WHEREAS, The Red Hat Society was founded in 1998 by Sue Ellen Cooper of Fullerton, California, as a social organization for women over 50 years old; and

      WHEREAS, The Red Hat Society was inspired by Warning, a poem by Jenny Joseph, that starts, "When I am an old woman I shall wear purple/With a red hat that doesn't go and doesn't suit me"; and

      WHEREAS, The 50 and over women of The Red Hat Society wear elaborately decorated red hats with purple dresses and clothing, while the junior postulants wear pink hats and lavender clothing until 50, when a "Reduation" takes place, where the pink hat is discarded and a red hat bestowed; and

      WHEREAS, There are about 1 million registered members of The Red Hat Society, in 40,000 chapters in the United States and 25 countries; and

      WHEREAS, The Red Hat Society, whose motto is "Red Hatters Matter," calls itself a "disorganization" and is proud of its lack of rules and bylaws, but takes seriously its responsibility to have fun; and

      WHEREAS, Women of The Red Hat Society come from all walks of life, including working women, grandmothers, retirees, golfers, senators, and teachers, as well as women who are widowed, married, and single; and

      WHEREAS, The mission of The Red Hat Society is to gain higher visibility for aging women and to reshape the way they are viewed by today's culture, while "uniting under the umbrella of a red hat to have fun and bond in sisterhood"; and

      WHEREAS, Red Hat Society chapters, which include leaders known as "Queen Mum" and members called "Red Hatters," hold social events, tea parties being the most popular pastime;

      NOW, THEREFORE, BE IT RESOLVED, That the Senate enjoy March 1, 2006, Red Hat Day, and that all its members celebrate this day by saying goodbye to burdensome responsibilities, at least for a while, and have fun!; and

      BE IT FURTHER RESOLVED, That copies of this resolution be immediately transmitted by the Secretary of the Senate to members of The Red Hat Society; and

      BE IT FURTHER RESOLVED, That Red Hatters of the Washington State Legislature recognize March 1, 2006, as one of paying tribute to Red Hatters everywhere.

      Senators Franklin and Doumit spoke in favor of adoption of the resolution.

      The President declared the question before the Senate to be the adoption of Senate Resolution No. 8726.

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

MOTION

At 9:27 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 11:04 a.m. by President Owen.

PERSONAL PRIVILEGE

Senator Franklin: “Thank you Mr. President. Earlier on this morning we had the recognition with the resolution recognizing the Red Hat Society, red hatters day today and we note they are all here. We wish to recognize them and say that Red Hatters are just for fun. This is a fun day so we are pleased that you are here. This is an annual day for us and we will institutionalize it. Thank you Mr. President.”

INTRODUCTION OF SPECIAL GUESTS

      The President welcomed and introduced members of the Red Hat Society who were seated in the gallery.

PERSONAL PRIVILEGE

Senator Rasmussen: “Thank you Mr. President. Well, our town of Eatonville has wonderful residents but I would also like you to know many of the ladies are from my town of Eatonville. They have been my long time friends and we are great red hatters and we perform a wonderful service to the community because we try to keep out of trouble and make a little trouble at the same time.”

MOTION

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

REPORTS OF STANDING COMMITTEES

GUBERNATORIAL APPOINTMENTS

March 1, 2006

SGA 9419          SHEILA L. FOX, appointed January 30, 2006, for the term ending January 30, 2010, as Member of the State Board of Education. Reported by Committee on Early Learning, K-12 & Higher Education

MAJORITY recommendation: That said appointment be confirmed. Signed by Senators McAuliffe, Chair; Pridemore, Vice Chair, Higher Education; Weinstein, Vice Chair, Early Learning & K-12; Berkey, Delvin, Eide, Kohl-Welles, Rasmussen, Rockefeller and Schmidt

Passed to Committee on Rules for second reading.

March 1, 2006

SGA 9421          KRISTINA MAYER, appointed January 30, 2006, for the term ending January 30, 2007, as Member of the State Board of Education. Reported by Committee on Early Learning, K-12 & Higher Education

MAJORITY recommendation: That said appointment be confirmed. Signed by Senators McAuliffe, Chair; Pridemore, Vice Chair, Higher Education; Weinstein, Vice Chair, Early Learning & K-12; Berkey, Delvin, Eide, Kohl-Welles, Rasmussen, Rockefeller and Schmidt

Passed to Committee on Rules for second reading.

March 1, 2006

SGA 9424          AMY BRAGDON, appointed January 30, 2006, for the term ending January 30, 2009, as Member of the State Board of Education. Reported by Committee on Early Learning, K-12 & Higher Education

MAJORITY recommendation: That said appointment be confirmed. Signed by Senators McAuliffe, Chair; Pridemore, Vice Chair, Higher Education; Weinstein, Vice Chair, Early Learning & K-12; Berkey, Delvin, Eide, Kohl-Welles, Rasmussen, Rockefeller and Schmidt

Passed to Committee on Rules for second reading.

March 1, 2006

SGA 9426          JEFF VINCENT, appointed January 30, 2006, for the term ending January 30, 2010, as Member of the State Board of Education. Reported by Committee on Early Learning, K-12 & Higher Education

MAJORITY recommendation: That said appointment be confirmed. Signed by Senators McAuliffe, Chair; Pridemore, Vice Chair, Higher Education; Weinstein, Vice Chair, Early Learning & K-12; Berkey, Delvin, Eide, Kohl-Welles, Rasmussen, Rockefeller and Schmidt

Passed to Committee on Rules for second reading.

March 1, 2006

SGA 9427          MARY JEAN RYAN, appointed January 30, 2006, for the term ending January 30, 2010, as Member of the State Board of Education. Reported by Committee on Early Learning, K-12 & Higher Education

MAJORITY recommendation: That said appointment be confirmed. Signed by Senators McAuliffe, Chair; Pridemore, Vice Chair, Higher Education; Weinstein, Vice Chair, Early Learning & K-12; Berkey, Delvin, Eide, Kohl-Welles, Rasmussen, Rockefeller and Schmidt

Passed to Committee on Rules for second reading.

March 1, 2006

SGA 9428          BERNAL BACA, appointed January 30, 2006, for the term ending January 30, 2009, as Member of the State Board of Education. Reported by Committee on Early Learning, K-12 & Higher Education

MAJORITY recommendation: That said appointment be confirmed. Signed by Senators McAuliffe, Chair; Pridemore, Vice Chair, Higher Education; Weinstein, Vice Chair, Early Learning & K-12; Berkey, Delvin, Eide, Kohl-Welles, Rasmussen, Rockefeller and Schmidt

Passed to Committee on Rules for second reading.

March 1, 2006

SGA 9429          ERIC LIU, appointed January 20, 2006, for the term ending January 30, 2007, as Member of the State Board of Education. Reported by Committee on Early Learning, K-12 & Higher Education

MAJORITY recommendation: That said appointment be confirmed. Signed by Senators McAuliffe, Chair; Pridemore, Vice Chair, Higher Education; Weinstein, Vice Chair, Early Learning & K-12; Berkey, Delvin, Eide, Kohl-Welles, Rasmussen, Rockefeller and Schmidt

Passed to Committee on Rules for second reading.

MOTION

On motion of Senator Eide, the appointees listed on the Gubernatorial Standing Committee report were referred to the committees as designated.

MOTION

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

SECOND READING

      SUBSTITUTE HOUSE BILL NO. 2576, by House Committee on Judiciary (originally sponsored by Representatives Williams, Green, O'Brien, Kirby, Hunt, Ericks, Simpson, Lovick, McCoy, Lantz, Ormsby, Springer and Conway)

      Creating sexual assault protection orders.

      The measure was read the second time.

MOTION

      Senator Kline moved that the following committee striking amendment by the Committee on Judiciary be adopted.

      Strike everything after the enacting clause and insert the following:

      "NEW SECTION. Sec. 1. Sexual assault is the most heinous crime against another person short of murder. Sexual assault inflicts humiliation, degradation, and terror on victims. According to the FBI, a woman is raped every six minutes in the United States. Rape is recognized as the most underreported crime; estimates suggest that only one in seven rapes is reported to authorities. Victims who do not report the crime still desire safety and protection from future interactions with the offender. Some cases in which the rape is reported are not prosecuted. In these situations, the victim should be able to seek a civil remedy requiring that the offender stay away from the victim.

      NEW SECTION. Sec. 2. The definitions in this section apply throughout this chapter unless the context clearly requires otherwise.

      (1) "Nonconsensual" means a lack of freely given agreement.

      (2) "Petitioner" means any named petitioner for the sexual assault protection order or any named victim of nonconsensual sexual conduct or nonconsensual sexual penetration on whose behalf the petition is brought.

      (3) "Sexual assault protection order" means an ex parte temporary order or a final order granted under this chapter, which includes a remedy authorized by section 10 of this act.

      (4) "Sexual conduct" means any of the following:

      (a) Any intentional or knowing touching or fondling of the genitals, anus, or breasts, directly or indirectly, including through clothing;

      (b) Any intentional or knowing display of the genitals, anus, or breasts for the purposes of arousal or sexual gratification of the respondent;

      (c) Any intentional or knowing touching or fondling of the genitals, anus, or breasts, directly or indirectly, including through clothing, that the petitioner is forced to perform by another person or the respondent;

      (d) Any forced display of the petitioner's genitals, anus, or breasts for the purposes of arousal or sexual gratification of the respondent or others;

      (e) Any intentional or knowing touching of the clothed or unclothed body of a child under the age of thirteen, if done for the purpose of sexual gratification or arousal of the respondent or others; and

      (f) Any coerced or forced touching or fondling by a child under the age of thirteen, directly or indirectly, including through clothing, of the genitals, anus, or breasts of the respondent or others.

      (5) "Sexual penetration" means any contact, however slight, between the sex organ or anus of one person by an object, the sex organ, mouth, or anus of another person, or any intrusion, however slight, of any part of the body of one person or of any animal or object into the sex organ or anus of another person, including but not limited to cunnilingus, fellatio, or anal penetration. Evidence of emission of semen is not required to prove sexual penetration.

      (6) "Nonphysical contact" includes, but is not limited to, telephone calls, mail, e-mail, fax, and written notes.

      NEW SECTION. Sec. 3. A petition for a sexual assault protection order may be filed by a person:

      (1) Who is a victim of nonconsensual sexual conduct or nonconsensual sexual penetration, including a single incident of nonconsensual sexual conduct or nonconsensual sexual penetration; or

      (2) On behalf of any of the following persons who is a victim of nonconsensual sexual conduct or nonconsensual sexual penetration:

      (a) A minor child;

      (b) A vulnerable adult as defined in RCW 74.34.020 or 74.34.021; or

      (c) Any other adult who, because of age, disability, health, or inaccessibility, cannot file the petition.

