Sec. 140. RCW 90.03.525 and 1996 c 285 s 1 and 1996 c 230 s 1617 are each reenacted and amended to read as follows:

   (1) The rate charged by a local government utility to the department of transportation with respect to state highway right of way or any section of state highway right of way for the construction, operation, and maintenance of storm water control facilities under chapters 35.67, 35.92, 36.89, 36.94, 57.08, and 86.15 RCW, shall be thirty percent of the rate for comparable real property, except as otherwise provided in this section. The rate charged to the department with respect to state highway right of way or any section of state highway right of way within a local government utility's jurisdiction shall not, however, exceed the rate charged for comparable city street or county road right of way within the same jurisdiction. The legislature finds that the aforesaid rates are presumptively fair and equitable because of the traditional and continuing expenditures of the department of transportation for the construction, operation, and maintenance of storm water control facilities designed to control surface water or storm water runoff from state highway rights of way.

   (2) Charges paid under subsection (1) of this section by the department of transportation must be used solely for storm water control facilities that directly reduce state highway runoff impacts or implementation of best management practices that will reduce the need for such facilities. By January 1st of each year, beginning with calendar year 1997, the local government utility, in coordination with the department, shall develop a plan for the expenditure of the charges for that calendar year. The plan must be consistent with the objectives identified in RCW 90.78.010. In addition, beginning with the submittal for 1998, the utility shall provide a progress report on the use of charges assessed for the prior year. No charges may be paid until the plan and report have been submitted to the department.

   (3) The utility imposing the charge and the department of transportation may, however, agree to either higher or lower rates with respect to the construction, operation, or maintenance of any specific storm water control facilities based upon the annual plan prescribed in subsection (2) of this section. ((If a different rate is agreed to, a report so stating shall be submitted to the legislative transportation committee.)) If, after mediation, the local government utility and the department of transportation cannot agree upon the proper rate, ((and after a report has been submitted to the legislative transportation committee and after ninety days from submission of such report,)) either may commence an action in the superior court for the county in which the state highway right of way is located to establish the proper rate. The court in establishing the proper rate shall take into account the extent and adequacy of storm water control facilities constructed by the department and the actual benefits to the sections of state highway rights of way from storm water control facilities constructed, operated, and maintained by the local government utility. Control of surface water runoff and storm water runoff from state highway rights of way shall be deemed an actual benefit to the state highway rights of way. The rate for sections of state highway right of way as determined by the court shall be set forth in terms of the percentage of the rate for comparable real property, but shall in no event exceed the rate charged for comparable city street or county road right of way within the same jurisdiction.

    (4) The legislature finds that the federal clean water act (national ((pollution [pollutant])) pollutant discharge elimination system, 40 C.F.R. parts 122-124), the state water pollution control act, chapter 90.48 RCW, and the highway runoff program under chapter ((90.70)) 90.71 RCW, mandate the treatment and control of storm water runoff from state highway rights of way owned by the department of transportation. Appropriations made by the legislature to the department of transportation for the construction, operation, and maintenance of storm water control facilities are intended to address applicable federal and state mandates related to storm water control and treatment. This section is not intended to limit opportunities for sharing the costs of storm water improvements between cities, counties, and the state.

    NEW SECTION. Sec. 141. The following acts or parts of acts are each repealed:

    (1) RCW 44.40.010 (Creation--Composition--Appointments--Vacancies--Rules) and 1999 sp.s. c 1 s 616, 1980 c 87 s 39, 1971 ex.s. c 195 s 1, 1967 ex.s. c 145 s 68, 1965 ex.s. c 170 s 64, & 1963 ex.s. c 3 s 35;

    (2) RCW 44.40.013 (Administration) and 2001 c 259 s 5;

    (3) RCW 44.40.015 (Executive committee--Selection--Duties) and 2001 c 259 s 6 & 1999 sp.s. c 1 s 617;

    (4) RCW 44.40.030 (Participation in activities of other organizations) and 1982 c 227 s 17, 1977 ex.s. c 235 s 7, 1971 ex.s. c 195 s 3, & 1963 ex.s. c 3 s 38;

    (5) RCW 44.40.040 (Members' allowances--Procedure for payment of committee's expenses) and 2001 c 259 s 7, 1979 c 151 s 157, 1977 ex.s. c 235 s 8, 1975 1st ex.s. c 268 s 3, 1971 ex.s. c 195 s 4, & 1963 ex.s. c 3 s 39;

    (6) RCW 44.40.090 (Delegation of powers and duties to senate and house transportation committees) and 2001 c 259 s 8, 1977 ex.s. c 235 s 10, & 1973 1st ex.s. c 210 s 2;

    (7) RCW 44.40.140 (Review of policy on fees imposed on nonpolluting fuels--Report) and 1983 c 212 s 2;

    (8) RCW 44.40.150 (Study--Recommendations for consideration--Staffing) and 1998 c 245 s 88 & 1989 1st ex.s. c 6 s 14;

    (9) RCW 44.40.161 (Audit review of transportation-related agencies) and 2003 c 362 s 16;

    (10) RCW 53.08.350 (Moratorium on runway construction or extension, or initiation of new service--Certain counties affected) and 1992 c 190 s 2;

    (11) RCW 44.40.020 (Powers, duties, and studies) and 1996 c 129 s 9, 1977 ex.s. c 235 s 5, 1975 1st ex.s. c 268 s 1, & 1963 ex.s. c 3 s 36;

    (12) RCW 44.40.070 (State transportation agencies--Comprehensive programs and financial plans) and 1998 c 245 s 87, 1988 c 167 s 10, 1979 ex.s. c 192 s 3, 1979 c 158 s 112, 1977 ex.s. c 235 s 9, & 1973 1st ex.s. c 201 s 1;

    (13) RCW 44.40.080 (State transportation agencies--Recommended budget--Preparation and presentation--Contents) and 1973 1st ex.s. c 201 s 2;

    (14) RCW 44.40.100 (Contracts and programs authorized) and 2001 c 259 s 9, 1977 ex.s. c 235 s 11, 1975 1st ex.s. c 268 s 7, & 1973 1st ex.s. c 210 s 3;

    (15) RCW 46.23.040 (Review of agreement by legislative transportation committee) and 1982 c 212 s 4;

    (16) RCW 47.01.145 (Study reports available to legislators upon request) and 1984 c 7 s 76, 1971 ex.s. c 195 s 6, & 1967 ex.s. c 145 s 78;

    (17) RCW 47.05.090 (Application of 1993 c 490--Deviations) and 1993 c 490 s 6;

    (18) RCW 47.12.360 (Advanced environmental mitigation--Reports) and 1997 c 140 s 5;

    (19) RCW 47.76.340 (Evaluating program performance) and 1993 c 224 s 13 & 1990 c 43 s 8;


   (20) RCW 47.74.010 (Multistate Highway Transportation Agreement enacted, terms) and 1983 c 82 s 1; and

   (21) RCW 47.74.020 (Appointment of delegates to represent state) and 1983 c 82 s 2.

   NEW SECTION. Sec. 142. Part headings used in this act are no part of the law.

   NEW SECTION. Sec. 143. (1) RCW 44.40.120 is recodified as a section in chapter 44.04 RCW.

   (2) RCW 44.40.025 is recodified as a section in chapter 43.88 RCW.

   NEW SECTION. Sec. 144. Sections 12 and 13 of this act are each added to chapter 44.04 RCW.

   NEW SECTION. Sec. 145. 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 takes effect July 1, 2005, except for section 103 of this act which takes effect July 1, 2006.

   NEW SECTION. Sec. 146. Section 138 of this act expires July 1, 2013."

   Correct the title.

and the same are herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MOTION

 

Senator Haugen moved that the Senate concur in the House amendment(s) to Engrossed Senate Bill No. 5513.

      Senators Haugen and Swecker spoke in favor of the motion.

 

MOTION

 

The President declared the question before the Senate to be the motion by Senator Haugen that the Senate concur in the House amendment(s) to Engrossed Senate Bill No. 5513.

The motion by Senator Haugen carried and the Senate concurred in the House amendment(s) to Engrossed Senate Bill No. 5513 by voice vote.

The President declared the question before the Senate to be the final passage of Engrossed Senate Bill No. 5513, as amended by the House.

 

ROLL CALL

 

      The Secretary called the roll on the final passage of Engrossed Senate Bill No. 5513, as amended by the House, and the bill passed the Senate by the following vote: Yeas, 40; Nays, 5; Absent, 0; Excused, 4.

      Voting yea: Senators Benson, Benton, Berkey, Brandland, Brown, Deccio, Delvin, Doumit, Eide, Esser, Finkbeiner, Franklin, Fraser, Haugen, Hewitt, Jacobsen, Johnson, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, Morton, Mulliken, Parlette, Pflug, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Shin, Spanel, Swecker, Thibaudeau, Weinstein and Zarelli - 40

      Voting nay: Senators Carrell, Honeyford, Schoesler, Sheldon and Stevens - 5

      Excused: Senators Fairley, Hargrove, McCaslin and Oke - 4

ENGROSSED SENATE BILL NO. 5513, as amended by the House, having received the constitutional majority, was declared passed. There being no objection, the title of the bill was ordered to stand as the title of the act.

 

MESSAGE FROM THE HOUSE

 

April 22, 2005

 

MR. PRESIDENT: 

      The House had adopted the report of Conference Committee on SECOND SUBSTITUTE SENATE BILL NO. 5370, and has passed the bill as recommended by the Conference Committee.

and the same is herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

REPORT OF THE CONFERENCE REPORT

Second Substitute Senate Bill No. 5370

April 21, 2005

 

MR. PRESIDENT:

MR. SPEAKER:

      We of your conference committee, to whom was referred Second Substitute Senate Bill No. 5370, have had the same under consideration and recommend that all previous amendments not be adopted and that the following striking amendment be adopted:

      Strike everything after the enacting clause and insert the following:

      "NEW SECTION. Sec. 147. A new section is added to chapter 43.330 RCW to read as follows:

      (1) The economic development strategic reserve account is created in the state treasury to be used only for the purposes of this section.

      (2) Only the governor, with the recommendation of the director of the department of community, trade, and economic development and the economic development commission, may authorize expenditures from the account.

      (3) Expenditures from the account shall be made in an amount sufficient to fund a minimum of one staff position for the economic development commission and to cover any other operational costs of the commission.

      (4) Expenditures from the account may be made to prevent closure of a business or facility, to prevent relocation of a business or facility in the state to a location outside the state, or to recruit a business or facility to the state. Expenditures may be authorized for:

      (a) Work force development;

      (b) Public infrastructure needed to support or sustain the operations of the business or facility; and

      (c) Other lawfully provided assistance, including, but not limited to, technical assistance, environmental analysis, relocation assistance, and planning assistance. Funding may be provided for such assistance only when it is in the public interest and may only be provided under a contractual arrangement ensuring that the state will receive appropriate consideration, such as an assurance of job creation or retention.

      (5) The funds shall not be expended from the account unless:

      (a) The circumstances are such that time does not permit the director of the department of community, trade, and economic development or the business or facility to secure funding from other state sources;

      (b) The business or facility produces or will produce significant long-term economic benefits to the state, a region of the state, or a particular community in the state;

      (c) The business or facility does not require continuing state support;

      (d) The expenditure will result in new jobs, job retention, or higher incomes for citizens of the state;

      (e) The expenditure will not supplant private investment; and

      (f) The expenditure is accompanied by private investment.

      (6) No more than three million dollars per year may be expended from the account for the purpose of assisting an individual business or facility pursuant to the authority specified in this section.

      (7) If the account balance in the strategic reserve account exceeds fifteen million dollars at any time, the amount in excess of fifteen million dollars shall be transferred to the education construction account.

      Sec. 148. RCW 67.70.190 and 1994 c 218 s 5 are each amended to read as follows:

      Unclaimed prizes shall be retained in the state lottery account for the person entitled thereto for one hundred eighty days after the drawing in which the prize is won, or after the official end of the game for instant prizes. If no claim is made for the prize within this time, all rights to the prize shall be extinguished, and the prize shall be retained in the state lottery fund for further use as prizes, ((and all rights to the prize shall be extinguished)) except that one-third of all unclaimed prize money shall be deposited in the economic development strategic reserve account created in section 1 of this act."

      On page 1, line 2 of the title, after "account;" strike the remainder of the title and insert "amending RCW 67.70.190; and adding a new section to chapter 43.330 RCW."

And the bill do pass as recommended by the conference committee.

      Signed by Senators Brown, Pflug and Shin; Representatives Linville and Ericks.

 

MOTION

 

Senator Brown moved the Report of the Conference Committee on Second Substitute Senate Bill No. 5370 be adopted.

      Senators Brown and Pflug spoke in favor of the motion.

      The President declared the question before the Senate to be the motion by Senator Brown that the Report of the Conference Committee on Second Substitute Senate Bill No. 5370 be adopted.

The motion by Senator Brown carried and the Report of the Conference Committee was adopted by voice vote.

The President declared the question before the Senate to be the final passage of Second Substitute Senate Bill No. 5370, as recommended by the Conference Committee.

 

ROLL CALL

 

      The Secretary called the roll on the final passage of Second Substitute Senate Bill No. 5370, as recommended by the Conference Committee, and the bill passed the Senate by the following vote: Yeas, 41; Nays, 4; Absent, 0; Excused, 4.

      Voting yea: Senators Benson, Benton, Berkey, Brandland, Brown, Deccio, Delvin, Doumit, Eide, Esser, Finkbeiner, Franklin, Fraser, Haugen, Hewitt, Jacobsen, Johnson, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, Morton, Mulliken, Parlette, Pflug, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Sheldon, Shin, Spanel, Swecker, Thibaudeau, Weinstein and Zarelli - 41

      Voting nay: Senators Carrell, Honeyford, Schoesler and Stevens - 4

      Excused: Senators Fairley, Hargrove, McCaslin and Oke - 4

SECOND SUBSTITUTE SENATE BILL NO. 5370, as recommended by the Conference Committee, having received the constitutional majority, was declared passed. There being no objection, the title of the bill was ordered to stand as the title of the act.

 

MOTION

 

      On motion of Senator Eide, the Senate reverted to the third order of business.

 

SECOND READING

CONFIRMATION OF GUBERNATORIAL APPOINTMENTS

 

MOTION

 

      Senator McAuliffe, moved that Gubernatorial Appointment No. 9219, Alex Bolton, as a member of the Board of Regents, University of Washington, be confirmed.