      NEW SECTION. Sec. 4. (1) Any person may seek relief under this chapter by filing a petition with a court alleging that the person has been the victim of nonconsensual sexual conduct or nonconsensual sexual penetration committed by the respondent.

      (2) A person under eighteen years of age who is sixteen years of age or older may seek relief under this chapter and is not required to seek relief by a guardian or next friend.

      (3) No guardian or guardian ad litem need be appointed on behalf of a respondent to an action under this chapter who is under eighteen years of age if such respondent is sixteen years of age or older.

      (4) The court may, if it deems necessary, appoint a guardian ad litem for a petitioner or respondent who is a party to an action under this chapter.

      (5) Jurisdiction of the courts over proceedings under this chapter shall be the same as jurisdiction over domestic violence protection orders under RCW 26.50.020(5).

      (6) An action under this chapter shall be filed in the county or the municipality where the petitioner resides.

      NEW SECTION. Sec. 5. There shall exist an action known as a petition for a sexual assault protection order.

      (1) A petition for relief shall allege the existence of nonconsensual sexual conduct or nonconsensual sexual penetration, and shall be accompanied by an affidavit made under oath stating the specific statements or actions made at the same time of the sexual assault or subsequently thereafter, which give rise to a reasonable fear of future dangerous acts, for which relief is sought. Petitioner and respondent shall disclose the existence of any other litigation or of any other restraining, protection, or no-contact orders between the parties.

      (2) A petition for relief may be made regardless of whether or not there is a pending lawsuit, complaint, petition, or other action between the parties.

      (3) Within ninety days of receipt of the master copy from the administrative office of the courts, all court clerk's offices shall make available the standardized forms, instructions, and informational brochures required by section 19 of this act and shall fill in and keep current specific program names and telephone numbers for community resources. Any assistance or information provided by clerks under this section does not constitute the practice of law and clerks are not responsible for incorrect information contained in a petition.

      (4) No filing fee may be charged for proceedings under this chapter. Forms and instructional brochures and the necessary number of certified copies shall be provided free of charge.

      (5) A person is not required to post a bond to obtain relief in any proceeding under this section.

      (6) If the petition states that disclosure of the petitioner's address would risk abuse of the petitioner or any member of the petitioner's family or household, that address may be omitted from all documents filed with the court. If the petitioner has not disclosed an address under this subsection, the petitioner shall designate an alternative address at which the respondent may serve notice of any motions.

      NEW SECTION. Sec. 6. Upon receipt of the petition, the court shall order a hearing which shall be held not later than fourteen days from the date of the order. The court may schedule a hearing by telephone pursuant to local court rule, to reasonably accommodate a disability, or in exceptional circumstances to protect a petitioner from further nonconsensual sexual conduct or nonconsensual sexual penetration. The court shall require assurances of the petitioner's identity before conducting a telephonic hearing. Except as provided in section 12 of this act, personal service shall be made upon the respondent not less than five court days prior to the hearing. If timely personal service cannot be made, the court shall set a new hearing date and shall require additional attempts at obtaining personal service. The court may issue an ex parte temporary sexual assault order pending the hearing as provided in section 12 of this act.

      NEW SECTION. Sec. 7. Sexual assault advocates, as defined in RCW 5.60.060, shall be allowed to accompany the victim and confer with the victim, unless otherwise directed by the court. Court administrators shall allow sexual assault advocates to assist victims of nonconsensual sexual conduct or nonconsensual sexual penetration in the preparation of petitions for sexual assault protection orders. Sexual assault advocates are not engaged in the unauthorized practice of law when providing assistance of the types specified in this section. Communications between the petitioner and a sexual assault advocate are protected as provided by RCW 5.60.060.

      NEW SECTION. Sec. 8. The court may appoint counsel to represent the petitioner if the respondent is represented by counsel.

      NEW SECTION. Sec. 9. (1) In proceedings for a sexual assault protection order and prosecutions for violating a sexual assault protection order, the prior sexual activity or the reputation of the petitioner is inadmissible except:

      (a) As evidence concerning the past sexual conduct of the petitioner with the respondent when this evidence is offered by the respondent upon the issue of whether the petitioner consented to the sexual conduct with respect to which the offense is alleged; or

      (b) When constitutionally required to be admitted.

      (2) No evidence admissible under this section may be introduced unless ruled admissible by the court after an offer of proof has been made at a hearing held in camera to determine whether the respondent has evidence to impeach the witness in the event that prior sexual activity with the respondent is denied. The offer of proof shall include reasonably specific information as to the date, time, and place of the past sexual conduct between the petitioner and the respondent. Unless the court finds that reasonably specific information as to date, time, or place, or some combination thereof, has been offered as to prior sexual activity with the respondent, counsel for the respondent shall be ordered to refrain from inquiring into prior sexual activity between the petitioner and the respondent. The court may not admit evidence under this section unless it determines at the hearing that the evidence is relevant and the probative value of the evidence outweighs the danger of unfair prejudice. The evidence shall be admissible at trial to the extent an order made by the court specifies the evidence that may be admitted and areas with respect to which the petitioner may be examined or cross-examined.

      NEW SECTION. Sec. 10. (1)(a) If the court finds by a preponderance of the evidence that the petitioner has been a victim of nonconsensual sexual conduct or nonconsensual sexual penetration by the respondent, the court shall issue a sexual assault protection order; provided that the petitioner must also satisfy the requirements of section 12 of this act for ex parte temporary orders or section 13 of this act for final orders.

      (b) The petitioner shall not be denied a sexual assault protection order because the petitioner or the respondent is a minor or because the petitioner did not report the assault to law enforcement. The court, when determining whether or not to issue a sexual assault protection order, may not require proof of physical injury on the person of the victim or proof that the petitioner has reported the sexual assault to law enforcement. Modification and extension of prior sexual assault protection orders shall be in accordance with this chapter.

      (2) The court may provide relief as follows:

      (a) Restrain the respondent from having any contact, including nonphysical contact, with the petitioner directly, indirectly, or through third parties regardless of whether those third parties know of the order;

      (b) Exclude the respondent from the petitioner's residence, workplace, or school, or from the day care or school of a child, if the victim is a child;

      (c) Prohibit the respondent from knowingly coming within, or knowingly remaining within, a specified distance from a specified location; and

      (d) Order any other injunctive relief as necessary or appropriate for the protection of the petitioner.

      (3) In cases where the petitioner and the respondent are under the age of eighteen and attend the same public or private elementary, middle, or high school, the court, when issuing a protection order and providing relief, shall consider, among the other facts of the case, the severity of the act, any continuing physical danger or emotional distress to the petitioner, and the expense difficulty, and educational disruption that would be caused by a transfer of the respondent to another school. The court may order that the person restrained in the order not attend the public or approved private elementary, middle, or high school attended by the person under the age of eighteen protected by the order. In the event the court orders a transfer of the restrained person to another school, the parents or legal guardians of the person restrained in the order are responsible for transportation and other costs associated with the change of school by the person restrained in the order. The court shall send notice of the restriction on attending the same school as the person protected by the order to the public or approved private school the person restrained by the order will attend and to the school the person protected by the order attends.

      (4) Denial of a remedy may not be based, in whole or in part, on evidence that:

      (a) The respondent was voluntarily intoxicated;

      (b) The petitioner was voluntarily intoxicated; or

      (c) The petitioner engaged in limited consensual sexual touching.

      (5) Monetary damages are not recoverable as a remedy.

      (6) A knowing violation of a court order issued under this section is punishable under RCW 26.50.110.

      NEW SECTION. Sec. 11. For the purposes of issuing a sexual assault protection order, deciding what relief should be included in the order, and enforcing the order, RCW 9A.08.020 shall govern whether the respondent is legally accountable for the conduct of another person.

      NEW SECTION. Sec. 12. (1) An ex parte temporary sexual assault protection order shall issue if the petitioner satisfies the requirements of this subsection by a preponderance of the evidence. The petitioner shall establish that:

      (a) The petitioner has been a victim of nonconsensual sexual conduct or nonconsensual sexual penetration by the respondent; and

      (b) There is good cause to grant the remedy, regardless of prior service of process or of notice upon the respondent, because the harm which that remedy is intended to prevent would be likely to occur if the respondent were given any prior notice, or greater notice than was actually given, of the petitioner's efforts to obtain judicial relief.

      (2) If the respondent appears in court for this hearing for an ex parte temporary order, he or she may elect to file a general appearance and testify. Any resulting order may be an ex parte temporary order, governed by this section.

       (3) If the court declines to issue an ex parte temporary sexual assault protection order, the court shall state the particular reasons for the court's denial. The court's denial of a motion for an ex parte order shall be filed with the court.

      (4) A knowing violation of a court order issued under this section is punishable under RCW 26.50.110.

      NEW SECTION. Sec. 13. (1)(a) An ex parte temporary sexual assault protection order shall be effective for a fixed period not to exceed fourteen days. A full hearing, as provided in this chapter, shall be set for not later than fourteen days from the issuance of the temporary order. Except as provided in section 6 of this act, the respondent shall be personally served with a copy of the ex parte temporary sexual assault protection order along with a copy of the petition and notice of the date set for the hearing.

      (b) Any ex parte temporary order issued under this section shall contain the date and time of issuance and the expiration date and shall be entered into a statewide judicial information system by the clerk of the court within one judicial day after issuance.

      (2) Except as otherwise provided in this section or section 16 of this act, a final sexual assault protection order shall be effective for a fixed period of time, not to exceed two years.

      (3) Any ex parte temporary or final sexual assault protection order may be renewed one or more times, as required. The petitioner may apply for renewal of the order by filing a petition for renewal at any time within the three months before the order expires. If the motion for renewal is uncontested and the petitioner seeks no modification of the order, the order may be renewed on the basis of the petitioner's motion or affidavit stating that there has been no material change in relevant circumstances since entry of the order and stating the reason for the requested renewal. Renewals may be granted only in open court.

      (4) Any sexual assault protection order which would expire on a court holiday shall instead expire at the close of the next court business day.

      (5) The practice of dismissing or suspending a criminal prosecution in exchange for the issuance of a sexual assault protection order undermines the purposes of this chapter. This section shall not be construed as encouraging that practice.

      NEW SECTION. Sec. 14. (1) Any sexual assault protection order shall describe each remedy granted by the court, in reasonable detail and not by reference to any other document, so that the respondent may clearly understand what he or she must do or refrain from doing.

      (2) A sexual assault protection order shall further state the following:

      (a) The name of each petitioner that the court finds was the victim of nonconsensual sexual conduct or nonconsensual sexual penetration by the respondent;

      (b) The date and time the sexual assault protection order was issued, whether it is an ex parte temporary or final order, and the duration of the order;

      (c) The date, time, and place for any scheduled hearing for renewal of that sexual assault protection order or for another order of greater duration or scope;

      (d) For each remedy in an ex parte temporary sexual assault protection order, the reason for entering that remedy without prior notice to the respondent or greater notice than was actually given;

      (e) For ex parte temporary sexual assault protection orders, that the respondent may petition the court, to reopen the order if he or she did not receive actual prior notice of the hearing and if the respondent alleges that he or she had a meritorious defense to the order or that the order or its remedy is not authorized by this chapter.

      (3) A sexual assault protection order shall include the following notice, printed in conspicuous type: "A knowing violation of this sexual assault protection order is a criminal offense under chapter 26.50 RCW and will subject a violator to arrest. You can be arrested even if any person protected by the order invites or allows you to violate the order's prohibitions. You have the sole responsibility to avoid or refrain from violating the order's provisions. Only the court can change the order."

      NEW SECTION. Sec. 15. (1) An order issued under this chapter shall be personally served upon the respondent, except as provided in subsection (6) of this section.

      (2) The sheriff of the county or the peace officers of the municipality in which the respondent resides shall serve the respondent personally unless the petitioner elects to have the respondent served by a private party.

      (3) If service by a sheriff or municipal peace officer is to be used, the clerk of the court shall have a copy of any order issued under this chapter forwarded on or before the next judicial day to the appropriate law enforcement agency specified in the order for service upon the respondent. Service of an order issued under this chapter shall take precedence over the service of other documents unless they are of a similar emergency nature.

      (4) If the sheriff or municipal peace officer cannot complete service upon the respondent within ten days, the sheriff or municipal peace officer shall notify the petitioner. The petitioner shall provide information sufficient to permit notification.

      (5) Returns of service under this chapter shall be made in accordance with the applicable court rules.

      (6) If an order entered by the court recites that the respondent appeared in person before the court, the necessity for further service is waived and proof of service of that order is not necessary.

      NEW SECTION. Sec. 16. (1)(a) When any person charged with or arrested for a sex offense as defined in RCW 9.94A.030, a violation of RCW 9A.44.096, a violation of RCW 9.68A.090, or a gross misdemeanor that is, under chapter 9A.28 RCW, a criminal attempt, criminal solicitation, or criminal conspiracy to commit an offense that is classified as a sex offense under RCW 9.94A.030, is released from custody before arraignment or trial on bail or personal recognizance, the court authorizing the release may prohibit that person from having any contact with the victim. The jurisdiction authorizing the release shall determine whether that person should be prohibited from having any contact with the victim. If there is no outstanding restraining or protective order prohibiting that person from having contact with the victim, the court authorizing release may issue, by telephone, a sexual assault protection order prohibiting the person charged or arrested from having contact with the victim or from knowingly coming within, or knowingly remaining within, a specified distance of a location.

      (b) In issuing the order, the court shall consider the provisions of RCW 9.41.800.

       (c) The sexual assault protection order shall also be issued in writing as soon as possible.

      (2)(a) At the time of arraignment or whenever a motion is brought to modify the conditions of the defendant's release, the court shall determine whether a sexual assault protection order shall be issued or extended. If a sexual assault protection order is issued or extended, the court may also include in the conditions of release a requirement that the defendant submit to electronic monitoring. If electronic monitoring is ordered, the court shall specify who shall provide the monitoring services, and the terms under which the monitoring shall be performed. Upon conviction, the court may require as a condition of the sentence that the defendant reimburse the providing agency for the costs of the electronic monitoring.

      (b) A sexual assault protection order issued by the court in conjunction with criminal charges shall terminate if the defendant is acquitted or the charges are dismissed, unless the victim files an independent action for a sexual assault protection order. If the victim files an independent action for a sexual assault protection order, the order may be continued by the court until a full hearing is conducted pursuant to section 6 of this act.

      (3)(a) The written order releasing the person charged or arrested shall contain the court's directives and shall bear the legend: "Violation of this order is a criminal offense under chapter 26.50 RCW and will subject a violator to arrest. You can be arrested even if any person protected by the order invites or allows you to violate the order's prohibitions. You have the sole responsibility to avoid or refrain from violating the order's provisions. Only the court can change the order."

      (b) A certified copy of the order shall be provided to the victim at no charge.

      (4) If a sexual assault protection order has been issued prior to charging, that order shall expire at arraignment or within seventy-two hours if charges are not filed. Such orders need not be entered into the computer-based criminal intelligence information system in this state which is used by law enforcement agencies to list outstanding warrants.

      (5) Whenever an order prohibiting contact is issued pursuant to subsection (2) of this section, the clerk of the court shall forward a copy of the order on or before the next judicial day to the appropriate law enforcement agency specified in the order. Upon receipt of the copy of the order, the law enforcement agency shall enter the order for one year or until the expiration date specified on the order into any computer-based criminal intelligence information system available in this state used by law enforcement agencies to list outstanding warrants. Entry into the computer-based criminal intelligence information system constitutes notice to all law enforcement agencies of the existence of the order. The order is fully enforceable in any jurisdiction in the state.

      (6)(a) When a defendant is found guilty of a sex offense as defined in RCW 9.94A.030, any violation of RCW 9A.44.096, or any violation of RCW 9.68A.090, or any gross misdemeanor that is, under chapter 9A.28 RCW, a criminal attempt, criminal solicitation, or criminal conspiracy to commit an offense that is classified as a sex offense under RCW 9.94A.030, and a condition of the sentence restricts the defendant's ability to have contact with the victim, the condition shall be recorded as a sexual assault protection order.

      (b) The written order entered as a condition of sentencing shall contain the court's directives and shall bear the legend: "Violation of this order is a criminal offense under chapter 26.50 RCW and will subject a violator to arrest. You can be arrested even if any person protected by the order invites or allows you to violate the order's prohibitions. You have the sole responsibility to avoid or refrain from violating the order's provisions. Only the court can change the order."

      (c) A final sexual assault protection order entered in conjunction with a criminal prosecution shall remain in effect for a period of two years following the expiration of any sentence of imprisonment and subsequent period of community supervision, conditional release, probation, or parole.

      (d) A certified copy of the order shall be provided to the victim at no charge.

      (7) A knowing violation of a court order issued under subsection (1), (2), or (6) of this section is punishable under RCW 26.50.110.

      (8) Whenever a sexual assault protection order is issued, modified, or terminated under subsection (1), (2), or (6) of this section, the clerk of the court shall forward a copy of the order on or before the next judicial day to the appropriate law enforcement agency specified in the order. Upon receipt of the copy of the order, the law enforcement agency shall enter the order for one year or until the expiration date specified on the order into any computer-based criminal intelligence information system available in this state used by law enforcement agencies to list outstanding warrants. Entry into the computer-based criminal intelligence information system constitutes notice to all law enforcement agencies of the existence of the order. The order is fully enforceable in any jurisdiction in the state. Upon receipt of notice that an order has been terminated under subsection (2) of this section, the law enforcement agency shall remove the order from the computer-based criminal intelligence information system.

      NEW SECTION. Sec. 17. (1) A copy of a sexual assault protection order granted under this chapter shall be forwarded by the clerk of the court on or before the next judicial day to the appropriate law enforcement agency specified in the order. Upon receipt of the order, the law enforcement agency shall immediately enter the order into any computer-based criminal intelligence information system available in this state used by law enforcement agencies to list outstanding warrants. The order shall remain in the computer for one year or until the expiration date specified on the order. Upon receipt of notice that an order has been terminated, the law enforcement agency shall remove the order from the computer-based criminal intelligence information system. The law enforcement agency shall only expunge from the computer-based criminal intelligence information system orders that are expired, vacated, terminated, or superseded. Entry into the law enforcement information system constitutes notice to all law enforcement agencies of the existence of the order. The order is fully enforceable in any county in the state.

      (2) The information entered into the computer-based criminal intelligence information system shall include notice to law enforcement whether the order was personally served, served by publication, or served by mail.

      NEW SECTION. Sec. 18. Upon application with notice to all parties and after a hearing, the court may modify the terms of an existing sexual assault protection order. In any situation where an order is terminated or modified before its expiration date, the clerk of the court shall forward on or before the next judicial day a true copy of the modified order or the termination order to the appropriate law enforcement agency specified in the modified or termination order. Upon receipt of the order, the law enforcement agency shall promptly enter it in the computer-based criminal intelligence information system, or if the order is terminated, remove the order from the computer-based criminal intelligence information system.

      NEW SECTION. Sec. 19. (1) The administrative office of the courts shall develop and prepare instructions and informational brochures required under section 5 of this act, standard petition and order for protection forms, and a court staff handbook on sexual assault, and the protection order process. The standard petition and order for protection forms must be used after September 1, 2006, for all petitions filed and orders issued under this chapter. The instructions, brochures, forms, and handbook shall be prepared in consultation with interested persons, including a representative of the state, sexual assault coalition, judges, and law enforcement personnel.

      (a) The instructions shall be designed to assist petitioners in completing the petition, and shall include a sample of standard petition and order for protection forms.

      (b) The informational brochure shall describe the use of and the process for obtaining, modifying, and terminating a protection order as provided under this chapter.

      (c) The order for protection form shall include, in a conspicuous location, notice of criminal penalties resulting from violation of the order, and the following statement: "You can be arrested even if the person or persons who obtained the order invite or allow you to violate the order's prohibitions. The respondent has the sole responsibility to avoid or refrain from violating the order's provisions. Only the court can change the order upon written application."

      (d) The court staff handbook shall allow for the addition of a community resource list by the court clerk.

      (2) All court clerks shall obtain a community resource list from a sexual assault program serving the county in which the court is located. The community resource list shall include the names and telephone numbers of sexual assault programs serving the community in which the court is located, including law enforcement agencies, domestic violence agencies, sexual assault agencies, legal assistance programs, interpreters, multicultural programs, and batterers' treatment programs. The court shall make the community resource list available as part of or in addition to the informational brochures described in subsection (1) of this section.