      Senator McAuliffe spoke in favor of the motion.

 

APPOINTMENT OF ALEX BOLTON

 

The President declared the question before the Senate to be the confirmation of Gubernatorial Appointment No. 9219, Alex Bolton as a member of the Board of Regents, University of Washington.

 

      The Secretary called the roll on the confirmation of Gubernatorial Appointment No. 9219, Alex Bolton as a member of the Board of Regents, University of Washington and the appointment was confirmed by the following vote: Yeas, 45; Nays, 0; Absent, 2; Excused, 2.

      Voting yea: Senators Benson, Benton, Berkey, Brandland, Brown, Carrell, Delvin, Eide, Esser, Fairley, Finkbeiner, Franklin, Fraser, Hargrove, Haugen, Hewitt, Honeyford, Jacobsen, Johnson, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, Morton, Mulliken, Parlette, Pflug, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 45

      Absent: Senators Deccio and Doumit - 2

      Excused: Senators McCaslin and Oke - 2

Gubernatorial Appointment No. 9219, Alex Bolton, having received the constitutional majority was declared confirmed as a member of the Board of Regents, University of Washington.

 

SECOND READING

CONFIRMATION OF GUBERNATORIAL APPOINTMENTS

 

MOTION

 

      Senator McAuliffe, moved that Gubernatorial Appointment No. 9220, Brady Horenstein, as a member of the Board of Regents, Washington State University be confirmed.

      Senators McAuliffe and Schmidt spoke in favor of the motion.

 

APPOINTMENT OF BRADY HORENSTEIN

 

The President declared the question before the Senate to be the confirmation of Gubernatorial Appointment No. 9220, Brady Horenstein as a member of the Board of Regents, Washington State University.

 

      The Secretary called the roll on the confirmation of Gubernatorial Appointment No. 9220, Brady Horenstein as a member of the Board of Regents, Washington State University and the appointment was confirmed by the following vote: Yeas, 46; Nays, 0; Absent, 1; Excused, 2.

      Voting yea: Senators Benson, Benton, Berkey, Brandland, Brown, Carrell, Delvin, Doumit, Eide, Esser, Fairley, Finkbeiner, Franklin, Fraser, Hargrove, Haugen, Hewitt, Honeyford, Jacobsen, Johnson, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, Morton, Mulliken, Parlette, Pflug, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 46

      Absent: Senator Deccio - 1


      Excused: Senators McCaslin and Oke - 2

Gubernatorial Appointment No. 9220, Brady Horenstein, having received the constitutional majority was declared confirmed as a member of the Board of Regents, Washington State University.

 

MOTION

 

      On motion of Senator Eide, the Senate advanced to the fourth order of business.

 

REPORT OF THE CONFERENCE REPORT

Engrossed Substitute House Bill No. 1903

April 21, 2005

 

MR. PRESIDENT:

MR. SPEAKER:

      We of your conference committee, to whom was referred Engrossed Substitute House Bill No. 1903, have had the same under consideration and recommend that all previous amendments not be adopted and that the following striking amendment be adopted:

      Strike everything after the enacting clause and insert the following:

      "NEW SECTION. Sec. 149. The legislature has and continues to recognize the vital importance of economic development to the health and prosperity of Washington state as indicated in RCW 43.160.010, 43.155.070(4)(g), 43.163.005, and 43.168.010. The legislature finds that current economic development programs and funding, which are primarily low-interest loan programs, can be enhanced by creating a grant program to assist with public infrastructure projects that directly stimulate community and economic development by supporting the creation of new jobs or the retention of existing jobs.

      NEW SECTION. Sec. 150. A new section is added to chapter 43.160 RCW to read as follows:

      (1) The job development fund program is created to provide grants for public infrastructure projects that will stimulate job creation or assist in job retention. The program is to be administered by the board. The board shall establish a competitive process to request and prioritize proposals and make grant awards.

      (2) For the purposes of this act, "public infrastructure projects" has the same meaning as "public facilities" as defined in RCW 43.160.020(11).

      (3) The board shall conduct a statewide request for project applications. The board shall apply the following criteria for evaluation and ranking of applications:

      (a) The relative benefits provided to the community by the jobs the project would create, including, but not limited to: (i) The total number of jobs; (ii) the total number of full-time, family wage jobs; (iii) the unemployment rate in the area; and (iv) the increase in employment in comparison to total community population;

      (b) The present level of economic activity in the community and the existing local financial capacity to increase economic activity in the community;

      (c) The rate of return of the state's investment, that includes the expected increase in state and local tax revenues associated with the project;

      (d) The lack of another timely source of funding available to finance the project which would likely prevent the proposed community or economic development, absent the financing available under this act;

      (e) The ability of the project to improve the viability of existing business entities in the project area;

      (f) Whether or not the project is a partnership of multiple jurisdictions;

      (g) Demonstration that the requested assistance will directly stimulate community and economic development by facilitating the creation of new jobs or the retention of existing jobs; and

      (h) The availability of existing assets that applicants may apply to projects.

      (4) Job development fund program grants may only be awarded to those applicants that have entered into or expect to enter into a contract with a private developer relating to private investment that will result in the creation or retention of jobs upon completion of the project. Job development fund program grants shall not be provided for any project where:

      (a) The funds will not be used within the jurisdiction or jurisdictions of the applicants; or

      (b) Evidence exists that the project would result in a development or expansion that would displace existing jobs in any other community in the state.

      (5) The board shall, with the joint legislative audit and review committee, develop performance criteria for each grant and evaluation criteria to be used to evaluate both how well successful applicants met the community and economic development objectives stated in their applications, and how well the job development fund program performed in creating and retaining jobs.

      NEW SECTION. Sec. 151. A new section is added to chapter 43.160 RCW to read as follows:

      The maximum grant from the job development fund for any one project is ten million dollars. Grant assistance from the job development fund may not exceed thirty-three percent of the total cost of the project. The nonstate portion of the total project cost may include cash, the value of real property when acquired solely for the purpose of the project, and in-kind contributions.

      Sec. 152. RCW 43.155.050 and 2001 c 131 s 2 are each amended to read as follows:

      (1) The public works assistance account is hereby established in the state treasury. Money may be placed in the public works assistance account from the proceeds of bonds when authorized by the legislature or from any other lawful source. Money in the public works assistance account shall be used to make loans and to give financial guarantees to local governments for public works projects. Moneys in the account may also be appropriated to provide for state match requirements under federal law for projects and activities conducted and financed by the board under the drinking water assistance account. Not more than fifteen percent of the biennial capital budget appropriation to the public works board from this account may be expended or obligated for preconstruction loans, emergency loans, or loans for capital facility planning under this chapter; of this amount, not more than ten percent of the biennial capital budget appropriation may be expended for emergency loans and not more than one percent of the biennial capital budget appropriation may be expended for capital facility planning loans.

      (2) The job development fund is hereby established in the state treasury. Up to fifty million dollars each biennium from the public works assistance account may be transferred into the job development fund. Money in the job development fund may be used solely for job development fund program grants, administrative expenses related to the administration of the job development fund program created in section 2 of this act, and for the report prepared by the joint legislative audit and review committee pursuant to section 5(2) of this act. Moneys in the job development fund may be spent only after appropriation. The board shall prepare a prioritized list of proposed projects of up to fifty million dollars as part of the department's 2007-09 biennial budget request. The board may provide an additional alternate job development fund project list of up to ten million dollars. The legislature may remove projects from the list recommended by the board. The legislature may not change the prioritization of projects recommended for funding by the board, but may add projects from the alternate list in order of priority, as long as the total funding does not exceed fifty million dollars.

      NEW SECTION. Sec. 153. (1) The joint legislative audit and review committee shall conduct an inventory of all state public infrastructure programs and funds. The inventory shall identify: The public infrastructure state programs and funds and the purposes each serve; how the program or fund is implemented; the types of public infrastructure projects supported by the program or fund; the dollar amount of the projects funded by each program or fund; the balance of a fund, if applicable; and the geographic distribution of projects supported by a program or fund. Where applicable, the inventory shall identify overlaps or gaps in types of public infrastructure projects supported through state programs or funds. Where appropriate, the inventory shall evaluate the return on investment for economic development infrastructure programs. The inventory shall be delivered to the appropriate committees of the legislature by December 1, 2006.

      (2) By September 1, 2010, the joint legislative audit and review committee shall submit a report on the outcomes of the job development fund program to the appropriate committees of the legislature. The report shall apply the performance and evaluation criteria developed by the community economic revitalization board and the committee and shall include a project by project review detailing how the funds were used and whether the performance measures were met. The report shall also include impacts to the availability of low-interest and interest-free loans to local governments under RCW 43.155.055, 43.155.060, 43.155.065, and 43.155.068, resulting from appropriations to the job development fund. Information in the report shall include, but not be limited to:

      (a) The total funds appropriated from the public works assistance account to the job development account;

      (b) The ratio of loan requests submitted to the public works board as compared to actual money available for loans in the public works assistance account since the effective date of this act;

      (c) The total amount that would have been available for loans from the public works assistance account had this act not taken effect;

      (d) Identification of specific loan requests that would have qualified for funding under chapter 43.155 RCW had money been available in the public works assistance account;

      (e) Assessment of increased costs for otherwise qualifying projects where local governments were compelled to seek alternate funding sources.

      NEW SECTION. Sec. 154. This act expires June 30, 2011.

      NEW SECTION. Sec. 155. 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 page 1, line 1 of the title, after "fund;" strike the remainder of the title and insert "amending RCW 43.155.050; adding new sections to chapter 43.160 RCW; creating new sections; and providing an expiration date."

And the bill do pass as recommended by the conference committee.

      Signed by Senators Brown, Fraser and Pflug; Representatives Linville and Ericks.

 

MOTION

 

Senator Fraser moved the Report of the Conference Committee on Engrossed Substitute House Bill No. 1903 be adopted.

      Senators Fraser and Shin spoke in favor of the motion.

      Senator Pflug spoke against the motion.

      The President declared the question before the Senate to be the motion by Senator Fraser that the Report of the Conference Committee on Engrossed Substitute House Bill No. 1903 be adopted.

The motion by Senator Fraser carried and the Report of the Conference Committee was adopted by voice vote.

The President declared the question before the Senate to be the final passage of Engrossed Substitute House Bill No. 1903, as recommended by the Conference Committee.

 

ROLL CALL

 

      The Secretary called the roll on the final passage of Engrossed Substitute House Bill No. 1903, as recommended by the Conference Committee, and the bill passed the Senate by the following vote: Yeas, 39; Nays, 7; Absent, 1; Excused, 2.

      Voting yea: Senators Benton, Berkey, Brandland, Brown, Carrell, Delvin, Doumit, Eide, Fairley, Finkbeiner, Franklin, Fraser, Hargrove, Haugen, Hewitt, Jacobsen, Johnson, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, Morton, Mulliken, Parlette, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau and Zarelli - 39

      Voting nay: Senators Benson, Esser, Honeyford, Pflug, Poulsen, Schoesler and Weinstein - 7

      Absent: Senator Deccio - 1

      Excused: Senators McCaslin and Oke - 2

ENGROSSED SUBSTITUTE HOUSE BILL NO. 1903, as recommended by the Conference Committee, having received the constitutional majority, was declared passed. There being no objection, the title of the bill was ordered to stand as the title of the act.

 

MESSAGE FROM THE HOUSE

 

April 22, 2005

 

MR. PRESIDENT:

      The House insist on its position regarding the House amendments to SUBSTITUTE SENATE BILL NO. 6025 and asks the Senate for a conference thereon. Speaker has appointed the following members as Conferees:

      Representatives Linville, Chase & K Kristiansen

and the same is herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MOTION

 

      Senator Shin moved that the Senate insist on its position on the House amendment(s) to Substitute Senate Bill No. 6025 and ask the House to recede thereon.

      Senators Shin and Pflug spoke in favor of the motion.


      The President declared the question before the Senate to be motion by Senator Shin that the Senate insist on its position on the House amendment(s) to Substitute Senate Bill No. 6025 and ask the House to recede thereon.

      The motion by Senator Shin carried and the Senate insisted on its position on the House amendment(s) to Substitute Senate Bill No. 6025 and asked the House to recede thereon by voice vote.

 

MOTION

 

      On motion of Senator Eide, the Senate advanced to the sixth order of business.

 

SECOND READING

 

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 2314, by House Committee on Finance (originally sponsored by Representative McIntire)

 

      Relating to revenue and taxation. Revised for 1st Substitute: Modifying revenue and taxation.

 

      The measure was read the second time.

 

MOTION

 

Senator Zarelli moved that the following amendment by Senator Zarelli be adopted.

      Beginning on page 1, line 16, strike all of Part I and insert the following:

 

"PART I

SELF-SERVICE LAUNDRY

AND DIRECT MAIL DELIVERY CHARGES

 

      Sec. 101. RCW 82.04.050 and 2004 c 174 s 3 and 2004 c 153 s 407 are each reenacted and amended to read as follows:

      (1) "Sale at retail" or "retail sale" means every sale of tangible personal property (including articles produced, fabricated, or imprinted) to all persons irrespective of the nature of their business and including, among others, without limiting the scope hereof, persons who install, repair, clean, alter, improve, construct, or decorate real or personal property of or for consumers other than a sale to a person who presents a resale certificate under RCW 82.04.470 and who:

      (a) Purchases for the purpose of resale as tangible personal property in the regular course of business without intervening use by such person, but a purchase for the purpose of resale by a regional transit authority under RCW 81.112.300 is not a sale for resale; or

      (b) Installs, repairs, cleans, alters, imprints, improves, constructs, or decorates real or personal property of or for consumers, if such tangible personal property becomes an ingredient or component of such real or personal property without intervening use by such person; or

      (c) Purchases for the purpose of consuming the property purchased in producing for sale a new article of tangible personal property or substance, of which such property becomes an ingredient or component or is a chemical used in processing, when the primary purpose of such chemical is to create a chemical reaction directly through contact with an ingredient of a new article being produced for sale; or

      (d) Purchases for the purpose of consuming the property purchased in producing ferrosilicon which is subsequently used in producing magnesium for sale, if the primary purpose of such property is to create a chemical reaction directly through contact with an ingredient of ferrosilicon; or

      (e) Purchases for the purpose of providing the property to consumers as part of competitive telephone service, as defined in RCW 82.04.065. The term shall include every sale of tangible personal property which is used or consumed or to be used or consumed in the performance of any activity classified as a "sale at retail" or "retail sale" even though such property is resold or utilized as provided in (a), (b), (c), (d), or (e) of this subsection following such use. The term also means every sale of tangible personal property to persons engaged in any business which is taxable under RCW 82.04.280 (2) and (7), 82.04.290, and 82.04.2908.

      (2) The term "sale at retail" or "retail sale" shall include the sale of or charge made for tangible personal property consumed and/or for labor and services rendered in respect to the following:

      (a) The installing, repairing, cleaning, altering, imprinting, or improving of tangible personal property of or for consumers, including charges made for the mere use of facilities in respect thereto, but excluding charges made for the use of ((coin-operated)) self-service laundry facilities ((when such facilities are situated in an apartment house, rooming house, or mobile home park for the exclusive use of the tenants thereof)), and also excluding sales of laundry service to nonprofit health care facilities, and excluding services rendered in respect to live animals, birds and insects;

      (b) The constructing, repairing, decorating, or improving of new or existing buildings or other structures under, upon, or above real property of or for consumers, including the installing or attaching of any article of tangible personal property therein or thereto, whether or not such personal property becomes a part of the realty by virtue of installation, and shall also include the sale of services or charges made for the clearing of land and the moving of earth excepting the mere leveling of land used in commercial farming or agriculture;

      (c) The charge for labor and services rendered in respect to constructing, repairing, or improving any structure upon, above, or under any real property owned by an owner who conveys the property by title, possession, or any other means to the person performing such construction, repair, or improvement for the purpose of performing such construction, repair, or improvement and the property is then reconveyed by title, possession, or any other means to the original owner;

      (d) The sale of or charge made for labor and services rendered in respect to the cleaning, fumigating, razing or moving of existing buildings or structures, but shall not include the charge made for janitorial services; and for purposes of this section the term "janitorial services" shall mean those cleaning and caretaking services ordinarily performed by commercial janitor service businesses including, but not limited to, wall and window washing, floor cleaning and waxing, and the cleaning in place of rugs, drapes and upholstery. The term "janitorial services" does not include painting, papering, repairing, furnace or septic tank cleaning, snow removal or sandblasting;

      (e) The sale of or charge made for labor and services rendered in respect to automobile towing and similar automotive transportation services, but not in respect to those required to report and pay taxes under chapter 82.16 RCW;

      (f) The sale of and charge made for the furnishing of lodging and all other services 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, and 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 enjoy the same. For the purposes of this subsection, it shall be presumed that the sale of and charge made for the furnishing of lodging for a continuous period of one month or more to a person is a rental or lease of real property and not a mere license to enjoy the same;

      (g) The sale of or charge made for tangible personal property, labor and services to persons taxable under (a), (b), (c), (d), (e), and (f) of this subsection when such sales or charges are for property, labor and services which are used or consumed in whole or in part by such persons in the performance of any activity defined as a "sale at retail" or "retail sale" even though such property, labor and services may be resold after such use or consumption. Nothing contained in this subsection shall be construed to modify subsection (1) of this section and nothing contained in subsection (1) of this section shall be construed to modify this subsection.

      (3) The term "sale at retail" or "retail sale" shall include the sale of or charge made for personal, business, or professional services including amounts designated as interest, rents, fees, admission, and other service emoluments however designated, received by persons engaging in the following business activities:

      (a) Amusement and recreation services including but not limited to golf, pool, billiards, skating, bowling, ski lifts and tows, day trips for sightseeing purposes, and others, when provided to consumers;

      (b) Abstract, title insurance, and escrow services;

      (c) Credit bureau services;

      (d) Automobile parking and storage garage services;

      (e) Landscape maintenance and horticultural services but excluding (i) horticultural services provided to farmers and (ii) pruning, trimming, repairing, removing, and clearing of trees and brush near electric transmission or distribution lines or equipment, if performed by or at the direction of an electric utility;

      (f) Service charges associated with tickets to professional sporting events; and

      (g) The following personal services: Physical fitness services, tanning salon services, tattoo parlor services, steam bath services, turkish bath services, escort services, and dating services.

      (4)(a) The term shall also include:

      (i) The renting or leasing of tangible personal property to consumers; and

      (ii) Providing tangible personal property along with an operator for a fixed or indeterminate period of time. A consideration of this is that the operator is necessary for the tangible personal property to perform as designed. For the purpose of this subsection (4)(a)(ii), an operator must do more than maintain, inspect, or set up the tangible personal property.

      (b) The term shall not include the renting or leasing of tangible personal property where the lease or rental is for the purpose of sublease or subrent.

      (5) The term shall also include the providing of telephone service, as defined in RCW 82.04.065, to consumers.

      (6) The term shall also include the sale of prewritten computer software other than a sale to a person who presents a resale certificate under RCW 82.04.470, regardless of the method of delivery to the end user, but shall not include custom software or the customization of prewritten computer software.

      (7) The term shall not include the sale of or charge made for labor and services rendered in respect to the building, repairing, or improving of any street, place, road, highway, easement, right of way, mass public transportation terminal or parking facility, bridge, tunnel, or trestle which is owned by a municipal corporation or political subdivision of the state or by the United States and which is used or to be used primarily for foot or vehicular traffic including mass transportation vehicles of any kind.

      (8) The term shall also not include sales of chemical sprays or washes to persons for the purpose of postharvest treatment of fruit for the prevention of scald, fungus, mold, or decay, nor shall it include sales of feed, seed, seedlings, fertilizer, agents for enhanced pollination including insects such as bees, and spray materials to: (a) Persons who participate in the federal conservation reserve program, the environmental quality incentives program, the wetlands reserve program, and the wildlife habitat incentives program, or their successors administered by the United States department of agriculture; (b) farmers for the purpose of producing for sale any agricultural product; and (c) farmers acting under cooperative habitat development or access contracts with an organization exempt from federal income tax under 26 U.S.C. Sec. 501(c)(3) or the Washington state department of fish and wildlife to produce or improve wildlife habitat on land that the farmer owns or leases.

      (9) The term shall not include the sale of or charge made for labor and services rendered in respect to the constructing, repairing, decorating, or improving of new or existing buildings or other structures under, upon, or above real property of or for the United States, any instrumentality thereof, or a county or city housing authority created pursuant to chapter 35.82 RCW, including the installing, or attaching of any article of tangible personal property therein or thereto, whether or not such personal property becomes a part of the realty by virtue of installation. Nor shall the term include the sale of services or charges made for the clearing of land and the moving of earth of or for the United States, any instrumentality thereof, or a county or city housing authority. Nor shall the term include the sale of services or charges made for cleaning up for the United States, or its instrumentalities, radioactive waste and other byproducts of weapons production and nuclear research and development.

      Sec. 102. RCW 82.08.010 and 2004 c 153 s 406 are each amended to read as follows:

      For the purposes of this chapter:

      (1) "Selling price" includes "sales price." "Sales price" means the total amount of consideration, except separately stated trade-in property of like kind, including cash, credit, property, and services, for which tangible personal property or services defined as a "retail sale" under RCW 82.04.050 are sold, leased, or rented, valued in money, whether received in money or otherwise. No deduction from the total amount of consideration is allowed for the following: (a) The seller's cost of the property sold; (b) the cost of materials used, labor or service cost, interest, losses, all costs of transportation to the seller, all taxes imposed on the seller, and any other expense of the seller; (c) charges by the seller for any services necessary to complete the sale, other than delivery and installation charges; (d) delivery charges; (e) installation charges; and (f) the value of exempt tangible personal property given to the purchaser where taxable and exempt tangible personal property have been bundled together and sold by the seller as a single product or piece of merchandise.

      When tangible personal property is rented or leased under circumstances that the consideration paid does not represent a reasonable rental for the use of the articles so rented or leased, the "selling price" shall be determined as nearly as possible according to the value of such use at the places of use of similar products of like quality and character under such rules as the department may prescribe.


      "Selling price" or "sales price" does not include: Discounts, including cash, term, or coupons that are not reimbursed by a third party that are allowed by a seller and taken by a purchaser on a sale; interest, financing, and carrying charges from credit extended on the sale of tangible personal property or services, if the amount is separately stated on the invoice, bill of sale, or similar document given to the purchaser; and any taxes legally imposed directly on the consumer that are separately stated on the invoice, bill of sale, or similar document given to the purchaser;

      (2) "Seller" means every person, including the state and its departments and institutions, making sales at retail or retail sales to a buyer, purchaser, or consumer, whether as agent, broker, or principal, except "seller" does not mean the state and its departments and institutions when making sales to the state and its departments and institutions;

      (3) "Buyer," "purchaser," and "consumer" include, without limiting the scope hereof, every individual, receiver, assignee, trustee in bankruptcy, trust, estate, firm, copartnership, joint venture, club, company, joint stock company, business trust, corporation, association, society, or any group of individuals acting as a unit, whether mutual, cooperative, fraternal, nonprofit, or otherwise, municipal corporation, quasi municipal corporation, and also the state, its departments and institutions and all political subdivisions thereof, irrespective of the nature of the activities engaged in or functions performed, and also the United States or any instrumentality thereof;

      (4) "Delivery charges" means charges by the seller of personal property or services for preparation and delivery to a location designated by the purchaser of personal property or services including, but not limited to, transportation, shipping, postage, handling, crating, and packing;

      (5) "Direct mail" means printed material delivered or distributed by United States mail or other delivery service to a mass audience or to addressees on a mailing list provided by the purchaser or at the direction of the purchaser when the cost of the items are not billed directly to the recipients. "Direct mail" includes tangible personal property supplied directly or indirectly by the purchaser to the direct mail seller for inclusion in the package containing the printed material. "Direct mail" does not include multiple items of printed material delivered to a single address;

      (6) The meaning attributed in chapter 82.04 RCW to the terms "tax year," "taxable year," "person," "company," "sale," "sale at retail," "retail sale," "sale at wholesale," "wholesale," "business," "engaging in business," "cash discount," "successor," "consumer," "in this state" and "within this state" shall apply equally to the provisions of this chapter;

      (((6))) (7) For the purposes of the taxes imposed under this chapter and under chapter 82.12 RCW, "tangible personal property" means personal property that can be seen, weighed, measured, felt, or touched, or that is in any other manner perceptible to the senses. Tangible personal property includes electricity, water, gas, steam, and prewritten computer software.

      NEW SECTION. Sec. 103. A new section is added to chapter 82.04 RCW to read as follows:

      (1) In computing tax there may be deducted from the measure of tax, amounts derived from delivery charges made for the delivery of direct mail if the charges are separately stated on an invoice or similar billing document given to the purchaser.

      (2) "Delivery charges" and "direct mail" have the same meanings as in RCW 82.08.010.

      NEW SECTION. Sec. 104. 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 delivery charges made for the delivery of direct mail if the charges are separately stated on an invoice or similar billing document given to the purchaser.

      NEW SECTION. Sec. 105. A new section is added to chapter 82.12 RCW to read as follows:

      (1) The tax levied by this chapter does not apply to the value of delivery charges made for the delivery of direct mail if the charges are separately stated on an invoice or similar billing document given to the purchaser.

      (2) "Delivery charges" and "direct mail" have the same meanings as in RCW 82.08.010."

      Beginning on page 66, line 31, strike all of Part XIII and insert the following:

 

"PART XIII

MISCELLANEOUS

 

      NEW SECTION. Sec. 1301. Part headings used in this act are not any part of the law.

      NEW SECTION. Sec. 1302. Except as otherwise specifically provided in this act, 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 takes effect July 1, 2005.

      NEW SECTION. Sec. 1303. Sections 102 through 105, 1001, 1003, 1004, 1201, 1311, and 1312 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 take effect immediately.

      NEW SECTION. Sec. 1304. Sections 401 through 403 of this act take effect July 1, 2006.

      NEW SECTION. Sec. 1305. Sections 501 and 1002 of this act take effect January 1, 2006.

      NEW SECTION. Sec. 1306. Section 701 of this act takes effect July 1, 2007.

      NEW SECTION. Sec. 1307. Sections 901 and 908 through 912 of this act constitute a new chapter in Title 43 RCW.

      NEW SECTION. Sec. 1308. Sections 902 through 907 of this act constitute a new chapter in Title 82 RCW.

      NEW SECTION. Sec. 1309. 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. 1310. Sections 901 through 912 of this act may be known and cited as the Washington main street act.

      NEW SECTION. Sec. 1311. Section 1003 of this act applies retroactively to June 10, 2004.

      NEW SECTION. Sec. 1312. Section 1001 of this act applies retroactively to annual surveys required under RCW 82.04.4452 that are due after December 31, 2004.

      NEW SECTION. Sec. 1313. Section 1107 of this act takes effect July 1, 2006.

      NEW SECTION. Sec. 1314. Section 1106 of this act expires July 1, 2006."

      On page 1, line 1 of the title, after "taxation;" strike the remainder of the title and insert "amending RCW 82.08.010, 82.08.150, 69.50.520, 82.04.2908, 82.04.4463, 82.29A.130, 82.71.020, 82.04.4452, 84.52.068, 43.84.092, 43.84.092, 69.50.520, 70.146.030, and 83.100.---; amending 2003 1st sp.s. c 16 s 6 (uncodified); reenacting and amending RCW 82.04.050; adding new sections to chapter 82.04 RCW; adding new sections to chapter 82.08 RCW; adding new sections to chapter 82.12 RCW; adding new sections to chapter 82.32 RCW; adding a new section to chapter 83.100 RCW; adding a new section to chapter 82.24 RCW; adding a new section to chapter 28A.505 RCW; adding a new chapter to Title 43 RCW; adding a new chapter to Title 82 RCW; creating new sections; providing effective dates; providing expiration dates; and declaring an emergency."

      Senator Zarelli spoke in favor of adoption of the amendment.

      Senator Doumit spoke against adoption of the amendment.

 

      Senator Esser demanded a roll call.

      The President declared that one-sixth of the members supported the demand and the demand was sustained.

The President declared the question before the Senate to be the adoption of the amendment by Senator Zarelli on page 1, line 16 to Engrossed Substitute House Bill No. 2314.