      (3) The administrative office of the courts shall distribute a master copy of the petition and order forms, instructions, and informational brochures to all court clerks and shall distribute a master copy of the petition and order forms to all superior, district, and municipal courts.

      (4) For purposes of this section, "court clerks" means court administrators in courts of limited jurisdiction and elected court clerks.

      (5) The administrative office of the courts shall determine the significant non-English-speaking or limited English-speaking populations in the state. The administrator shall then arrange for translation of the instructions and informational brochures required by this section, which shall contain a sample of the standard petition and order for protection forms, into the languages spoken by those significant non-English-speaking populations and shall distribute a master copy of the translated instructions and informational brochures to all court clerks by December 1, 2006.

      (6) The administrative office of the courts shall update the instructions, brochures, standard petition and order for protection forms, and court staff handbook when changes in the law make an update necessary.

      Sec. 20. RCW 9A.46.060 and 2004 c 94 s 4 are each amended to read as follows:

      As used in this chapter, "harassment" may include but is not limited to any of the following crimes:

      (1) Harassment (RCW 9A.46.020);

      (2) Malicious harassment (RCW 9A.36.080);

      (3) Telephone harassment (RCW 9.61.230);

      (4) Assault in the first degree (RCW 9A.36.011);

      (5) Assault of a child in the first degree (RCW 9A.36.120);

      (6) Assault in the second degree (RCW 9A.36.021);

       (7) Assault of a child in the second degree (RCW 9A.36.130);

      (8) Assault in the fourth degree (RCW 9A.36.041);

      (9) Reckless endangerment (RCW 9A.36.050);

      (10) Extortion in the first degree (RCW 9A.56.120);

      (11) Extortion in the second degree (RCW 9A.56.130);

      (12) Coercion (RCW 9A.36.070);

      (13) Burglary in the first degree (RCW 9A.52.020);

      (14) Burglary in the second degree (RCW 9A.52.030);

      (15) Criminal trespass in the first degree (RCW 9A.52.070);

      (16) Criminal trespass in the second degree (RCW 9A.52.080);

      (17) Malicious mischief in the first degree (RCW 9A.48.070);

      (18) Malicious mischief in the second degree (RCW 9A.48.080);

      (19) Malicious mischief in the third degree (RCW 9A.48.090);

      (20) Kidnapping in the first degree (RCW 9A.40.020);

      (21) Kidnapping in the second degree (RCW 9A.40.030);

      (22) Unlawful imprisonment (RCW 9A.40.040);

      (23) Rape in the first degree (RCW 9A.44.040);

      (24) Rape in the second degree (RCW 9A.44.050);

      (25) Rape in the third degree (RCW 9A.44.060);

      (26) Indecent liberties (RCW 9A.44.100);

      (27) Rape of a child in the first degree (RCW 9A.44.073);

      (28) Rape of a child in the second degree (RCW 9A.44.076);

      (29) Rape of a child in the third degree (RCW 9A.44.079);

      (30) Child molestation in the first degree (RCW 9A.44.083);

      (31) Child molestation in the second degree (RCW 9A.44.086);

      (32) Child molestation in the third degree (RCW 9A.44.089);

      (33) Stalking (RCW 9A.46.110);

      (34) Cyberstalking (RCW 9.61.260);

      (35) Residential burglary (RCW 9A.52.025);

      (36) Violation of a temporary ((or)), permanent, or final protective order issued pursuant to chapter 7.-- (sections 1 through 19 of this act), 9A.46, 10.14, 10.99, 26.09, or 26.50 RCW;

      (37) Unlawful discharge of a laser in the first degree (RCW 9A.49.020); and

      (38) Unlawful discharge of a laser in the second degree (RCW 9A.49.030).

      Sec. 21. RCW 10.14.130 and 1987 c 280 s 13 are each amended to read as follows:

      Protection orders authorized under this chapter shall not be issued for any action specifically covered by chapter 7.-- (sections 1 through 19 of this act), 10.99, or 26.50 RCW.

      Sec. 22. RCW 10.31.100 and 2000 c 119 s 4 are each amended to read as follows:

      A police officer having probable cause to believe that a person has committed or is committing a felony shall have the authority to arrest the person without a warrant. A police officer may arrest a person without a warrant for committing a misdemeanor or gross misdemeanor only when the offense is committed in the presence of the officer, except as provided in subsections (1) through (10) of this section.

      (1) Any police officer having probable cause to believe that a person has committed or is committing a misdemeanor or gross misdemeanor, involving physical harm or threats of harm to any person or property or the unlawful taking of property or involving the use or possession of cannabis, or involving the acquisition, possession, or consumption of alcohol by a person under the age of twenty-one years under RCW 66.44.270, or involving criminal trespass under RCW 9A.52.070 or 9A.52.080, shall have the authority to arrest the person.

      (2) A police officer shall arrest and take into custody, pending release on bail, personal recognizance, or court order, a person without a warrant when the officer has probable cause to believe that:

      (a) An order has been issued of which the person has knowledge under RCW 26.44.063, or chapter 7.-- (sections 1 through 19 of this act), 10.99, 26.09, 26.10, 26.26, 26.50, or 74.34 RCW restraining the person and the person has violated the terms of the order restraining the person from acts or threats of violence, or restraining the person from going onto the grounds of or entering a residence, workplace, school, or day care, or prohibiting the person from knowingly coming within, or knowingly remaining within, a specified distance of a location or, in the case of an order issued under RCW 26.44.063, imposing any other restrictions or conditions upon the person; or

      (b) A foreign protection order, as defined in RCW 26.52.010, has been issued of which the person under restraint has knowledge and the person under restraint has violated a provision of the foreign protection order prohibiting the person under restraint from contacting or communicating with another person, or excluding the person under restraint from a residence, workplace, school, or day care, or prohibiting the person from knowingly coming within, or knowingly remaining within, a specified distance of a location, or a violation of any provision for which the foreign protection order specifically indicates that a violation will be a crime; or

      (c) The person is sixteen years or older and within the preceding four hours has assaulted a family or household member as defined in RCW 10.99.020 and the officer believes: (i) A felonious assault has occurred; (ii) an assault has occurred which has resulted in bodily injury to the victim, whether the injury is observable by the responding officer or not; or (iii) that any physical action has occurred which was intended to cause another person reasonably to fear imminent serious bodily injury or death. Bodily injury means physical pain, illness, or an impairment of physical condition. When the officer has probable cause to believe that family or household members have assaulted each other, the officer is not required to arrest both persons. The officer shall arrest the person whom the officer believes to be the primary physical aggressor. In making this determination, the officer shall make every reasonable effort to consider: (i) The intent to protect victims of domestic violence under RCW 10.99.010; (ii) the comparative extent of injuries inflicted or serious threats creating fear of physical injury; and (iii) the history of domestic violence between the persons involved.

      (3) Any police officer having probable cause to believe that a person has committed or is committing a violation of any of the following traffic laws shall have the authority to arrest the person:

      (a) RCW 46.52.010, relating to duty on striking an unattended car or other property;

      (b) RCW 46.52.020, relating to duty in case of injury to or death of a person or damage to an attended vehicle;

      (c) RCW 46.61.500 or 46.61.530, relating to reckless driving or racing of vehicles;

      (d) RCW 46.61.502 or 46.61.504, relating to persons under the influence of intoxicating liquor or drugs;

      (e) RCW 46.20.342, relating to driving a motor vehicle while operator's license is suspended or revoked;

       (f) RCW 46.61.5249, relating to operating a motor vehicle in a negligent manner.

      (4) A law enforcement officer investigating at the scene of a motor vehicle accident may arrest the driver of a motor vehicle involved in the accident if the officer has probable cause to believe that the driver has committed in connection with the accident a violation of any traffic law or regulation.

      (5) Any police officer having probable cause to believe that a person has committed or is committing a violation of RCW 79A.60.040 shall have the authority to arrest the person.

      (6) An officer may act upon the request of a law enforcement officer in whose presence a traffic infraction was committed, to stop, detain, arrest, or issue a notice of traffic infraction to the driver who is believed to have committed the infraction. The request by the witnessing officer shall give an officer the authority to take appropriate action under the laws of the state of Washington.

      (7) Any police officer having probable cause to believe that a person has committed or is committing any act of indecent exposure, as defined in RCW 9A.88.010, may arrest the person.

      (8) A police officer may arrest and take into custody, pending release on bail, personal recognizance, or court order, a person without a warrant when the officer has probable cause to believe that an order has been issued of which the person has knowledge under chapter 10.14 RCW and the person has violated the terms of that order.

      (9) Any police officer having probable cause to believe that a person has, within twenty-four hours of the alleged violation, committed a violation of RCW 9A.50.020 may arrest such person.

      (10) A police officer having probable cause to believe that a person illegally possesses or illegally has possessed a firearm or other dangerous weapon on private or public elementary or secondary school premises shall have the authority to arrest the person.

      For purposes of this subsection, the term "firearm" has the meaning defined in RCW 9.41.010 and the term "dangerous weapon" has the meaning defined in RCW 9.41.250 and 9.41.280(1) (c) through (e).

      (11) Except as specifically provided in subsections (2), (3), (4), and (6) of this section, nothing in this section extends or otherwise affects the powers of arrest prescribed in Title 46 RCW.

       (12) No police officer may be held criminally or civilly liable for making an arrest pursuant to RCW 10.31.100 (2) or (8) if the police officer acts in good faith and without malice.

      Sec. 23. RCW 19.220.010 and 2003 c 268 s 1 are each amended to read as follows:

      (1) Each international matchmaking organization doing business in Washington state shall disseminate to a recruit, upon request, state background check information and personal history information relating to any Washington state resident about whom any information is provided to the recruit, in the recruit's native language. The organization shall notify all recruits that background check and personal history information is available upon request. The notice that background check and personal history information is available upon request shall be in the recruit's native language and shall be displayed in a manner that separates it from other information, is highly noticeable, and in lettering not less than one-quarter of an inch high.

      (2) If an international matchmaking organization receives a request for information from a recruit pursuant to subsection (1) of this section, the organization shall notify the Washington state resident of the request. Upon receiving notification, the Washington state resident shall obtain from the state patrol and provide to the organization the complete transcript of any background check information provided pursuant to RCW 43.43.760 based on a submission of fingerprint impressions and provided pursuant to RCW 43.43.838 and shall provide to the organization his or her personal history information. The organization shall require the resident to affirm that personal history information is complete and accurate. The organization shall refrain from knowingly providing any further services to the recruit or the Washington state resident in regards to facilitating future interaction between the recruit and the Washington state resident until the organization has obtained the requested information and provided it to the recruit.