 

ROLL CALL

 

      The Secretary called the roll on the adoption of the amendment by Senator Zarelli and the amendment was not adopted by the following vote: Yeas, 22; Nays, 25; Absent, 0; Excused, 2.

      Voting yea: Senators Benson, Benton, Brandland, Carrell, Deccio, Delvin, Esser, Finkbeiner, Hewitt, Honeyford, Johnson, Morton, Mulliken, Parlette, Pflug, Roach, Schmidt, Schoesler, Sheldon, Stevens, Swecker and Zarelli - 22

      Voting nay: Senators Berkey, Brown, Doumit, Eide, Fairley, Franklin, Fraser, Hargrove, Haugen, Jacobsen, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Rockefeller, Shin, Spanel, Thibaudeau and Weinstein - 25

      Excused: Senators McCaslin and Oke - 2

 

MOTION

 

Senator Zarelli moved that the following amendment by Senator Zarelli be adopted.

      Beginning on page 24, line 15, strike all of part II

      Renumber the remaining part headings and sections consecutively and correct internal references accordingly.

      On page 1, line 3 of the title, strike "82.08.150, 69.50.520,"

      Senator Zarelli spoke in favor of adoption of the amendment.

      Senator Doumit spoke against adoption of the amendment.

 

      Senator Esser demanded a roll call.

      The President declared that one-sixth of the members supported the demand and the demand was sustained.

The President declared the question before the Senate to be the adoption of the amendment by Senator Zarelli on page 24, line 15 to Engrossed Substitute House Bill No. 2314.

 

ROLL CALL

 

      The Secretary called the roll on the adoption of the amendment by Senator Zarelli and the amendment was not adopted by the following vote: Yeas, 22; Nays, 25; Absent, 0; Excused, 2.

      Voting yea: Senators Benson, Benton, Brandland, Carrell, Deccio, Delvin, Esser, Finkbeiner, Hewitt, Honeyford, Johnson, Morton, Mulliken, Parlette, Pflug, Roach, Schmidt, Schoesler, Sheldon, Stevens, Swecker and Zarelli - 22

      Voting nay: Senators Berkey, Brown, Doumit, Eide, Fairley, Franklin, Fraser, Hargrove, Haugen, Jacobsen, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Rockefeller, Shin, Spanel, Thibaudeau and Weinstein - 25

      Excused: Senators McCaslin and Oke - 2

 

MOTION

 

Senator Zarelli moved that the following amendment by Senator Zarelli be adopted.

      Beginning on page 49, line 24, strike all of part XI

      Renumber the remaining part headings and sections consecutively and correct internal references accordingly.

      On page 67, line 2, strike "1106,"

      On page 68, beginning on line 4, strike all of sections 1313 and 1314

      On page 1, line 1 of the title, after "taxation;" strike the remainder of the title and insert "amending RCW 82.04.060, 82.12.0251, 82.12.0255, 82.12.035, 82.08.010, 82.14.020, 82.14.020, 82.08.150, 69.50.520, 82.04.2908, 82.04.4463, 82.29A.130, 82.71.020, 82.04.4452, and 83.100.---; amending 2004 c 153 s 502 (uncodified); amending 2003 1st sp.s. c 16 s 6 (uncodified); reenacting and amending RCW 82.04.050, 82.04.190, 82.12.010, 82.12.020, and 82.12.040; adding new sections to chapter 82.04 RCW; adding new sections to chapter 82.08 RCW; adding new sections to chapter 82.12 RCW; adding new sections to chapter 82.32 RCW; adding a new chapter to Title 43 RCW; adding a new chapter to Title 82 RCW; creating new sections; providing effective dates; providing expiration dates; and declaring an emergency."

      Senators Zarelli, Brandland, Shin and Deccio spoke in favor of adoption of the amendment.

      Senators Thibaudeau and Fairley spoke against adoption of the amendment.

 

      Senator Esser demanded a roll call.

      The President declared that one-sixth of the members supported the demand and the demand was sustained.

The President declared the question before the Senate to be the adoption of the amendment by Senator Zarelli on page 49, line 24 to Engrossed Substitute House Bill No. 2314.

 

ROLL CALL

 

      The Secretary called the roll on the adoption of the amendment by Senator Zarelli and the amendment was not adopted by the following vote: Yeas, 23; Nays, 24; Absent, 0; Excused, 2.

      Voting yea: Senators Benson, Benton, Brandland, Carrell, Deccio, Delvin, Esser, Finkbeiner, Hewitt, Honeyford, Johnson, Morton, Mulliken, Parlette, Pflug, Roach, Schmidt, Schoesler, Sheldon, Shin, Stevens, Swecker and Zarelli - 23

      Voting nay: Senators Berkey, Brown, Doumit, Eide, Fairley, Franklin, Fraser, Hargrove, Haugen, Jacobsen, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Rockefeller, Spanel, Thibaudeau and Weinstein - 24

      Excused: Senators McCaslin and Oke - 2

 

MOTION

 

      Senator Finkbeiner moved that the following amendment by Senators Finkbeiner and Zarelli be adopted.

      On page 66, after line 30, insert the following:

 


PART XIII

STATE PROPERTY TAX

 

      "NEW SECTION. Sec. 1301. A new section is added to chapter 84.55 RCW to read as follows:

      The state property tax levy for collection in 2006 shall be reduced by twenty-five cents per one thousand dollars of assessed value from the rate that otherwise would be allowed under this chapter."

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

      On page 1, on line 13 of the title, after "RCW;" insert "adding a new section to chapter 84.55 RCW;"

      Senators Finkbeiner and Hewitt spoke in favor of adoption of the amendment.

      Senators Brown and Thibaudeau spoke against adoption of the amendment.

 

      Senator Esser demanded a roll call.

      The President declared that one-sixth of the members supported the demand and the demand was sustained.

The President declared the question before the Senate to be the adoption of the amendment by Senators Finkbeiner and Zarelli on page 66, after line 30 to Engrossed Substitute House Bill No. 2314.

 

ROLL CALL

 

      The Secretary called the roll on the adoption of the amendment by Senator Finkbeiner and the amendment was not adopted by the following vote: Yeas, 22; Nays, 25; Absent, 0; Excused, 2.

      Voting yea: Senators Benson, Benton, Brandland, Carrell, Deccio, Delvin, Esser, Finkbeiner, Hewitt, Honeyford, Johnson, Morton, Mulliken, Parlette, Pflug, Roach, Schmidt, Schoesler, Sheldon, Stevens, Swecker and Zarelli - 22

      Voting nay: Senators Berkey, Brown, Doumit, Eide, Fairley, Franklin, Fraser, Hargrove, Haugen, Jacobsen, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Rockefeller, Shin, Spanel, Thibaudeau and Weinstein - 25

      Excused: Senators McCaslin and Oke - 2

 

MOTION

 

Senator Zarelli moved that the following striking amendment by Senator Zarelli be adopted.

      Strike everything after the enacting clause and insert the following:

 

"PART I

SELF-SERVICE LAUNDRY

AND DIRECT MAIL DELIVERY CHARGES

 

      Sec. 101. RCW 82.04.050 and 2004 c 174 s 3 and 2004 c 153 s 407 are each reenacted and amended to read as follows:

      (1) "Sale at retail" or "retail sale" means every sale of tangible personal property (including articles produced, fabricated, or imprinted) to all persons irrespective of the nature of their business and including, among others, without limiting the scope hereof, persons who install, repair, clean, alter, improve, construct, or decorate real or personal property of or for consumers other than a sale to a person who presents a resale certificate under RCW 82.04.470 and who:

      (a) Purchases for the purpose of resale as tangible personal property in the regular course of business without intervening use by such person, but a purchase for the purpose of resale by a regional transit authority under RCW 81.112.300 is not a sale for resale; or

      (b) Installs, repairs, cleans, alters, imprints, improves, constructs, or decorates real or personal property of or for consumers, if such tangible personal property becomes an ingredient or component of such real or personal property without intervening use by such person; or

      (c) Purchases for the purpose of consuming the property purchased in producing for sale a new article of tangible personal property or substance, of which such property becomes an ingredient or component or is a chemical used in processing, when the primary purpose of such chemical is to create a chemical reaction directly through contact with an ingredient of a new article being produced for sale; or

      (d) Purchases for the purpose of consuming the property purchased in producing ferrosilicon which is subsequently used in producing magnesium for sale, if the primary purpose of such property is to create a chemical reaction directly through contact with an ingredient of ferrosilicon; or

      (e) Purchases for the purpose of providing the property to consumers as part of competitive telephone service, as defined in RCW 82.04.065. The term shall include every sale of tangible personal property which is used or consumed or to be used or consumed in the performance of any activity classified as a "sale at retail" or "retail sale" even though such property is resold or utilized as provided in (a), (b), (c), (d), or (e) of this subsection following such use. The term also means every sale of tangible personal property to persons engaged in any business which is taxable under RCW 82.04.280 (2) and (7), 82.04.290, and 82.04.2908.

      (2) The term "sale at retail" or "retail sale" shall include the sale of or charge made for tangible personal property consumed and/or for labor and services rendered in respect to the following:

      (a) The installing, repairing, cleaning, altering, imprinting, or improving of tangible personal property of or for consumers, including charges made for the mere use of facilities in respect thereto, but excluding charges made for the use of ((coin-operated)) self-service laundry facilities ((when such facilities are situated in an apartment house, rooming house, or mobile home park for the exclusive use of the tenants thereof)), and also excluding sales of laundry service to nonprofit health care facilities, and excluding services rendered in respect to live animals, birds and insects;

      (b) The constructing, repairing, decorating, or improving of new or existing buildings or other structures under, upon, or above real property of or for consumers, including the installing or attaching of any article of tangible personal property therein or thereto, whether or not such personal property becomes a part of the realty by virtue of installation, and shall also include the sale of services or charges made for the clearing of land and the moving of earth excepting the mere leveling of land used in commercial farming or agriculture;

      (c) The charge for labor and services rendered in respect to constructing, repairing, or improving any structure upon, above, or under any real property owned by an owner who conveys the property by title, possession, or any other means to the person performing such construction, repair, or improvement for the purpose of performing such construction, repair, or improvement and the property is then reconveyed by title, possession, or any other means to the original owner;


      (d) The sale of or charge made for labor and services rendered in respect to the cleaning, fumigating, razing or moving of existing buildings or structures, but shall not include the charge made for janitorial services; and for purposes of this section the term "janitorial services" shall mean those cleaning and caretaking services ordinarily performed by commercial janitor service businesses including, but not limited to, wall and window washing, floor cleaning and waxing, and the cleaning in place of rugs, drapes and upholstery. The term "janitorial services" does not include painting, papering, repairing, furnace or septic tank cleaning, snow removal or sandblasting;

      (e) The sale of or charge made for labor and services rendered in respect to automobile towing and similar automotive transportation services, but not in respect to those required to report and pay taxes under chapter 82.16 RCW;

      (f) The sale of and charge made for the furnishing of lodging and all other services 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, and 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 enjoy the same. For the purposes of this subsection, it shall be presumed that the sale of and charge made for the furnishing of lodging for a continuous period of one month or more to a person is a rental or lease of real property and not a mere license to enjoy the same;

      (g) The sale of or charge made for tangible personal property, labor and services to persons taxable under (a), (b), (c), (d), (e), and (f) of this subsection when such sales or charges are for property, labor and services which are used or consumed in whole or in part by such persons in the performance of any activity defined as a "sale at retail" or "retail sale" even though such property, labor and services may be resold after such use or consumption. Nothing contained in this subsection shall be construed to modify subsection (1) of this section and nothing contained in subsection (1) of this section shall be construed to modify this subsection.

      (3) The term "sale at retail" or "retail sale" shall include the sale of or charge made for personal, business, or professional services including amounts designated as interest, rents, fees, admission, and other service emoluments however designated, received by persons engaging in the following business activities:

      (a) Amusement and recreation services including but not limited to golf, pool, billiards, skating, bowling, ski lifts and tows, day trips for sightseeing purposes, and others, when provided to consumers;

      (b) Abstract, title insurance, and escrow services;

      (c) Credit bureau services;

      (d) Automobile parking and storage garage services;

      (e) Landscape maintenance and horticultural services but excluding (i) horticultural services provided to farmers and (ii) pruning, trimming, repairing, removing, and clearing of trees and brush near electric transmission or distribution lines or equipment, if performed by or at the direction of an electric utility;

      (f) Service charges associated with tickets to professional sporting events; and

      (g) The following personal services: Physical fitness services, tanning salon services, tattoo parlor services, steam bath services, turkish bath services, escort services, and dating services.

      (4)(a) The term shall also include:

      (i) The renting or leasing of tangible personal property to consumers; and

      (ii) Providing tangible personal property along with an operator for a fixed or indeterminate period of time. A consideration of this is that the operator is necessary for the tangible personal property to perform as designed. For the purpose of this subsection (4)(a)(ii), an operator must do more than maintain, inspect, or set up the tangible personal property.

      (b) The term shall not include the renting or leasing of tangible personal property where the lease or rental is for the purpose of sublease or subrent.

      (5) The term shall also include the providing of telephone service, as defined in RCW 82.04.065, to consumers.

      (6) The term shall also include the sale of prewritten computer software other than a sale to a person who presents a resale certificate under RCW 82.04.470, regardless of the method of delivery to the end user, but shall not include custom software or the customization of prewritten computer software.

      (7) The term shall not include the sale of or charge made for labor and services rendered in respect to the building, repairing, or improving of any street, place, road, highway, easement, right of way, mass public transportation terminal or parking facility, bridge, tunnel, or trestle which is owned by a municipal corporation or political subdivision of the state or by the United States and which is used or to be used primarily for foot or vehicular traffic including mass transportation vehicles of any kind.

      (8) The term shall also not include sales of chemical sprays or washes to persons for the purpose of postharvest treatment of fruit for the prevention of scald, fungus, mold, or decay, nor shall it include sales of feed, seed, seedlings, fertilizer, agents for enhanced pollination including insects such as bees, and spray materials to: (a) Persons who participate in the federal conservation reserve program, the environmental quality incentives program, the wetlands reserve program, and the wildlife habitat incentives program, or their successors administered by the United States department of agriculture; (b) farmers for the purpose of producing for sale any agricultural product; and (c) farmers acting under cooperative habitat development or access contracts with an organization exempt from federal income tax under 26 U.S.C. Sec. 501(c)(3) or the Washington state department of fish and wildlife to produce or improve wildlife habitat on land that the farmer owns or leases.

      (9) The term shall not include the sale of or charge made for labor and services rendered in respect to the constructing, repairing, decorating, or improving of new or existing buildings or other structures under, upon, or above real property of or for the United States, any instrumentality thereof, or a county or city housing authority created pursuant to chapter 35.82 RCW, including the installing, or attaching of any article of tangible personal property therein or thereto, whether or not such personal property becomes a part of the realty by virtue of installation. Nor shall the term include the sale of services or charges made for the clearing of land and the moving of earth of or for the United States, any instrumentality thereof, or a county or city housing authority. Nor shall the term include the sale of services or charges made for cleaning up for the United States, or its instrumentalities, radioactive waste and other byproducts of weapons production and nuclear research and development.

      Sec. 102. RCW 82.08.010 and 2004 c 153 s 406 are each amended to read as follows:

      For the purposes of this chapter:

      (1) "Selling price" includes "sales price." "Sales price" means the total amount of consideration, except separately stated trade-in property of like kind, including cash, credit, property, and services, for which tangible personal property or services defined as a "retail sale" under RCW 82.04.050 are sold, leased, or rented, valued in money, whether received in money or otherwise. No deduction from the total amount of consideration is allowed for the following: (a) The seller's cost of the property sold; (b) the cost of materials used, labor or service cost, interest, losses, all costs of transportation to the seller, all taxes imposed on the seller, and any other expense of the seller; (c) charges by the seller for any services necessary to complete the sale, other than delivery and installation charges; (d) delivery charges; (e) installation charges; and (f) the value of exempt tangible personal property given to the purchaser where taxable and exempt tangible personal property have been bundled together and sold by the seller as a single product or piece of merchandise.

      When tangible personal property is rented or leased under circumstances that the consideration paid does not represent a reasonable rental for the use of the articles so rented or leased, the "selling price" shall be determined as nearly as possible according to the value of such use at the places of use of similar products of like quality and character under such rules as the department may prescribe.

      "Selling price" or "sales price" does not include: Discounts, including cash, term, or coupons that are not reimbursed by a third party that are allowed by a seller and taken by a purchaser on a sale; interest, financing, and carrying charges from credit extended on the sale of tangible personal property or services, if the amount is separately stated on the invoice, bill of sale, or similar document given to the purchaser; and any taxes legally imposed directly on the consumer that are separately stated on the invoice, bill of sale, or similar document given to the purchaser;

      (2) "Seller" means every person, including the state and its departments and institutions, making sales at retail or retail sales to a buyer, purchaser, or consumer, whether as agent, broker, or principal, except "seller" does not mean the state and its departments and institutions when making sales to the state and its departments and institutions;

      (3) "Buyer," "purchaser," and "consumer" include, without limiting the scope hereof, every individual, receiver, assignee, trustee in bankruptcy, trust, estate, firm, copartnership, joint venture, club, company, joint stock company, business trust, corporation, association, society, or any group of individuals acting as a unit, whether mutual, cooperative, fraternal, nonprofit, or otherwise, municipal corporation, quasi municipal corporation, and also the state, its departments and institutions and all political subdivisions thereof, irrespective of the nature of the activities engaged in or functions performed, and also the United States or any instrumentality thereof;

      (4) "Delivery charges" means charges by the seller of personal property or services for preparation and delivery to a location designated by the purchaser of personal property or services including, but not limited to, transportation, shipping, postage, handling, crating, and packing;

      (5) "Direct mail" means printed material delivered or distributed by United States mail or other delivery service to a mass audience or to addressees on a mailing list provided by the purchaser or at the direction of the purchaser when the cost of the items are not billed directly to the recipients. "Direct mail" includes tangible personal property supplied directly or indirectly by the purchaser to the direct mail seller for inclusion in the package containing the printed material. "Direct mail" does not include multiple items of printed material delivered to a single address;

      (6) The meaning attributed in chapter 82.04 RCW to the terms "tax year," "taxable year," "person," "company," "sale," "sale at retail," "retail sale," "sale at wholesale," "wholesale," "business," "engaging in business," "cash discount," "successor," "consumer," "in this state" and "within this state" shall apply equally to the provisions of this chapter;

      (((6))) (7) For the purposes of the taxes imposed under this chapter and under chapter 82.12 RCW, "tangible personal property" means personal property that can be seen, weighed, measured, felt, or touched, or that is in any other manner perceptible to the senses. Tangible personal property includes electricity, water, gas, steam, and prewritten computer software.

      NEW SECTION. Sec. 103. A new section is added to chapter 82.04 RCW to read as follows:

      (1) In computing tax there may be deducted from the measure of tax, amounts derived from delivery charges made for the delivery of direct mail if the charges are separately stated on an invoice or similar billing document given to the purchaser.

      (2) "Delivery charges" and "direct mail" have the same meanings as in RCW 82.08.010.

      NEW SECTION. Sec. 104. 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 delivery charges made for the delivery of direct mail if the charges are separately stated on an invoice or similar billing document given to the purchaser.

      NEW SECTION. Sec. 105. A new section is added to chapter 82.12 RCW to read as follows:

      (1) The tax levied by this chapter does not apply to the value of delivery charges made for the delivery of direct mail if the charges are separately stated on an invoice or similar billing document given to the purchaser.

      (2) "Delivery charges" and "direct mail" have the same meanings as in RCW 82.08.010.

 

PART II

BOARDING HOMES

 

      NEW SECTION. Sec. 201. A new section is added to chapter 82.04 RCW to read as follows:

      (1) This chapter does not apply to amounts received by a nonprofit boarding home licensed under chapter 18.20 RCW for providing room and domiciliary care to residents of the boarding home.

      (2) As used in this section:

      (a) "Domiciliary care" has the meaning provided in RCW 18.20.020.

      (b) "Nonprofit boarding home" means a boarding home that is operated as a religious or charitable organization, is exempt from federal income tax under 26 U.S.C. Sec. 501(c)(3), is incorporated under chapter 24.03 RCW, is operated as part of a nonprofit hospital, or is operated as part of a public hospital district.

      Sec. 202. RCW 82.04.2908 and 2004 c 174 s 1 are each amended to read as follows:

      (1) Upon every person engaging within this state in the business of providing room and domiciliary care to residents of a boarding home licensed under chapter 18.20 RCW, the amount of tax with respect to such business shall be equal to the gross income ((from such services)) of the business, multiplied by the rate of 0.275 percent.

      (2) ((If the persons described in subsection (1) of this section receive income from sources other than those described in subsection (1) of this section or provide services other than those named in subsection (1) of this section, that income and those services are subject to tax as otherwise provided in this chapter.


      (3))) For the purposes of this section, "domiciliary care" has the ((same)) meaning ((as)) provided in RCW 18.20.020.

 

PART III

COMPREHENSIVE CANCER CENTERS

 

      NEW SECTION. Sec. 301. A new section is added to chapter 82.04 RCW to read as follows:

      (1) This chapter does not apply to amounts received by a comprehensive cancer center to the extent the amounts are exempt from federal income tax.

      (2) For the purposes of this section, "comprehensive cancer center" means a cancer center that has written confirmation that it is recognized by the national cancer institute as a comprehensive cancer center and that qualifies as an exempt organization under 26 U.S.C. Sec. 501(c)(3) as existing on the effective date of this section.

      NEW SECTION. Sec. 302. A new section is added to chapter 82.08 RCW to read as follows:

      (1) The tax levied by RCW 82.08.020 does not apply to the sale of medical supplies, chemicals, or materials to a comprehensive cancer center. The exemption in this section does not apply to the sale of construction materials, office equipment, building equipment, administrative supplies, or vehicles.

      (2) For the purposes of this section, the following definitions apply:

      (a) "Comprehensive cancer center" has the meaning provided in section 301 of this act.

      (b) "Chemical" means any catalyst, solvent, water, acid, oil, or other additive that physically or chemically interacts with blood, bone, or tissue.

      (c) "Materials" means any item of tangible personal property, including, but not limited to, bags, packs, collecting sets, filtering materials, testing reagents, antisera, and refrigerants used or consumed in performing research on, procuring, testing, processing, storing, packaging, distributing, or using blood, bone, or tissue.

      (d) "Research" means basic and applied research that has as its objective the design, development, refinement, testing, marketing, or commercialization of a product, service, or process.

      (e) "Medical supplies" means any item of tangible personal property, including any repair and replacement parts for such tangible personal property, used by a comprehensive cancer center for the purpose of performing research on, procuring, testing, processing, storing, packaging, distributing, or using blood, bone, or tissue. The term includes tangible personal property used to:

      (i) Provide preparatory treatment of blood, bone, or tissue;

      (ii) Control, guide, measure, tune, verify, align, regulate, test, or physically support blood, bone, or tissue; and

      (iii) Protect the health and safety of employees or others present during research on, procuring, testing, processing, storing, packaging, distributing, or using blood, bone, or tissue.

      NEW SECTION. Sec. 303. A new section is added to chapter 82.12 RCW to read as follows:

      (1) The provisions of this chapter do not apply in respect to the use of medical supplies, chemicals, or materials by a comprehensive cancer center. The exemption in this section does not apply to the use of construction materials, office equipment, building equipment, administrative supplies, or vehicles.

      (2) The definitions in sections 301 and 302 of this act apply to this section.

 

PART IV

COMMERCIAL AIRPLANE MANUFACTURING

 

      Sec. 401. RCW 82.04.4463 and 2003 2nd sp.s. c 1 s 15 are each amended to read as follows:

      (1) In computing the tax imposed under this chapter, a credit is allowed for property taxes paid during the calendar year.

      (2) The credit is equal to:

      (a)(i) Property taxes paid on new buildings, and land upon which this property is located, built after December 1, 2003, and used exclusively in manufacturing commercial airplanes or components of such airplanes; or

      (ii) Property taxes attributable to an increase in assessed value due to the renovation or expansion, after December 1, 2003, of a building used exclusively in manufacturing commercial airplanes or components of such airplanes; and

      (b) An amount equal to property taxes paid on machinery and equipment exempt under RCW 82.08.02565 or 82.12.02565 ((used in manufacturing commercial airplanes or components of such airplanes)) and acquired after December 1, 2003, multiplied by a fraction. The numerator of the fraction is the total taxable amount subject to the tax imposed under RCW 82.04.260(13) and the denominator of the fraction is the total taxable amount subject to the tax imposed under all manufacturing classifications in chapter 82.04 RCW, required to be reported on the person's returns for the calendar year before the calendar year in which the credit under this section is earned. No credit is available under this subsection (2)(b) if either the numerator or the denominator of the fraction is zero. If the fraction is greater than or equal to nine-tenths, then the fraction is rounded to one. For purposes of this subsection, "returns" means the combined excise tax returns for the calendar year.

      (3) For the purposes of this section, "commercial passenger airplane" and "component" have the meanings given in RCW 82.32.550.

      (4) A person taking the credit under this section is subject to all the requirements of chapter 82.32 RCW. In addition, the person must report as required under RCW 82.32.545. A credit earned during one calendar year may be carried over to be credited against taxes incurred in a subsequent calendar year, but may not be carried over a second year. No refunds may be granted for credits under this section.

      (5) In addition to all other requirements under this title, a person taking the credit under this section must report as required under RCW 82.32.545.

      (6) This section expires July 1, 2024.

 

PART V

AMPHITHEATERS

 

      Sec. 501. RCW 82.29A.130 and 1999 c 165 s 21 are each amended to read as follows:

      The following leasehold interests shall be exempt from taxes imposed pursuant to RCW 82.29A.030 and 82.29A.040:

      (1) All leasehold interests constituting a part of the operating properties of any public utility which is assessed and taxed as a public utility pursuant to chapter 84.12 RCW.

      (2) All leasehold interests in facilities owned or used by a school, college or university which leasehold provides housing for students and which is otherwise exempt from taxation under provisions of RCW 84.36.010 and 84.36.050.

      (3) All leasehold interests of subsidized housing where the fee ownership of such property is vested in the government of the United States, or the state of Washington or any political subdivision thereof but only if income qualification exists for such housing.

      (4) All leasehold interests used for fair purposes of a nonprofit fair association that sponsors or conducts a fair or fairs which receive support from revenues collected pursuant to RCW 67.16.100 and allocated by the director of the department of agriculture where the fee ownership of such property is vested in the government of the United States, the state of Washington or any of its political subdivisions: PROVIDED, That this exemption shall not apply to the leasehold interest of any sublessee of such nonprofit fair association if such leasehold interest would be taxable if it were the primary lease.

      (5) All leasehold interests in any property of any public entity used as a residence by an employee of that public entity who is required as a condition of employment to live in the publicly owned property.

      (6) All leasehold interests held by enrolled Indians of lands owned or held by any Indian or Indian tribe where the fee ownership of such property is vested in or held in trust by the United States and which are not subleased to other than to a lessee which would qualify pursuant to this chapter, RCW 84.36.451 and 84.40.175.

      (7) All leasehold interests in any real property of any Indian or Indian tribe, band, or community that is held in trust by the United States or is subject to a restriction against alienation imposed by the United States: PROVIDED, That this exemption shall apply only where it is determined that contract rent paid is greater than or equal to ninety percent of fair market rental, to be determined by the department of revenue using the same criteria used to establish taxable rent in RCW 82.29A.020(2)(b).

      (8) All leasehold interests for which annual taxable rent is less than two hundred fifty dollars per year. For purposes of this subsection leasehold interests held by the same lessee in contiguous properties owned by the same lessor shall be deemed a single leasehold interest.

      (9) All leasehold interests which give use or possession of the leased property for a continuous period of less than thirty days: PROVIDED, That for purposes of this subsection, successive leases or lease renewals giving substantially continuous use of possession of the same property to the same lessee shall be deemed a single leasehold interest: PROVIDED FURTHER, That no leasehold interest shall be deemed to give use or possession for a period of less than thirty days solely by virtue of the reservation by the public lessor of the right to use the property or to allow third parties to use the property on an occasional, temporary basis.

      (10) All leasehold interests under month-to-month leases in residential units rented for residential purposes of the lessee pending destruction or removal for the purpose of constructing a public highway or building.

      (11) All leasehold interests in any publicly owned real or personal property to the extent such leasehold interests arises solely by virtue of a contract for public improvements or work executed under the public works statutes of this state or of the United States between the public owner of the property and a contractor.