      (3) This section does not apply to a traditional matchmaking organization of a religious nature that otherwise operates in compliance with the laws of the countries of the recruits of such organization and the laws of the United States nor to any organization that does not charge a fee to any party for the service provided.

       (4) As used in this section:

      (a) "International matchmaking organization" means a corporation, partnership, business, or other legal entity, whether or not organized under the laws of the United States or any state, that does business in the United States and for profit offers to Washington state residents, including aliens lawfully admitted for permanent residence and residing in Washington state, dating, matrimonial, or social referral services involving citizens of a foreign country or countries who are not residing in the United States, by: (i) An exchange of names, telephone numbers, addresses, or statistics; (ii) selection of photographs; or (iii) a social environment provided by the organization in a country other than the United States.

      (b) "Personal history information" means a declaration of the person's current marital status, the number of previous marriages, annulments, and dissolutions for the person, and whether any previous marriages occurred as a result of receiving services from an international matchmaking organization; founded allegations of child abuse or neglect; and any existing orders under chapter 7.-- (sections 1 through 19 of this act), 10.14, 10.99, or 26.50 RCW. Personal history information shall include information from the state of Washington and any information from other states or countries.

      (c) "Recruit" means a noncitizen, nonresident person, recruited by an international matchmaking organization for the purpose of providing dating, matrimonial, or social referral services.

      Sec. 24. RCW 26.50.110 and 2000 c 119 s 24 are each amended to read as follows:

      (1) Whenever an order is granted under this chapter, chapter 7.--(sections 1 through 19 of this act), 10.99, 26.09, 26.10, 26.26, or 74.34 RCW, or there is a valid foreign protection order as defined in RCW 26.52.020, and the respondent or person to be restrained knows of the order, a violation of the restraint provisions, or of a provision excluding the person from a residence, workplace, school, or day care, or of a provision prohibiting a person from knowingly coming within, or knowingly remaining within, a specified distance of a location, or of a provision of a foreign protection order specifically indicating that a violation will be a crime, for which an arrest is required under RCW 10.31.100(2) (a) or (b), is a gross misdemeanor except as provided in subsections (4) and (5) of this section. Upon conviction, and in addition to any other penalties provided by law, the court may require that the respondent submit to electronic monitoring. The court shall specify who shall provide the electronic monitoring services, and the terms under which the monitoring shall be performed. The order also may include a requirement that the respondent pay the costs of the monitoring. The court shall consider the ability of the convicted person to pay for electronic monitoring.

      (2) A peace officer shall arrest without a warrant and take into custody a person whom the peace officer has probable cause to believe has violated an order issued under this chapter, chapter 7.-- (sections 1 through 19 of this act), 10.99, 26.09, 26.10, 26.26, or 74.34 RCW, or a valid foreign protection order as defined in RCW 26.52.020, that restrains the person or excludes the person from a residence, workplace, school, or day care, or prohibits the person from knowingly coming within, or knowingly remaining within, a specified distance of a location, if the person restrained knows of the order. Presence of the order in the law enforcement computer-based criminal intelligence information system is not the only means of establishing knowledge of the order.

      (3) A violation of an order issued under this chapter, chapter 7.--(sections 1 through 19 of this act), 10.99, 26.09, 26.10, 26.26, or 74.34 RCW, or of a valid foreign protection order as defined in RCW 26.52.020, shall also constitute contempt of court, and is subject to the penalties prescribed by law.

      (4) Any assault that is a violation of an order issued under this chapter, chapter 7.-- (sections 1 through 19 of this act), 10.99, 26.09, 26.10, 26.26, or 74.34 RCW, or of a valid foreign protection order as defined in RCW 26.52.020, and that does not amount to assault in the first or second degree under RCW 9A.36.011 or 9A.36.021 is a class C felony, and any conduct in violation of such an order that is reckless and creates a substantial risk of death or serious physical injury to another person is a class C felony.

      (5) A violation of a court order issued under this chapter, chapter 7.-- (sections 1 through 19 of this act), 10.99, 26.09, 26.10, 26.26, or 74.34 RCW, or of a valid foreign protection order as defined in RCW 26.52.020, is a class C felony if the offender has at least two previous convictions for violating the provisions of an order issued under this chapter, chapter 7.-- (sections 1 through 19 of this act), 10.99, 26.09, 26.10, 26.26, or 74.34 RCW, or a valid foreign protection order as defined in RCW 26.52.020. The previous convictions may involve the same victim or other victims specifically protected by the orders the offender violated.

      (6) Upon the filing of an affidavit by the petitioner or any peace officer alleging that the respondent has violated an order granted under this chapter, chapter 7.-- (sections 1 through 19 of this act), 10.99, 26.09, 26.10, 26.26, or 74.34 RCW, or a valid foreign protection order as defined in RCW 26.52.020, the court may issue an order to the respondent, requiring the respondent to appear and show cause within fourteen days why the respondent should not be found in contempt of court and punished accordingly. The hearing may be held in the court of any county or municipality in which the petitioner or respondent temporarily or permanently resides at the time of the alleged violation.

      Sec. 25. RCW 26.50.160 and 2000 c 119 s 25 and 2000 c 51 s 1 are each reenacted and amended to read as follows:

      To prevent the issuance of competing protection orders in different courts and to give courts needed information for issuance of orders, the judicial information system shall be available in each district, municipal, and superior court by July 1, 1997, and shall include a data base containing the following information:

      (1) The names of the parties and the cause number for every order of protection issued under this title, every sexual assault protection order issued under chapter 7.-- RCW (sections 1 through 19 of this act), every criminal no-contact order issued under chapters 9A.46 and 10.99 RCW, every antiharassment order issued under chapter 10.14 RCW, every dissolution action under chapter 26.09 RCW, every third-party custody action under chapter 26.10 RCW, every parentage action under chapter 26.26 RCW, every restraining order issued on behalf of an abused child or adult dependent person under chapter 26.44 RCW, every foreign protection order filed under chapter 26.52 RCW, and every order for protection of a vulnerable adult under chapter 74.34 RCW. When a guardian or the department of social and health services has petitioned for relief on behalf of an abused child, adult dependent person, or vulnerable adult, the name of the person on whose behalf relief was sought shall be included in the data base as a party rather than the guardian or department;

      (2) A criminal history of the parties; and

      (3) Other relevant information necessary to assist courts in issuing orders under this chapter as determined by the judicial information system committee.

      Sec. 26. RCW 59.18.575 and 2004 c 17 s 3 are each amended to read as follows:

      (1)(a) If a tenant notifies the landlord in writing that he or she or a household member was a victim of an act that constitutes a crime of domestic violence, sexual assault, or stalking, and either (a)(i) or (ii) of this subsection applies, then subsection (2) of this section applies:

      (i) The tenant or the household member has a valid order for protection under one or more of the following: Chapter 7.-- (sections 1 through 19 of this act), 26.50, or 26.26 RCW or RCW 9A.46.040, 9A.46.050, 10.14.080, 10.99.040 (2) or (3), or 26.09.050; or

      (ii) The tenant or the household member has reported the domestic violence, sexual assault, or stalking to a qualified third party acting in his or her official capacity and the qualified third party has provided the tenant or the household member a written record of the report signed by the qualified third party.

      (b) When a copy of a valid order for protection or a written record of a report signed by a qualified third party, as required under (a) of this subsection, is made available to the landlord, the tenant may terminate the rental agreement and quit the premises without further obligation under the rental agreement or under chapter 59.12 RCW. However, the request to terminate the rental agreement must occur within ninety days of the reported act, event, or circumstance that gave rise to the protective order or report to a qualified third party. A record of the report to a qualified third party that is provided to the tenant or household member shall consist of a document signed and dated by the qualified third party stating: (i) That the tenant or the household member notified him or her that he or she was a victim of an act or acts that constitute a crime of domestic violence, sexual assault, or stalking; (ii) the time and date the act or acts occurred; (iii) the location where the act or acts occurred; (iv) a brief description of the act or acts of domestic violence, sexual assault, or stalking; and (v) that the tenant or household member informed him or her of the name of the alleged perpetrator of the act or acts. The record of the report provided to the tenant or household member shall not include the name of the alleged perpetrator of the act or acts of domestic violence, sexual assault, or stalking. The qualified third party shall keep a copy of the record of the report and shall note on the retained copy the name of the alleged perpetrator of the act or acts of domestic violence, sexual assault, or stalking. The record of the report to a qualified third party may be accomplished by completion of a form provided by the qualified third party, in substantially the following form:

(2) A tenant who terminates a rental agreement under this section is discharged from the payment of rent for any period following the last day of the month of the quitting date. The tenant shall remain liable for the rent for the month in which he or she terminated the rental agreement unless the termination is in accordance with RCW 59.18.200(1). Notwithstanding lease provisions that allow for forfeiture of a deposit for early termination, a tenant who terminates under this section is entitled to the return of the full deposit, subject to RCW 59.18.020 and 59.18.280. Other tenants who are parties to the rental agreement, except household members who are the victims of sexual assault, stalking, or domestic violence, are not released from their obligations under the rental agreement or other obligations under this chapter.

(3) The provision of verification of a report under subsection (1)(b) of this section does not waive the confidential or privileged nature of the communication between a victim of domestic violence, sexual assault, or stalking with a qualified third party pursuant to RCW 5.60.060, 70.123.075, or 70.125.065. No record or evidence obtained from such disclosure may be used in any civil, administrative, or criminal proceeding against the victim unless a written waiver of applicable evidentiary privilege is obtained, except that the verification itself, and no other privileged information, under subsection (1)(b) of this section may be used in civil proceedings brought under this section.

NEW SECTION. Sec. 27. This act may be cited as the sexual assault protection order act.

NEW SECTION. Sec. 28. Sections 1 through 19 of this act constitute a new chapter in Title 7 RCW."

Senators Kline and Johnson spoke in favor of adoption of the committee striking amendment.

The President declared the question before the Senate to be the adoption of the committee striking amendment by the Committee on Judiciary to Substitute House Bill No. 2576.

The motion by Senator Kline carried and the committee 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 "victims;" strike the remainder of the title and insert "amending RCW 9A.46.060, 10.14.130, 10.31.100, 19.220.010, 26.50.110, and 59.18.575; reenacting and amending RCW 26.50.160; adding a new chapter to Title 7 RCW; creating a new section; and prescribing penalties."

MOTION

                                                                                                                              On motion of Senator Kline, the rules were suspended, Substitute House Bill No. 2576 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 Kline spoke in favor of passage of the bill.