      (12) All leasehold interests that give use or possession of state adult correctional facilities for the purposes of operating correctional industries under RCW 72.09.100.

      (13) All leasehold interests used to provide organized and supervised recreational activities for disabled persons of all ages in a camp facility and for public recreational purposes by a nonprofit organization, association, or corporation that would be exempt from property tax under RCW 84.36.030(1) if it owned the property. If the publicly owned property is used for any taxable purpose, the leasehold excise taxes set forth in RCW 82.29A.030 and 82.29A.040 shall be imposed and shall be apportioned accordingly.

      (14) All leasehold interests in the public or entertainment areas of a baseball stadium with natural turf and a retractable roof or canopy that is in a county with a population of over one million, that has a seating capacity of over forty thousand, and that is constructed on or after January 1, 1995. "Public or entertainment areas" include ticket sales areas, ramps and stairs, lobbies and concourses, parking areas, concession areas, restaurants, hospitality and stadium club areas, kitchens or other work areas primarily servicing other public or entertainment areas, public rest room areas, press and media areas, control booths, broadcast and production areas, retail sales areas, museum and exhibit areas, scoreboards or other public displays, storage areas, loading, staging, and servicing areas, seating areas and suites, the playing field, and any other areas to which the public has access or which are used for the production of the entertainment event or other public usage, and any other personal property used for these purposes. "Public or entertainment areas" does not include locker rooms or private offices exclusively used by the lessee.

      (15) All leasehold interests in the public or entertainment areas of a stadium and exhibition center, as defined in RCW 36.102.010, that is constructed on or after January 1, 1998. For the purposes of this subsection, "public or entertainment areas" has the same meaning as in subsection (14) of this section, and includes exhibition areas.

      (16) All leasehold interests in public facilities districts, as provided in chapter 36.100 or 35.57 RCW.

      (17) All leasehold interests in the public or entertainment areas of an amphitheater if a private entity is responsible for one hundred percent of the cost of constructing the amphitheater which is not reimbursed by the public owner, both the public owner and the private lessee sponsor events at the facility on a regular basis, the lessee is responsible under the lease or agreement to operate and maintain the facility, and the amphitheater has a seating capacity of over seventeen thousand reserved and general admission seats and is in a county with a population of over three hundred fifty thousand, but less than four hundred twenty-five thousand. For the purposes of this subsection, "public or entertainment areas" include box offices or other ticket sales areas, entrance gates, ramps and stairs, lobbies and concourses, parking areas, concession areas, restaurants, hospitality areas, kitchens or other work areas primarily servicing other public or entertainment areas, public rest room areas, press and media areas, control booths, broadcast and production areas, retail sales areas, museum and exhibit areas, scoreboards or other public displays, storage areas, loading, staging, and servicing areas, seating areas including lawn seating areas and suites, stages, and any other areas to which the public has access or which are used for the production of the entertainment event or other public usage, and any other personal property used for these purposes. "Public or entertainment areas" does not include office areas used predominately by the lessee.

 

PART VI

HISTORIC AUTOMOBILE MUSEUM

 

      NEW SECTION. Sec. 601. A new section is added to chapter 82.32 RCW to read as follows:

      (1) The governing board of a nonprofit organization, corporation, or association may apply for deferral of taxes on an eligible project. Application shall be made to the department in a form and manner prescribed by the department. The application shall contain information regarding the location of the project, estimated or actual costs of the project, time schedules for completion and operation of the project, and other information required by the department. The department shall rule on the application within sixty days. All applications for the tax deferral under this section must be received no later than December 31, 2008.

      (2) The department shall issue a sales and use tax deferral certificate for state and local sales and use taxes due under chapters 82.08, 82.12, and 82.14 RCW on each eligible project.

      (3) The nonprofit organization, corporation, or association shall begin paying the deferred taxes in the fifth year after the date certified by the department as the date on which the eligible project is operationally complete. The first payment is due on December 31st of the fifth calendar year after such certified date, with subsequent annual payments due on December 31st of the following nine years. Each payment shall equal ten percent of the deferred tax.

      (4) The department may authorize an accelerated repayment schedule upon request of the nonprofit organization, corporation, or association.

      (5) Except as provided in subsection (6) of this section, interest shall not be charged on any taxes deferred under this section for the period of deferral. The debt for deferred taxes is not extinguished by insolvency or other failure of the nonprofit organization, corporation, or association.

      (6) If the project is not operationally complete within five calendar years from issuance of the tax deferral or if at any time the department finds that the project is not eligible for tax deferral under this section, the amount of deferred taxes outstanding for the project shall be immediately due and payable. If deferred taxes must be repaid under this subsection, the department shall assess interest, but not penalties, on amounts due under this subsection. Interest shall be assessed at the rate provided for delinquent taxes under this chapter, retroactively to the date of deferral, and shall accrue until the deferred taxes due are repaid.

      (7) Applications and any other information received by the department of revenue under this section are not confidential under RCW 82.32.330. This chapter applies to the administration of this section.

      (8) This section applies to taxable eligible project activity that occurs on or after July 1, 2007.

      (9) The following definitions apply to this section:

      (a) "Eligible project" means a project that is used primarily for a historic automobile museum.

      (b) "Historic automobile museum" means a facility owned and operated by a nonprofit organization, corporation, or association that is used to maintain and exhibit to the public a collection of at least five hundred motor vehicles.

      (c) "Nonprofit organization, corporation, or association" means an organization, corporation, or association exempt from tax under section 501(c) (3), (4), or (10) of the federal internal revenue code (26 U.S.C. Sec. 501(c) (3), (4), or (10)).

      (d) "Project" means the construction of new structures, the acquisition and installation of fixtures that are permanently affixed to and become a physical part of those structures, and site preparation. For purposes of this subsection, structures do not include parking facilities used for motor vehicles that are not on display or part of the museum collection.

      (e) "Site preparation" includes soil testing, site clearing and grading, demolition, or any other related activities that are initiated before construction. Site preparation does not include landscaping services or landscaping materials.

 

PART VII

NURSING HOMES

 

      Sec. 701. RCW 82.71.020 and 2003 1st sp.s. c 16 s 2 are each amended to read as follows:

      (1) In addition to any other tax, a quality maintenance fee is imposed on every operator of a nonexempt nursing facility in this state. The quality maintenance fee shall be:

      (a) Six dollars and fifty cents per patient day through June 30, 2005;

      (b) Five dollars and twenty-five cents per patient day for the period July 1, 2005, through June 30, 2007;

      (c) Three dollars per patient day for the period July 1, 2007, through June 30, 2009; and

      (d) One dollar and fifty cents per patient day for the period July 1, 2009, through June 30, 2011.

      (2) Each operator of a nonexempt nursing facility shall file a return with the department on a monthly basis. The return shall include the following:

      (a) The number of patient days for nonexempt nursing facilities operated by that person in that month; and

      (b) Remittance of the nonexempt nursing facility operator's quality maintenance fee for that month.

      (3) This section expires July 1, 2011.

      Sec. 702. 2003 1st sp.s. c 16 s 6 (uncodified) is amended to read as follows:

      (1) ((Sections 1 through 5 of this act)) RCW 82.71.010, 82.71.020, 82.71.030, 74.46.091, and 74.46.535 shall expire on the effective date that federal medicaid matching funds are substantially reduced or that a federal sanction is imposed due to the quality maintenance fee under ((section 2 of this act)) RCW 82.71.020, as such date is certified by the secretary of social and health services.

      (2) The expiration of ((sections 1 through 5 of this act)) RCW 82.71.010, 82.71.020, 82.71.030, 74.46.091, and 74.46.535 shall not be construed as affecting any existing right acquired or liability or obligation incurred under those sections or under any rule or order adopted under those sections, nor as affecting any proceeding instituted under those sections.

 

PART VIII

COMMERCIAL DISTRICT REVITALIZATION

 

      NEW SECTION. Sec. 801. (1) The legislature finds:

      (a) The continued economic vitality of downtown and neighborhood commercial districts in our state's cities is essential to community preservation, social cohesion, and economic growth;

      (b) In recent years there has been a deterioration of downtown and neighborhood commercial districts in both rural and urban communities due to a shifting population base, changes in the marketplace, and greater competition from suburban shopping malls, discount centers, and business transacted through the internet;

      (c) This decline has eroded the ability of businesses and property owners to renovate and enhance their commercial and residential properties; and

      (d) Business owners in these districts need to maintain their local economies in order to provide goods and services to adjacent residents, to provide employment opportunities, to avoid disinvestment and economic dislocations, and to develop and sustain downtown and neighborhood commercial district revitalization programs to address these problems.


      (2) It is the intent of the legislature to establish a program to:

      (a) Work in partnership with these organizations;

      (b) Provide technical assistance and training to local governments, business organizations, downtown and neighborhood commercial district organizations, and business and property owners to accomplish community and economic revitalization and development of business districts; and

      (c) Certify a downtown or neighborhood commercial district organization's use of available tax incentives.

      NEW SECTION. Sec. 802. Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.

      (1) "Applicant" means a person applying for a tax credit under this chapter.

      (2) "Contribution" means cash contributions.

      (3) "Department" means the department of revenue.

      (4) "Person" has the meaning given in RCW 82.04.030.

      (5) "Program" means a nonprofit organization under internal revenue code sections 501(c)(3) or 501(c)(6), with the sole mission of revitalizing a downtown or neighborhood commercial district area, that is designated by the department of community, trade, and economic development as described in sections 808 through 812 of this act.

      (6) "Main street trust fund" means the department of community, trade, and economic development's main street trust fund account under section 812 of this act.

      NEW SECTION. Sec. 803. (1) Application for tax credits under this chapter must be made to the department before making a contribution to a program or the main street trust fund. The application shall be made to the department in a form and manner prescribed by the department. The application shall contain information regarding the proposed amount of contribution to a program or the main street trust fund, and other information required by the department to determine eligibility under this act. The department shall rule on the application within forty-five days. Applications shall be approved on a first-come basis.

      (2) The person must make the contribution described in the approved application by the end of the calendar year in which the application is approved to claim a credit allowed under section 804 of this act.

      (3) The department shall not accept any applications before January 1, 2006.

      NEW SECTION. Sec. 804. (1) Subject to the limitations in this chapter, a credit is allowed against the tax imposed by chapters 82.04 and 82.16 RCW for approved contributions that are made by a person to a program or the main street trust fund.

      (2) The credit allowed under this section is limited to an amount equal to:

      (a) Seventy-five percent of the approved contribution made by a person to a program; or

      (b) Fifty percent of the approved contribution made by a person to the main street trust fund.

      (3) The department may not approve credit with respect to a program in a city or town with a population of one hundred ninety thousand persons or more.

      (4) The department shall keep a running total of all credits approved under this chapter for each calendar year. The department shall not approve any credits under this section that would cause the total amount of approved credits statewide to exceed one million five hundred thousand dollars in any calendar year.

      (5) The total credits allowed under this chapter for contributions made to each program may not exceed one hundred thousand dollars in a calendar year. The total credits allowed under this chapter for a person may not exceed two hundred fifty thousand dollars in a calendar year.

      (6) The credit may be claimed against any tax due under chapters 82.04 and 82.16 RCW only in the calendar year immediately following the calendar year in which the credit was approved by the department and the contribution was made to the program or the main street trust fund. Credits may not be carried over to subsequent years. No refunds may be granted for credits under this chapter.

      (7) The total amount of the credit claimed in any calendar year by a person may not exceed the lesser amount of the approved credit, or seventy-five percent of the amount of the contribution that is made by the person to a program and fifty percent of the amount of the contribution that is made by the person to the main street trust fund, in the prior calendar year.

      NEW SECTION. Sec. 805. To claim a credit under this chapter, a person must electronically file with the department all returns, forms, and other information the department requires in an electronic format as provided or approved by the department. Any return, form, or information required to be filed in an electronic format under this section is not filed until received by the department in an electronic format. As used in this subsection, "returns" has the same meaning as "return" in RCW 82.32.050.

      NEW SECTION. Sec. 806. The department of community, trade, and economic development shall provide information to the department to administer this chapter, including a list of designated programs that shall be updated as necessary.

      NEW SECTION. Sec. 807. Chapter 82.32 RCW applies to the administration of this chapter.

      NEW SECTION. Sec. 808. The definitions in this section apply throughout this chapter unless the context clearly requires otherwise.

      (1) "Area" means a geographic area within a local government that is described by a closed perimeter boundary.

      (2) "Department" means the department of community, trade, and economic development.

      (3) "Director" means the director of the department of community, trade, and economic development.

      (4) "Local government" means a city, code city, or town.

      (5) "Qualified levels of participation" means a local downtown or neighborhood commercial district revitalization program that has been designated by the department.

      NEW SECTION. Sec. 809. The Washington main street program is created within the department. In order to implement the Washington main street program, the department shall:

      (1) Provide technical assistance to businesses, property owners, organizations, and local governments undertaking a comprehensive downtown or neighborhood commercial district revitalization initiative and management strategy. Technical assistance may include, but is not limited to, initial site evaluations and assessments, training for local programs, training for local program staff, site visits and assessments by technical specialists, local program design assistance and evaluation, and continued local program on-site assistance;

      (2) To the extent funds are made available, provide financial assistance to local governments or local organizations to assist in initial downtown or neighborhood commercial district revitalization program start-up costs, specialized training, specific project feasibility studies, market studies, and design assistance;

      (3) Develop objective criteria for selecting recipients of assistance under subsections (1) and (2) of this section, which shall include priority for downtown or neighborhood commercial district revitalization programs located in a rural county as defined in RCW 43.160.020(12), and provide for designation of local programs under section 810 of this act;

      (4) Operate the Washington main street program in accordance with the plan developed by the department, in consultation with the Washington main street advisory committee created under section 811 of this act; and

      (5) Consider other factors the department deems necessary for the implementation of this chapter.

      NEW SECTION. Sec. 810. (1) The department shall adopt criteria for the designation of local downtown or neighborhood commercial district revitalization programs and official local main street programs. In establishing the criteria, the department shall consider:

      (a) The degree of interest and commitment to comprehensive downtown or neighborhood commercial district revitalization and, where applicable, historic preservation by both the public and private sectors;

      (b) The evidence of potential private sector investment in the downtown or neighborhood commercial district;

      (c) Where applicable, a downtown or neighborhood commercial district with sufficient historic fabric to become a foundation for an enhanced community image;

      (d) The capacity of the organization to undertake a comprehensive program and the financial commitment to implement a long-term downtown or neighborhood commercial district revitalization program that includes a commitment to employ a professional program manager and maintain a sufficient operating budget;

      (e) The department's existing downtown revitalization program's tier system;

      (f) The national main street center's criteria for designating official main street cities; and

      (g) Other factors the department deems necessary for the designation of a local program.

      (2) The department shall designate local downtown or neighborhood commercial district revitalization programs and official local main street programs. The programs shall be limited to three categories of designation, one of which shall be the main street level.

      (3) Section 802 of this act does not apply to any local downtown or neighborhood commercial district revitalization program unless the boundaries of the program have been identified and approved by the department. The boundaries of a local downtown or neighborhood commercial district revitalization program are typically defined using the pedestrian core of a traditional commercial district.

      (4) The department may not designate a local downtown or neighborhood commercial district revitalization program or official local main street program if the program is undertaken by a local government with a population of one hundred ninety thousand persons or more.

      NEW SECTION. Sec. 811. (1) The Washington main street advisory committee is created within the department. The members of the advisory committee are appointed by the director and consist of:

      (a) The director, or the director's designee, who shall serve as chair;

      (b) Two representatives from local governments;

      (c) Five representatives from existing local main street programs or downtown and neighborhood commercial district programs including a combination of staff, property owners, and business owners; and

      (d) One representative from the Washington trust for historic preservation.

      (2) The department shall develop a plan for the Washington main street program, in consultation with the Washington main street advisory committee. The plan must describe:

      (a) The objectives and strategies of the Washington main street program;

      (b) How the Washington main street program will be coordinated with existing federal, state, local, and private sector business development and historic preservation efforts;

      (c) The means by which private investment will be solicited and employed;

      (d) The methods of selecting and providing assistance to participating local programs; and

      (e) A means to solicit private contributions for state and local operations of the Washington main street program.

      NEW SECTION. Sec. 812. The Washington main street trust fund account is created in the state treasury. All receipts from private contributions, federal funds, legislative appropriations, and fees for services, if levied, must be deposited into the account. Expenditures from the account may be used only for the operation of the Washington main street program.

 

PART IX

HIGH TECHNOLOGY BUSINESSES

 

      NEW SECTION. Sec. 901. A new section is added to chapter 82.32 RCW to read as follows:

      (1) If the department finds that the failure of a taxpayer to file an annual survey under RCW 82.04.4452 by the due date was the result of circumstances beyond the control of the taxpayer, the department shall extend the time for filing the survey. Such extension shall be for a period of thirty days from the date the department issues its written notification to the taxpayer that it qualifies for an extension under this section. The department may grant additional extensions as it deems proper.

      (2) In making a determination whether the failure of a taxpayer to file an annual survey by the due date was the result of circumstances beyond the control of the taxpayer, the department shall be guided by rules adopted by the department for the waiver or cancellation of penalties when the underpayment or untimely payment of any tax was due to circumstances beyond the control of the taxpayer.

      NEW SECTION. Sec. 902. A new section is added to chapter 82.32 RCW to read as follows:

      (1) Persons required to file surveys under RCW 82.04.4452 must electronically file with the department all surveys, returns, and any other forms or information the department requires in an electronic format as provided or approved by the department, unless the department grants relief under subsection (2) of this section. As used in this section, "returns" has the same meaning as "return" in RCW 82.32.050.

      (2) Upon request, the department may relieve a person of the obligations in subsection (1) of this section if the person's taxes have been reduced a cumulative total of less than one thousand dollars from all of the credits, exemptions, or preferential business and occupation tax rates, for which a person is required to file an annual survey under RCW 82.04.4452, 82.32.535, 82.32.545, 82.32.570, 82.32.560, 82.60.070, or 82.63.020.

      (3) Persons who no longer qualify for relief under subsection (2) of this section will be notified in writing by the department and must comply with subsection (1) of this section by the date provided in the notice.


      (4) Any survey, return, or any other form or information required to be filed in an electronic format under subsection (1) of this section is not filed until received by the department in an electronic format.

      Sec. 903. RCW 82.04.4452 and 2004 c 2 s 2 are each amended to read as follows:

      (1) In computing the tax imposed under this chapter, a credit is allowed for each person whose research and development spending during the year in which the credit is claimed exceeds 0.92 percent of the person's taxable amount during the same calendar year.

      (2) The credit shall be calculated as follows:

      (a) Determine the greater of the amount of qualified research and development expenditures of a person or eighty percent of amounts received by a person other than a public educational or research institution in compensation for the conduct of qualified research and development;

      (b) Subtract 0.92 percent of the person's taxable amount from the amount determined under (a) of this subsection;

      (c) Multiply the amount determined under (b) of this subsection by ((the rate provided in RCW 82.04.260(3) in the case of a nonprofit corporation or nonprofit association engaging within this state in research and development, and the person's average tax rate for every other person)) the following:

      (i) For the period June 10, 2004, through December 31, 2006, the person's average tax rate for the calendar year for which the credit is claimed;

      (ii) For the calendar year ending December 31, 2007, the greater of the person's average tax rate for that calendar year or 0.75 percent;

      (iii) For the calendar year ending December 31, 2008, the greater of the person's average tax rate for that calendar year or 1.0 percent;

      (iv) For the calendar year ending December 31, 2009, the greater of the person's average tax rate for that calendar year or 1.25 percent;

      (v) For the calendar year ending December 31, 2010, and thereafter, 1.50 percent.

      For purposes of calculating the credit, if a person's reporting period is less than annual, the person may use an estimated average tax rate for the calendar year for which the credit is claimed by using the person's average tax rate for each reporting period. A person who uses an estimated average tax rate must make an adjustment to the total credit claimed for the calendar year using the person's actual average tax rate for the calendar year when the person files its last return for the calendar year for which the credit is claimed.

      (3) Any person entitled to the credit provided in subsection (2) of this section as a result of qualified research and development conducted under contract may assign all or any portion of the credit to the person contracting for the performance of the qualified research and development.

      (4) The credit, including any credit assigned to a person under subsection (3) of this section, shall be ((taken)) claimed against taxes due for the same calendar year in which the qualified research and development expenditures are incurred. The credit, including any credit assigned to a person under subsection (3) of this section, for each calendar year shall not exceed the lesser of two million dollars or the amount of tax otherwise due under this chapter for the calendar year.

      (5) For any person ((taking)) claiming the credit, including any credit assigned to a person under subsection (3) of this section, whose research and development spending during the calendar year in which the credit is claimed fails to exceed 0.92 percent of the person's taxable amount during the same calendar year ((shall be liable for payment of the additional)) or who is otherwise ineligible, the department shall declare the taxes ((represented by the amount of)) against which the credit ((taken together with)) was claimed to be immediately due and payable. The department shall assess interest, but not penalties, on the taxes against which the credit was claimed. Interest shall be ((due)) assessed at the rate provided for delinquent excise taxes under chapter 82.32 RCW, retroactively to the date the credit was ((taken until the taxes are paid)) claimed, and shall accrue until the taxes against which the credit was claimed are repaid. Any credit assigned to a person under subsection (3) of this section that is disallowed as a result of this section may be ((taken)) claimed by the person who performed the qualified research and development subject to the limitations set forth in subsection (4) of this section.

      (6) ((Any person claiming the credit, and any person assigning a credit as provided in subsection (3) of this section, shall file an annual report in a form prescribed by the department which shall include the amount of the credit claimed, the qualified research and development expenditures during the calendar year for which the credit is claimed, and the taxable amount during the calendar year for which the credit is claimed, and such additional information as the department may prescribe. The report is due by March 31st following any year a credit is taken.

      (7)))(a) The legislature finds that accountability and effectiveness are important aspects of setting tax policy. In order to make policy choices regarding the best use of limited state resources the legislature needs information on how a tax incentive is used.

      (b) A person claiming the credit shall ((agree to)) file a complete ((an)) annual survey with the department. ((The annual survey is in addition to the annual report due under subsection (6) of this section.)) The survey is due by March 31st following any year in which a credit is ((taken)) claimed. The department may extend the due date for timely filing of annual surveys under this section as provided in section 901 of this act. The survey shall include the amount of the tax credit ((taken)) claimed, the qualified research and development expenditures during the calendar year for which the credit is claimed, the taxable amount during the calendar year for which the credit is claimed, the number of new products or research projects by general classification, ((and)) the number of trademarks, patents, and copyrights associated with the research and development activities for which a credit was ((taken)) claimed, and whether the credit has been assigned under subsection (3) of this section and who assigned the credit. The survey shall also include the following information for employment positions in Washington:

      (i) The number of total employment positions;

      (ii) Full-time, part-time, and temporary employment positions as a percent of total employment;

      (iii) The number of employment positions according to the following wage bands: Less than thirty thousand dollars; thirty thousand dollars or greater, but less than sixty thousand dollars; and sixty thousand dollars or greater. A wage band containing fewer than three individuals may be combined with another wage band; and

      (iv) The number of employment positions that have employer-provided medical, dental, and retirement benefits, by each of the wage bands.

      (c) The department may request additional information necessary to measure the results of the tax credit program, to be submitted at the same time as the survey.


      (d)(i) All information collected under this subsection, except the amount of the tax credit ((taken)) claimed, is deemed taxpayer information under RCW 82.32.330 ((and is not disclosable)). Information on the amount of tax credit ((taken)) claimed is not subject to the confidentiality provisions of RCW 82.32.330 and may be disclosed to the public upon request, except ((that)) as provided in this subsection (6)(d). If the amount of the tax credit as reported on the survey is different than the amount actually claimed on the taxpayer's tax returns or otherwise allowed by the department, the amount actually claimed or allowed may be disclosed.

      (ii) Persons ((taking)) for whom the actual amount of the tax credit claimed on the taxpayer's returns or otherwise allowed by the department is less than ten thousand dollars ((of credit)) during the period covered by the survey may request the department to treat the tax credit amount as confidential under RCW 82.32.330.

      (e) If a person fails to file a complete ((the)) annual survey required under this subsection with the department by the due date or any extension under section 901 of this act, the person entitled to the credit provided in subsection (2) of this section is not eligible to ((take)) claim or assign the credit provided in subsection (2) of this section in the year the person failed to timely file a complete ((the)) survey.

      (((8))) (7) The department shall use the information from subsection (((7))) (6) of this section to prepare summary descriptive statistics by category. No fewer than three taxpayers shall be included in any category. The department shall report these statistics to the legislature each year by September 1st.

      (((9))) (8) The department shall use the information from subsection (((7))) (6) of this section to study the tax credit program authorized under this section. The department shall report to the legislature by December 1, 2009, and December 1, 2013. The reports shall measure the effect of the program on job creation, the number of jobs created for Washington residents, company growth, the introduction of new products, the diversification of the state's economy, growth in research and development investment, the movement of firms or the consolidation of firms' operations into the state, and such other factors as the department selects.

      (((10))) (9) For the purpose of this section:

      (a) "Average tax rate" means a person's total tax liability under this chapter for the ((reporting period)) calendar year for which the credit is claimed divided by the taxpayer's total taxable ((income)) amount under this chapter for the ((reporting period)) calendar year for which the credit is claimed.

      (b) "Qualified research and development expenditures" means operating expenses, including wages, compensation of a proprietor or a partner in a partnership as determined under rules adopted by the department, benefits, supplies, and computer expenses, directly incurred in qualified research and development by a person claiming the credit provided in this section. The term does not include amounts paid to a person other than a public educational or research institution to conduct qualified research and development. Nor does the term include capital costs and overhead, such as expenses for land, structures, or depreciable property.

      (c) "Qualified research and development" shall have the same meaning as in RCW 82.63.010.

      (d) "Research and development spending" means qualified research and development expenditures plus eighty percent of amounts paid to a person other than a public educational or research institution to conduct qualified research and development.

      (e) "Taxable amount" means the taxable amount subject to the tax imposed in this chapter required to be reported on the person's combined excise tax returns ((during)) for the calendar year ((in)) for which the credit is claimed, less any taxable amount for which a credit is allowed under RCW 82.04.440.

      (((11))) (10) This section expires January 1, 2015.

      NEW SECTION. Sec. 904. (1) A person who owes additional tax as a result of section 903(9)(a), chapter ..., Laws of 2005 (section 903(9)(a) of this act) is liable for interest, but not penalties as provided in RCW 82.32.090 (1) and (2), if the entire additional tax liability is paid in full to the department of revenue before January 1, 2006. Interest shall be assessed at the rate provided for delinquent excise taxes under chapter 82.32 RCW, retroactively to the date the credit was claimed, and shall accrue until the additional tax is repaid.

      (2) Persons who fail to repay the full amount of additional tax owed as a result of section 903(9)(a), chapter ..., Laws of 2005 (section 903(9)(a) of this act) before January 1, 2006, are subject to all applicable penalties and interest as provided in chapter 82.32 RCW on the additional tax owing after December 31, 2005.

      (3) This section expires December 31, 2010.

 

PART X

ESTATES

 

    Sec. 1001. RCW 83.100.--- and 2005 c ... (ESB 6096) s 4 are each amended to read as follows:

    (1) For the purposes of determining the Washington taxable estate, a deduction is allowed from the federal taxable estate for ((the value of qualified real property and the value of any tangible personal property used primarily for farming purposes conducted on the qualified real property, reduced by any amounts allowable as a deduction in respect of the qualified real property and tangible personal property under section 2053(a)(4) of the Internal Revenue Code, if the decedent was at the time of his or her death a citizen or resident of the United States. For the purposes of determining the deduction amount, the value of property is its value as used to determine the value of the gross estate)):

    (a) The value of qualified real property reduced by any amounts allowable as a deduction in respect of the qualified real property and tangible personal property under section 2053(a)(4) of the internal revenue code, if the decedent was at the time of his or her death a citizen or resident of the United States.

    (b) The value of any tangible personal property used by the decedent or a member of the decedent's family for a qualified use on the date of the decedent's death, reduced by any amounts allowable as a deduction in respect of the tangible personal property under section 2053(a)(4) of the internal revenue code, if all of the requirements of subsection (10)(f)(i)(A) of this section are met and the decedent was at the time of his or her death a citizen or resident of the United States.