                                                                                                                              The President declared the question before the Senate to be the final passage of Substitute House Bill No. 2576 as amended by the Senate.

ROLL CALL

                                                                                                                              The Secretary called the roll on the final passage of Substitute House Bill No. 2576 as amended by the Senate and the bill passed the Senate by the following vote: Yeas, 47; Nays, 0; Absent, 2; 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, Pflug, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 47

                                                                                                                              Absent: Senators Oke and Parlette - 2

                                                                                                                              SUBSTITUTE HOUSE BILL NO. 2576 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.

SECOND READING

                                                                                                                              SUBSTITUTE HOUSE BILL NO. 2723, by House Committee on Economic Development, Agriculture & Trade (originally sponsored by Representatives Tom, Lantz, Priest, Clibborn, Shabro, Hunter and Green)

                                                                                                                              Eliminating the requirement for a seller's real estate disclosure of proximity to farming. Revised for 1st Substitute: Changing the seller's real estate disclosure of proximity to farming.

                                                                                                                              The measure was read the second time.

MOTION

                                                                                                                              On motion of Senator Fairley, the rules were suspended, Substitute House Bill No. 2723 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

                                                                                                                              Senators Fairley, Benson and Benton spoke in favor of passage of the bill.

MOTION

On motion of Senator Schoesler, Senators Parlette and Oke were excused.

                                                                                                                              The President declared the question before the Senate to be the final passage of Substitute House Bill No. 2723.

ROLL CALL

                                                                                                                              The Secretary called the roll on the final passage of Substitute House Bill No. 2723 and the bill passed the Senate by the following vote: Yeas, 47; Nays, 0; Absent, 0; Excused, 2.

                                                                                                                              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, Pflug, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 47

Excused: Senators Oke and Parlette - 2

SUBSTITUTE HOUSE BILL NO. 2723, 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.

SECOND READING

HOUSE BILL NO. 3001, by Representatives Hudgins and Conway

Modifying the definition of limousine.

The measure was read the second time.

MOTION

On motion of Senator Haugen, the rules were suspended, House Bill No. 3001 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

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

The President declared the question before the Senate to be the final passage of House Bill No. 3001.

ROLL CALL

The Secretary called the roll on the final passage of House Bill No. 3001 and the bill passed the Senate by the following vote: Yeas, 47; Nays, 0; Absent, 0; Excused, 2.

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, Pflug, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 47

Excused: Senators Oke and Parlette - 2

HOUSE BILL NO. 3001, 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.

INTRODUCTION OF SPECIAL GUESTS

The President welcomed and introduced the Minister of Intergovernmental Relations, the Honorable John von Dongen of British Columbia and Mr. Clarence Pennier the Grand Chief of the Sto:lo Nation in Canada who were seated at the rostrum.

PERSONAL PRIVILEGE

Senator Prentice: “Thank you Mr. President. It’s really an honor to have such a group and we truly appreciate your story. There’s some very important elements, some that are unique to the Sto:lo and some that are common to our nations and Canadians' treatment of tribes. Certainly the story of Louie Sam is a tragic one and I respect you and honor you for having kept that story alive and bringing it to us. Our state happens to have many, many stories like that that we wished we didn’t know and have buried also. The important thing is that you’ve brought them to our consciousness and this is one of the things that we need to start educating ourselves first and then our children so that we know what our own heritage, what our own history is. Some not to be very proud of but, never the less, face the facts that this is how things were and, in many ways, not identical but in many ways still treating tribal members in the same way. One of the important things is that remaining a cohesive unit when you were facing extinction shows as one tribal member from a different group we’re not going anywhere and that’s important for all of to remember. Truly, I’m very grateful, we are very grateful to you. You’ve honored us by being here. It’s an important thing to keep reminding us of these stories and keep them very much in our consciousness.”

PERSONAL PRIVILEGE

Senator Pflug: “Thank you Mr. President. Over the interim a number of us as members of the Joint Legislative Committee on Economic Development and International Relations were in British Columbia and at the time Lt. Governor Campagnolo told us of a story that most of us would never have heard. It is the story of a murder that took place in Whatcom county and was blamed on a fourteen year old boy of the Sto:lo nation. He was taken into custody by the British crown and while in custody was taken by a mob of Americans who lynched him before he had an opportunity to prove his innocence. This is something that I’m sure most of you have never heard. I hadn’t heard it before but you can imagine what a wound this caused between the three governments involved, the Americans, the Canadians and the Sto:lo families, Sto:lo nation. So, Lt. Governor Campagnol asked our Lt. Governor to see if we could act together to heal this wound and to go forward now with a better understanding of our respective cultures. So, I will share with you that I think one of the things I’ve learned as I’ve grown older is the importance of being able to let the words, 'I’m sorry' role off your tongue when you are. So, I would like to join with Minister van Dongen on behalf of our government today to say to the Sto:lo nation and to Chief Pennier how deeply regretful and how sorrowful we feel about the loss and the many years that we’ve spent since 1884 with this between us. So, you honor us with your presence here today and we look forward to a much happier relations between our three families in the future.”

REMARKS BY THE PRESIDENT

President Owen: “Ladies and Gentlemen, Grand Chief Pennier, Minister van Dongen, I’m greatly honored to have the privilege of making a very long overdue and a special presentation on behalf of the Washington State Senate to the people of the Sto:lo nation in Canada. Last year, as was noted, I visited British Columbia with the Legislative Committee on Economic Development and International Relations. We were graciously hosted for a reception by the, Her Honor Lt. Governor Campagnolo. She told of us of the terrible injustice that had been forced upon fourteen year old Louie Sam and asked that we work together to bring healing to the people of the Sto:lio nation and peace to Louie Sam. I’m proud to say that Monday, this Senate, passed a resolution to begin that healing process which will be repeated this afternoon in the House of Representatives. Through this resolution, the Senate joins it peers in the Government of British Columbia acknowledging the unfortunate historical injustice to Louie Sam and the proud Sto:lo people and seeks to promote healing among the Sto:lo people natives, non natives of British Columbia, Washington State and the Pacific Coast. It further expressed our deepest sympathy to the decedents of Louie Sam who is deprived of his life and his relatives were denied to opportunity to have the murderers brought to justice. It is meant to further ensure that such a tragedy will never be forgotten nor repeated. So Grand Chief Pennier, it is my honor to humbly present, if you would please rise, this resolution to you on behalf of the Washington State Senate in the spirit of healing and friendship among us.”

REMARKS BY GRAND CHIEF PENNIER

Grand Chief Pinnier: My name is Clarence Pennire, one of the Grand Chief’s of Sto:lo. On behalf of the Sto:lo and the Sumas family in particular I just want to lift up my hands to you and thank you for acknowledging the wrongful act that was committed against Louie Sam back in 1884. It makes us feel good that this is being done by Senate from Washington State. Lt. Governor in particular, want to thank them for doing a lot of the work with Keith Carlson and our staff from Sto:lo nation. Like I said, I want to thank you and lift up my hands to you. Makes our families feel good.”

INTRODUCTION OF SPECIAL GUESTS

The President welcomed and introduced members of the Sto:lo Nation who were seated in the gallery.

MOTION

At 11:35 a.m., on motion of Senator Eide, the Senate was declared to be at ease subject to the call of the President.

AFTERNOON SESSION

The Senate was called to order at 1:33 p.m. by President Owen.

MOTION

At 1:34 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 1:52 p.m. by President Owen.

SECOND READING

SECOND SUBSTITUTE HOUSE BILL NO. 2002, by House Committee on Appropriations (originally sponsored by Representatives Dickerson, Roberts, Kagi, Kenney and Santos)

Authorizing limited continuing foster care and support services up to age twenty-one.

The measure was read the second time.

MOTION

Senator Regala moved that the following committee striking amendment by the Committee on Human Services & Corrections be adopted.

Strike everything after the enacting clause and insert the following:

"Sec. 1. RCW 74.13.031 and 2004 c 183 s 3 are each amended to read as follows:

                                                                                                                              The department shall have the duty to provide child welfare services and shall:

                                                                                                                              (1) Develop, administer, supervise, and monitor a coordinated and comprehensive plan that establishes, aids, and strengthens services for the protection and care of runaway, dependent, or neglected children.

                                                                                                                              (2) Within available resources, recruit an adequate number of prospective adoptive and foster homes, both regular and specialized, i.e. homes for children of ethnic minority, including Indian homes for Indian children, sibling groups, handicapped and emotionally disturbed, teens, pregnant and parenting teens, and annually report to the governor and the legislature concerning the department's success in: (a) Meeting the need for adoptive and foster home placements; (b) reducing the foster parent turnover rate; (c) completing home studies for legally free children; and (d) implementing and operating the passport program required by RCW 74.13.285. The report shall include a section entitled "Foster Home Turn-Over, Causes and Recommendations."

                                                                                                                              (3) Investigate complaints of any recent act or failure to act on the part of a parent or caretaker that results in death, serious physical or emotional harm, or sexual abuse or exploitation, or that presents an imminent risk of serious harm, and on the basis of the findings of such investigation, offer child welfare services in relation to the problem to such parents, legal custodians, or persons serving in loco parentis, and/or bring the situation to the attention of an appropriate court, or another community agency: PROVIDED, That an investigation is not required of nonaccidental injuries which are clearly not the result of a lack of care or supervision by the child's parents, legal custodians, or persons serving in loco parentis. If the investigation reveals that a crime against a child may have been committed, the department shall notify the appropriate law enforcement agency.

                                                                                                                              (4) Offer, on a voluntary basis, family reconciliation services to families who are in conflict.

                                                                                                                              (5) Monitor out-of-home placements, on a timely and routine basis, to assure the safety, well-being, and quality of care being provided is within the scope of the intent of the legislature as defined in RCW 74.13.010 and 74.15.010, and annually submit a report measuring the extent to which the department achieved the specified goals to the governor and the legislature.

                                                                                                                              (6) Have authority to accept custody of children from parents and to accept custody of children from juvenile courts, where authorized to do so under law, to provide child welfare services including placement for adoption, and to provide for the physical care of such children and make payment of maintenance costs if needed. Except where required by Public Law 95-608 (25 U.S.C. Sec. 1915), no private adoption agency which receives children for adoption from the department shall discriminate on the basis of race, creed, or color when considering applications in their placement for adoption.

                                                                                                                              (7) Have authority to provide temporary shelter to children who have run away from home and who are admitted to crisis residential centers.