    (c) The value of real property that is not deductible under (a) of this subsection solely by reason of subsection (10)(f)(i)(B) of this section, reduced by any amounts allowable as a deduction in respect of the qualified real property and tangible personal property under section 2053(a)(4) of the internal revenue code, if the requirements of subsection (10)(f)(i)(C) of this section are met with respect to the property and the decedent was at the time of his or her death a citizen or resident of the United States.

    (2) Property shall be considered to have been acquired from or to have passed from the decedent if:

    (a) The property is so considered under section 1014(b) of the Internal Revenue Code;


   (b) The property is acquired by any person from the estate; or

   (c) The property is acquired by any person from a trust, to the extent the property is includible in the gross estate of the decedent.

   (3) If the decedent and the decedent's surviving spouse at any time held qualified real property as community property, the interest of the surviving spouse in the property shall be taken into account under this section to the extent necessary to provide a result under this section with respect to the property which is consistent with the result which would have obtained under this section if the property had not been community property.

   (4) In the case of any qualified woodland, the value of trees growing on the woodland may be deducted if otherwise qualified under this section.

   (5) If property is qualified real property with respect to a decedent, hereinafter in this subsection referred to as the "first decedent," and the property was acquired from or passed from the first decedent to the surviving spouse of the first decedent, active management of the farm by the surviving spouse shall be treated as material participation by the surviving spouse in the operation of the farm.

   (6) Property owned indirectly by the decedent may qualify for a deduction under this section if owned through an interest in a corporation, partnership, or trust as the terms corporation, partnership, or trust are used in section 2032A(g) of the Internal Revenue Code. In order to qualify for a deduction under this subsection, the interest, in addition to meeting the other tests for qualification under this section, must qualify under section 6166(b)(1) of the Internal Revenue Code as an interest in a closely held business on the date of the decedent's death and for sufficient other time, combined with periods of direct ownership, to equal at least five years of the eight-year period preceding the death.

   (7)(a) If, on the date of the decedent's death, the requirements of subsection (10)(f)(i)(C)(II) of this section with respect to the decedent for any property are not met, and the decedent (i) was receiving old age benefits under Title II of the social security act for a continuous period ending on such date, or (ii) was disabled for a continuous period ending on this date, then subsection (10)(f)(i)(C)(II) of this section shall be applied with respect to the property by substituting "the date on which the longer of such continuous periods began" for "the date of the decedent's death" in subsection (10)(f)(i)(C) of this section.

   (b) For the purposes of (a) of this subsection, an individual shall be disabled if the individual has a mental or physical impairment which renders that individual unable to materially participate in the operation of the farm.

   (8) Property may be deducted under this section whether or not special valuation is elected under section 2032A of the Internal Revenue Code on the federal return. For the purposes of determining the deduction under this section, the value of property is its value as used to determine the value of the gross estate.

   (9)(a) In the case of any qualified replacement property, any period during which there was ownership, qualified use, or material participation with respect to the replaced property by the decedent or any member of the decedent's family shall be treated as a period during which there was ownership, use, or material participation, as the case may be, with respect to the qualified replacement property.

   (b) Subsection (9)(a) of this section shall not apply to the extent that the fair market value of the qualified replacement property, as of the date of its acquisition, exceeds the fair market value of the replaced property, as of the date of its disposition.

   (c) For the purposes of this subsection (9), the following definitions apply:

   (i) "Qualified replacement property" means any real property:

    (A) Which is acquired in an exchange which qualifies under section 1031 of the Internal Revenue Code; or

    (B) The acquisition of which results in the nonrecognition of gain under section 1033 of the Internal Revenue Code.

    The term "qualified replacement property" only includes property which is used for the same qualified use as the replaced property was being used before the exchange.

    (ii) "Replaced property" means the property was:

    (A) Transferred in the exchange which qualifies under section 1031 of the Internal Revenue Code; or

    (B) Compulsorily or involuntarily converted within the meaning of section 1033 of the Internal Revenue Code.

    (10) For the purposes of this section, the following definitions apply:

    (a) "Active management" means the making of the management decisions of a farm, other than the daily operating decisions.

    (b) "Farm" includes stock, dairy, poultry, fruit, furbearing animal, and truck farms; plantations; ranches; nurseries; ranges; greenhouses or other similar structures used primarily for the raising of agricultural or horticultural commodities; and orchards and woodlands.

    (c) "Farming purposes" means:

    (i) Cultivating the soil or raising or harvesting any agricultural or horticultural commodity, including the raising, shearing, feeding, caring for, training, and management of animals on a farm;

    (ii) Handling, drying, packing, grading, or storing on a farm any agricultural or horticultural commodity in its unmanufactured state, but only if the owner, tenant, or operator of the farm regularly produces more than one-half of the commodity so treated; and

    (iii)(A) The planting, cultivating, caring for, or cutting of trees; or

    (B) The preparation, other than milling, of trees for market.

    (d) "Member of the family" means, with respect to any individual, only:

    (i) An ancestor of the individual;

    (ii) The spouse of the individual;

    (iii) A lineal descendant of the individual, of the individual's spouse, or of a parent of the individual; or

    (iv) The spouse of any lineal descendant described in (d)(iii) of this subsection.

    For the purposes of this subsection (10)(d), a legally adopted child of an individual shall be treated as the child of such individual by blood.

    (e) "Qualified heir" means, with respect to any property, a member of the decedent's family who acquired property, or to whom property passed, from the decedent.

    (f)(i) "Qualified real property" means real property which was acquired from or passed from the decedent to a qualified heir of the decedent and which, on the date of the decedent's death, was being used for a qualified use by the decedent or a member of the decedent's family, but only if:

    (A) Fifty percent or more of the adjusted value of the gross estate consists of the adjusted value of real or personal property which:

    (I) On the date of the decedent's death, was being used for a qualified use by the decedent or a member of the decedent's family; and

    (II) Was acquired from or passed from the decedent to a qualified heir of the decedent;

    (B) Twenty-five percent or more of the adjusted value of the gross estate consists of the adjusted value of real property which meets the requirements of (f)(i)(A)(II) and (f)(i)(C) of this subsection; and

   (C) During the eight-year period ending on the date of the decedent's death there have been periods aggregating five years or more during which:

   (I) The real property was owned by the decedent or a member of the decedent's family and used for a qualified use by the decedent or a member of the decedent's family; and

   (II) There was material participation by the decedent or a member of the decedent's family in the operation of the farm. For the purposes of this subsection (f)(i)(C)(II), material participation shall be determined in a manner similar to the manner used for purposes of section 1402(a)(1) of the Internal Revenue Code.

   (ii) For the purposes of this subsection, the term "adjusted value" means:

   (A) In the case of the gross estate, the value of the gross estate, determined without regard to any special valuation under section 2032A of the Internal Revenue Code, reduced by any amounts allowable as a deduction under section 2053(a)(4) of the Internal Revenue Code; or

   (B) In the case of any real or personal property, the value of the property for purposes of chapter 11 of the Internal Revenue Code, determined without regard to any special valuation under section 2032A of the Internal Revenue Code, reduced by any amounts allowable as a deduction in respect of such property under section 2053(a)(4) of the Internal Revenue Code.

   (g) "Qualified use" means the property is used as a farm for farming purposes. In the case of real property which meets the requirements of (f)(i)(C) of this subsection, residential buildings and related improvements on the real property occupied on a regular basis by the owner or lessee of the real property or by persons employed by the owner or lessee for the purpose of operating or maintaining the real property, and roads, buildings, and other structures and improvements functionally related to the qualified use shall be treated as real property devoted to the qualified use. For tangible personal property eligible for a deduction under subsection (1)(b) of this section, "qualified use" means the property is used primarily for farming purposes on a farm.

   (h) "Qualified woodland" means any real property which:

   (i) Is used in timber operations; and

   (ii) Is an identifiable area of land such as an acre or other area for which records are normally maintained in conducting timber operations.

   (i) "Timber operations" means:

   (i) The planting, cultivating, caring for, or cutting of trees; or

   (ii) The preparation, other than milling, of trees for market.

 

PART XI

MISCELLANEOUS

 

   NEW SECTION. Sec. 1101. Part headings used in this act are not any part of the law.

   NEW SECTION. Sec. 1102. Except as otherwise specifically provided in this act, 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 takes effect July 1, 2005.

   NEW SECTION. Sec. 1103. Sections 102 through 105, 901, 903, 904, 1001, 1110, and 1111 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 take effect immediately.

    NEW SECTION. Sec. 1104. Sections 401 and 902 of this act take effect January 1, 2006.

    NEW SECTION. Sec. 1105. Section 601 of this act takes effect July 1, 2007.

    NEW SECTION. Sec. 1106. Sections 801 and 808 through 812 of this act constitute a new chapter in Title 43 RCW.

    NEW SECTION. Sec. 1107. Sections 802 through 807 of this act constitute a new chapter in Title 82 RCW.

    NEW SECTION. Sec. 1108. 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. 1109. Sections 801 through 812 of this act may be known and cited as the Washington main street act.

    NEW SECTION. Sec. 1110. Section 903 of this act applies retroactively to June 10, 2004.

    NEW SECTION. Sec. 1111. Section 901 of this act applies retroactively to annual surveys required under RCW 82.04.4452 that are due after December 31, 2004."

    On page 1, line 1 of the title, after "taxation;" strike the remainder of the title and insert "amending RCW 82.08.010, 82.04.2908, 82.04.4463, 82.29A.130, 82.71.020, 82.04.4452, and 83.100.---; amending 2003 1st sp.s. c 16 s 6 (uncodified); reenacting and amending RCW 82.04.050; adding new sections to chapter 82.04 RCW; adding new sections to chapter 82.08 RCW; adding new sections to chapter 82.12 RCW; adding new sections to chapter 82.32 RCW; adding a new chapter to Title 43 RCW; adding a new chapter to Title 82 RCW; creating new sections; providing effective dates; providing expiration dates; and declaring an emergency."

    Senator Zarelli spoke in favor of adoption of the striking amendment.

    Senator Doumit spoke against adoption of the striking amendment.

 

      Senator Esser demanded a roll call.

      The President declared that one-sixth of the members supported the demand and the demand was sustained.

The President declared the question before the Senate to be the adoption of the striking amendment by Senator Zarelli to Engrossed Substitute House Bill No. 2314.

 

ROLL CALL

 

      The Secretary called the roll on the adoption of the striking amendment by Senator Zarelli and the striking amendment was not adopted by the following vote: Yeas, 22; Nays, 25; Absent, 0; Excused, 2.

      Voting yea: Senators Benson, Benton, Brandland, Carrell, Deccio, Delvin, Esser, Finkbeiner, Hewitt, Honeyford, Johnson, Morton, Mulliken, Parlette, Pflug, Roach, Schmidt, Schoesler, Sheldon, Stevens, Swecker and Zarelli - 22

      Voting nay: Senators Berkey, Brown, Doumit, Eide, Fairley, Franklin, Fraser, Hargrove, Haugen, Jacobsen, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Rockefeller, Shin, Spanel, Thibaudeau and Weinstein - 25

      Excused: Senators McCaslin and Oke - 2

 

MOTION

 

      On motion of Senator Prentice, the rules were suspended, Engrossed Substitute House Bill No. 2314 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      Senators Prentice, Doumit, Hargrove, Jacobsen, Brown and McAuliffe spoke in favor of passage of the bill.

      Senators Zarelli, Schmidt, Benton, Pflug, Finkbeiner, Carrell, Schoesler and Deccio spoke against passage of the bill.

 

MOTION

 

      Senator Shin demanded that the previous question be put.

      The President declared that at least two additional senators joined the demand and the demand was sustained.

      The President declared the question before the Senate to be, “Shall the main question be now put?”

      The motion by Senator Shin that the previous question be put carried by voice vote.

 

      The President declared the question before the Senate to be the final passage of Engrossed Substitute House Bill No. 2314.

 

ROLL CALL

 

      The Secretary called the roll on the final passage of Engrossed Substitute House Bill No. 2314 and the bill passed the Senate by the following vote: Yeas, 25; Nays, 22; Absent, 0; Excused, 2.

      Voting yea: Senators Berkey, Brown, Doumit, Eide, Fairley, Franklin, Fraser, Hargrove, Haugen, Jacobsen, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Rockefeller, Shin, Spanel, Thibaudeau and Weinstein - 25

      Voting nay: Senators Benson, Benton, Brandland, Carrell, Deccio, Delvin, Esser, Finkbeiner, Hewitt, Honeyford, Johnson, Morton, Mulliken, Parlette, Pflug, Roach, Schmidt, Schoesler, Sheldon, Stevens, Swecker and Zarelli - 22

      Excused: Senators McCaslin and Oke - 2

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 2314, having received the constitutional majority, was declared passed. There being no objection, the title of the bill was ordered to stand as the title of the act.

 

MOTION

 

      On motion of Senator Eide, the Senate reverted to the fourth order of business.

 

SIGNED BY THE PRESIDENT

 

The President signed:

      ENGROSSED SENATE BILL NO. 5513.

 

MESSAGE FROM THE HOUSE

 

April 22, 2005

 

MR. PRESIDENT: 

 

      The House had adopted the report of Conference Committee on SUBSTITUTE HOUSE BILL NO. 1791, and has passed the bill as recommended by the Conference Committee.

and the same is herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

MESSAGE FROM THE HOUSE

 

April 21, 2005

 

MR. PRESIDENT: 

 

      The House had adopted the report of Conference Committee on ENGROSSED SECOND SUBSTITUTE SENATE BILL NO. 5763, and has passed the bill as recommended by the Conference Committee.

and the same is herewith transmitted.

 

RICHARD NAFZIGER, Chief Clerk

 

SIGNED BY THE PRESIDENT

 

The President signed:

      SUBSTITUTE SENATE BILL NO. 5615

 

SIGNED BY THE PRESIDENT

 

The President signed:

      ENGROSSED SECOND SUBSTITUTE SENATE BILL NO. 5763

 

SIGNED BY THE PRESIDENT

The President Signed:

      SUBSTITUTE SENATE BILL NO. 5850

 

MOTION

 

      At 10:43 p.m., on motion of Senator Eide, the Senate adjourned until 9:30 a.m. Saturday, April 23, 2005.

 

BRAD OWEN, President of the Senate

 

THOMAS HOEMANN, Secretary of the Senate