                                                                                                                              (8) Have authority to purchase care for children; and shall follow in general the policy of using properly approved private agency services for the actual care and supervision of such children insofar as they are available, paying for care of such children as are accepted by the department as eligible for support at reasonable rates established by the department.

                                                                                                                              (9) Establish a children's services advisory committee which shall assist the secretary in the development of a partnership plan for utilizing resources of the public and private sectors, and advise on all matters pertaining to child welfare, licensing of child care agencies, adoption, and services related thereto. At least one member shall represent the adoption community.

(10)(a) Have authority to provide continued foster care or group care ((for individuals from eighteen through twenty years of age to enable them to complete their high school or vocational school program)) as needed to participate in or complete a high school or vocational school program.

(b)(i) Beginning in 2006, the department has the authority to allow up to fifty youth reaching age eighteen to continue in foster care or group care as needed to participate in or complete a posthigh school academic or vocational program, and to receive necessary support and transition services.

(ii) In 2007 and 2008, the department has the authority to allow up to fifty additional youth per year reaching age eighteen to remain in foster care or group care as provided in (b)(i) of this subsection.

(iii) A youth who remains eligible for such placement and services pursuant to department rules may continue in foster care or group care until the youth reaches his or her twenty-first birthday. Eligibility requirements shall include active enrollment in a posthigh school academic or vocational program and maintenance of a 2.0 grade point average.

(11) Refer cases to the division of child support whenever state or federal funds are expended for the care and maintenance of a child, including a child with a developmental disability who is placed as a result of an action under chapter 13.34 RCW, unless the department finds that there is good cause not to pursue collection of child support against the parent or parents of the child. Cases involving individuals age eighteen through twenty shall not be referred to the division of child support unless required by federal law.

(12) Have authority within funds appropriated for foster care services to purchase care for Indian children who are in the custody of a federally recognized Indian tribe or tribally licensed child-placing agency pursuant to parental consent, tribal court order, or state juvenile court order; and the purchase of such care shall be subject to the same eligibility standards and rates of support applicable to other children for whom the department purchases care.

Notwithstanding any other provision of RCW 13.32A.170 through 13.32A.200 and 74.13.032 through 74.13.036, or of this section all services to be provided by the department of social and health services under subsections (4), (6), and (7) of this section, subject to the limitations of these subsections, may be provided by any program offering such services funded pursuant to Titles II and III of the federal juvenile justice and delinquency prevention act of 1974.

(13) Within amounts appropriated for this specific purpose, provide preventive services to families with children that prevent or shorten the duration of an out-of-home placement.

(14) Have authority to provide independent living services to youths, including individuals who have attained eighteen ((through twenty)) years of age, and have not attained twenty-one years of age who are or have been in foster care.

NEW SECTION. Sec. 2. Nothing in this act shall be construed to create:

(1) An entitlement to services;

(2) Judicial authority to extend the jurisdiction of juvenile court in a proceeding under chapter 13.34 RCW to a youth who has attained eighteen years of age or to order the provision of services to the youth; or

(3) A private right of action or claim on the part of any individual, entity, or agency against the department of social and health services or any contractor of the department.

                                                                                                                              NEW SECTION. Sec. 3. The department of social and health services is authorized to adopt rules establishing eligibility for independent living services and placement for youths under this act.

                                                                                                                              NEW SECTION. Sec. 4. (1) Beginning in July 2008 and subject to the approval of its governing board, the Washington state institute for public policy shall conduct a study measuring the outcomes for foster youth who have received continued support pursuant to RCW 74.13.031(10). The study should include measurements of any savings to the state and local government. The institute shall issue a report containing its preliminary findings to the legislature by December 1, 2008, and a final report by December 1, 2009.

                                                                                                                              (2) The institute is authorized to accept nonstate funds to conduct the study required in subsection (1) of this section."

                                                                                                                              Senator Regala spoke in favor of adoption of the committee striking amendment.

                                                                                                                              The President declared the question before the Senate to be the adoption of the committee striking amendment by the Committee on Human Services & Corrections to Second Substitute House Bill No. 2002.

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

MOTION

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

                                                                                                                              On page 1, line 3 of the title, after "birthday;" strike the remainder of the title and insert "amending RCW 74.13.031; and creating new sections."

MOTION

                                                                                                                              On motion of Senator Regala, the rules were suspended, Second Substitute House Bill No. 2002 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 Regala and Stevens 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. 2002 as amended by the Senate.

ROLL CALL

                                                                                                                              The Secretary called the roll on the final passage of Second Substitute House Bill No. 2002 as amended by the Senate and the bill passed the Senate by the following vote: Yeas, 45; Nays, 0; Absent, 3; Excused, 1.

                                                                                                                              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, McCaslin, Morton, Parlette, Pflug, Poulsen, Prentice, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 45

                                                                                                                              Absent: Senators McAuliffe, Mulliken and Pridemore - 3

                                                                                                                              Excused: Senator Oke - 1

                                                                                                                              SECOND SUBSTITUTE HOUSE BILL NO. 2002 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.

SECOND READING

SUBSTITUTE HOUSE BILL NO. 3185, by House Committee on Commerce & Labor (originally sponsored by Representative McCoy)

Concerning violations of wage payment requirements.

The measure was read the second time.

MOTION

On motion of Senator Kohl-Welles, the rules were suspended, Substitute House Bill No. 3185 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

Senators Kohl-Welles and Parlette spoke in favor of passage of the bill.

MOTION

On motion of Senator Schoesler, Senator Mulliken was excused.

MOTION

On motion of Senator Regala, Senator Pridemore was excused.

The President declared the question before the Senate to be the final passage of Substitute House Bill No. 3185.

ROLL CALL

The Secretary called the roll on the final passage of Substitute House Bill No. 3185 and the bill passed the Senate by the following vote: Yeas, 46; Nays, 0; Absent, 1; Excused, 2.

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, McCaslin, Morton, Mulliken, Parlette, Pflug, Poulsen, Prentice, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 46

Absent: Senator McAuliffe - 1

Excused: Senators Oke and Pridemore - 2

SUBSTITUTE HOUSE BILL NO. 3185, 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.

SECOND READING

HOUSE BILL NO. 2328, by Representatives Lantz and Priest

Changing provisions relating to the insanity defense.

The measure was read the second time.

MOTION

On motion of Senator Kline, the rules were suspended, House Bill No. 2328 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

                                                                                                                              Senators Kline and Esser spoke in favor of passage of the bill.

                                                                                                                              The President declared the question before the Senate to be the final passage of House Bill No. 2328.

ROLL CALL

                                                                                                                              The Secretary called the roll on the final passage of House Bill No. 2328 and the bill passed the Senate by the following vote: Yeas, 47; Nays, 0; Absent, 0; Excused, 2.

                                                                                                                              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, Parlette, Pflug, Poulsen, Prentice, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 47

                                                                                                                              Excused: Senators Oke and Pridemore - 2

                                                                                                                              HOUSE BILL NO. 2328, 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.

SECOND READING

                                                                                                                              HOUSE BILL NO. 2348, by Representatives Morris, Ericksen, Condotta, Linville, Conway, Sump, Haler, Orcutt, Wallace, Ericks, B. Sullivan, O'Brien, Dunn and Holmquist

                                                                                                                              Extending tax relief for aluminum smelters.

                                                                                                                              The measure was read the second time.

MOTION

                                                                                                                              Senator Shin moved that the following committee amendment by the Committee on International Trade & Economic Development be adopted.

                                                                                                                              On page 5, after line 30, strike all of subsection (5) and insert the following:

"(5) By ((December 1, 2005, and by)) December 1, ((2006)) 2007, December 1, 2010, and December 1, 2015, the fiscal committees of the house of representatives and the senate, in consultation with the department, shall report to the legislature on the effectiveness of the smelter tax incentives ((and, by December 1, 2010, on the effectiveness of the incentives)) under RCW 82.04.4482 and 82.16.0498. The reports shall measure the effect of the tax incentives on job retention for Washington residents and any other factors the committees may select."

                                                                                                                              Senator Shin spoke in favor of adoption of the committee amendment.

                                                                                                                              The President declared the question before the Senate to be the adoption of the committee amendment by the Committee on International Trade & Economic Development to House Bill No. 2348.

                                                                                                                              The motion by Senator Shin carried and the committee amendment was adopted by voice vote.

MOTION

                                                                                                                              On motion of Senator Shin, the rules were suspended, House Bill No. 2348 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 Shin, Brandland, Honeyford, Spanel, Sheldon and Parlette spoke in favor of passage of the bill.

Senator Poulsen spoke against passage of the bill.

Senators Brandland and Shin again spoke in favor of passage of the bill.

MOTION

On motion of Senator Regala, Senator Thibaudeau was excused.

The President declared the question before the Senate to be the final passage of House Bill No. 2348 as amended by the Senate.

ROLL CALL

The Secretary called the roll on the final passage of House Bill No. 2348 as amended by the Senate and the bill passed the Senate by the following vote: Yeas, 40; Nays, 8; Absent, 0; Excused, 1.

Voting yea: Senators Benson, Benton, Brandland, Brown, Carrell, Deccio, Delvin, Doumit, Eide, Esser, Finkbeiner, Franklin, Hargrove, Haugen, Hewitt, Honeyford, Jacobsen, Johnson, Kastama, Keiser, McAuliffe, McCaslin, Morton, Mulliken, Parlette, Pflug, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker and Zarelli - 40

Voting nay: Senators Berkey, Fairley, Fraser, Kline, Kohl-Welles, Poulsen, Thibaudeau and Weinstein - 8

Excused: Senator Oke - 1

HOUSE BILL NO. 2348 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.

SECOND READING

SUBSTITUTE HOUSE BILL NO. 2500, by House Committee on Health Care (originally sponsored by Representatives Green, Morrell, Cody, Schual-Berke, Clibborn and Conway)

Requiring health carriers to report certain information.

The measure was read the second time.

MOTION

Senator Keiser moved that the following committee amendment by the Committee on Health & Long-Term Care be adopted.

On page 1, after line 3, insert the following:

"NEW SECTION. Sec. 1. Health carriers are currently required to file statutory annual statements with the office of the insurance commissioner or the national association of insurance commissioners. These annual statements are extensive and contain a significant amount of financial information. These annual statements are public documents; however, such financial information can be complex and difficult to read and understand.

It is the intent of this act to provide a method of reporting certain financial data in a user friendly format. It is also the intent of this act, to the extent possible, to utilize existing information from the annual statements when developing the additional or supplemental data statement required by this act, and to the extent possible, avoid imposing additional reporting requirements that have the unintended consequences of unduly increasing administrative costs for carriers required to file such information."

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

                                                                                                                              On page 2, after line 27, insert the following:

"(4) For the purposes of licensed disability insurers, the commissioner shall work collaboratively with insurers to develop an additional or supplemental data statement that utilizes to the maximum extent possible information from the annual statement forms that are currently filed by these entities."

                                                                                                                              Senator Keiser spoke in favor of adoption of the committee amendment.

                                                                                                                              The President declared the question before the Senate to be the adoption of the committee amendment by the Committee on Health & Long-Term Care to Substitute House Bill No. 2500.

                                                                                                                              The motion by Senator Keiser carried and the committee amendment was adopted by voice vote.

MOTION

                                                                                                                              On motion of Senator Keiser, the rules were suspended, Substitute House Bill No. 2500 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 Keiser and Deccio spoke in favor of passage of the bill.

MOTION

On motion of Senator Regala, Senators McAuliffe and Pridemore were excused.

                                                                                                                              The President declared the question before the Senate to be the final passage of Substitute House Bill No. 2500 as amended by the Senate.

ROLL CALL

                                                                                                                              The Secretary called the roll on the final passage of Substitute House Bill No. 2500 as amended by the Senate and the bill passed the Senate by the following vote: Yeas, 46; Nays, 1; Absent, 0; Excused, 2.

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

                                                                                                                              Voting nay: Senator Hargrove - 1

                                                                                                                              Excused: Senators McAuliffe and Oke - 2

                                                                                                                              SUBSTITUTE HOUSE BILL NO. 2500 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.

SECOND READING

                                                                                                                              SUBSTITUTE HOUSE BILL NO. 2543, by House Committee on Technology, Energy & Communications (originally sponsored by Representatives Kilmer, Crouse, Nixon, Hudgins, Morrell, Green and Lantz)

Making permanent the enhanced 911 advisory committee.

The measure was read the second time.

MOTION

Senator Kastama moved that the following committee striking amendment by the Committee on Government Operations & Elections be adopted.

Strike everything after the enacting clause and insert the following:

"Sec. 1. RCW 38.52.530 and 2002 c 341 s 3 are each amended to read as follows:

The enhanced 911 advisory committee is created to advise and assist the state enhanced 911 coordinator in coordinating and facilitating the implementation and operation of enhanced 911 throughout the state. The director shall appoint members of the committee who represent diverse geographical areas of the state and include state residents who are members of the national emergency number association, the associated public communications officers Washington chapter, the Washington state fire chiefs association, the Washington association of sheriffs and police chiefs, the Washington state council of fire fighters, the Washington state council of police officers, the Washington ambulance association, the state fire protection policy board, the Washington fire commissioners association, the Washington state patrol, the association of Washington cities, the Washington state association of counties, the utilities and transportation commission or commission staff, a representative of a voice over internet protocol company, and an equal number of representatives of large and small local exchange telephone companies and large and small radio communications service companies offering commercial mobile radio service in the state. This section expires December 31, ((2006)) 2011.

NEW SECTION. Sec. 2. A new section is added to chapter 38.52 RCW to read as follows:

On an annual basis, the enhanced 911 advisory committee shall provide an update on the status of enhanced 911 service in the state to the appropriate committees in the legislature."

Senator Kastama spoke in favor of adoption of the committee striking amendment.

POINT OF INQUIRY

Senator Benton: “Would Senator Kastama yield to a question? Thank you Senator Kastama. In committee we determined rather than to make this committee permanent that we would extend it to a period of time thus including, and I believe we adopted, an amendment to sunset the committee in six years or five years so that the legislature would retain control over whether or not it was necessary to continue at that time. Is that provision still a part of the striking amendment before us today?

Senator Kastama: “Senator Benton, it is. This was your amendment in committee and as it was a senate bill and we made sure that the same exact amendment that you offered is on this bill.”

The President declared the question before the Senate to be the adoption of the committee striking amendment by the Committee on Government Operations & Elections to Substitute House Bill No. 2543.

                                                                                                                              The motion by Senator Kastama carried and the committee 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 "committee;" strike the remainder of the title and insert "amending RCW 38.52.530; adding a new section to chapter 38.52 RCW; and providing an expiration date."

MOTION

                                                                                                                              On motion of Senator Kastama, the rules were suspended, Substitute House Bill No. 2543 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 Kastama spoke in favor of passage of the bill.

                                                                                                                              The President declared the question before the Senate to be the final passage of Substitute House Bill No. 2543 as amended by the Senate.

ROLL CALL

                                                                                                                              The Secretary called the roll on the final passage of Substitute House Bill No. 2543 as amended by the Senate and the bill passed the Senate by the following vote: Yeas, 47; Nays, 0; Absent, 1; Excused, 1.

                                                                                                                              Voting yea: Senators Benson, Benton, Berkey, Brandland, Brown, Carrell, Deccio, Delvin, Doumit, Eide, Esser, Fairley, Finkbeiner, Franklin, Fraser, Hargrove, Haugen, Hewitt, Honeyford, Johnson, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, McCaslin, Morton, Mulliken, Parlette, Pflug, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 47

                                                                                                                              Absent: Senator Jacobsen - 1

                                                                                                                              Excused: Senator Oke - 1

                                                                                                                              SUBSTITUTE HOUSE BILL NO. 2543 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.

SECOND READING

                                                                                                                              HOUSE BILL NO. 2874, by Representatives Murray, Ericksen, Jarrett, Wallace and Woods

                                                                                                                              Modifying transportation project design-build provisions.

                                                                                                                              The measure was read the second time.

MOTION

                                                                                                                              On motion of Senator Haugen, the rules were suspended, House Bill No. 2874 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

                                                                                                                              Senators Haugen, Benson and Benton spoke in favor of passage of the bill.

                                                                                                                              The President declared the question before the Senate to be the final passage of House Bill No. 2874.

ROLL CALL

The Secretary called the roll on the final passage of House Bill No. 2874 and the bill passed the Senate by the following vote: Yeas, 47; Nays, 0; Absent, 1; Excused, 1.

Voting yea: Senators Benson, Benton, Berkey, Brandland, Brown, Carrell, Deccio, Delvin, Doumit, Eide, Esser, Fairley, Finkbeiner, Franklin, Fraser, Hargrove, Haugen, Hewitt, Honeyford, Johnson, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, McCaslin, Morton, Mulliken, Parlette, Pflug, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 47

Absent: Senator Jacobsen - 1

Excused: Senator Oke - 1

HOUSE BILL NO. 2874, 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.

SECOND READING

SUBSTITUTE HOUSE BILL NO. 1107, by House Committee on Appropriations (originally sponsored by Representatives Dickerson, Talcott, Linville, Tom, Priest, Darneille, Pettigrew, Shabro, Jarrett, McCoy, Roberts, Kagi, Clements, Dunn, Hunter, Quall, Haler, Hinkle, Cody, Walsh, Ormsby, Kilmer, Simpson, Kessler, Morrell, Williams, O'Brien, Chase, Hunt, Schual-Berke, Conway, Santos, Haigh, Upthegrove and B. Sullivan)

Providing for early intervention services for children with disabilities.

The measure was read the second time.

MOTION

Senator Rasmussen moved that the following committee striking amendment by the Committee on Ways & Means be adopted.

Strike everything after the enacting clause and insert the following:

"NEW SECTION. Sec. 1. A new section is added to chapter 28A.155 RCW to read as follows:

The legislature finds an urgent and substantial need to enhance the development of all infants and toddlers with disabilities in Washington in order to minimize developmental delays and to maximize individual potential for learning and functioning.

NEW SECTION. Sec. 2. A new section is added to chapter 28A.155 RCW to read as follows:

(1) By September 1, 2009, each school district shall provide or contract for early intervention services to all eligible children with disabilities from birth to three years of age. Eligibility shall be determined according to Part C of the federal individuals with disabilities education act and as specified in the Washington Administrative Code. School districts shall provide or contract for early intervention services in partnership with local birth-to-three lead agencies and birth-to-three providers. Services provided under this section shall not supplant services or funding currently provided in the state for early intervention services to eligible children with disabilities from birth to three years of age. The state-designated birth-to-three lead agency shall be payor of last resort for birth-to-three early intervention services provided under this section.

                                                                                                                              (2) The services in this section are not part of the state's program of basic education pursuant to Article IX of the state Constitution.

                                                                                                                              Sec. 3. RCW 28A.155.070 and 1995 c 77 s 13 are each amended to read as follows:

                                                                                                                              Special educational and training programs provided by the state and the school districts thereof for children with disabilities ((may)) shall be extended to include children of preschool age. School districts ((which extend such special programs to children of preschool age)) shall be entitled to the regular apportionments from state and county school funds, as provided by law, and in addition to allocations from state excess cost funds made available for such special services for those children with disabilities who are given such special services.

                                                                                                                              NEW SECTION. Sec. 4. Section 3 of this act takes effect September 1, 2009."

                                                                                                                              Senator Rasmussen spoke in favor of adoption of the committee striking amendment.

                                                                                                                              The President declared the question before the Senate to be the adoption of the committee striking amendment by the Committee on Ways & Means to Substitute House Bill No. 1107.

                                                                                                                              The motion by Senator Rasmussen carried and the committee 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 "disabilities;" strike the remainder of the title and insert "amending RCW 28A.155.070; adding new sections to chapter 28A.155 RCW; and providing an effective date."

MOTION

                                                                                                                              On motion of Senator Rasmussen, the rules were suspended, Substitute House Bill No. 1107 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 Rasmussen spoke in favor of passage of the bill.

                                                                                                                              The President declared the question before the Senate to be the final passage of Substitute House Bill No. 1107 as amended by the Senate.

ROLL CALL

                                                                                                                              The Secretary called the roll on the final passage of Substitute House Bill No. 1107 as amended by the Senate and the bill passed the Senate by the following vote: Yeas, 46; Nays, 0; Absent, 2; Excused, 1.

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

                                                                                                                              Absent: Senators Hargrove and Schmidt - 2

                                                                                                                              Excused: Senator Oke - 1

                                                                                                                              SUBSTITUTE HOUSE BILL NO. 1107 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.

SECOND READING

ENGROSSED HOUSE BILL NO. 1383, by Representatives Condotta, Bailey, Newhouse, Curtis, Hinkle, Pearson, Kretz, Strow, Armstrong, Kristiansen, Talcott, Skinner and Holmquist

Requiring the public employees' benefits board to develop a health savings account option for employees.

The measure was read the second time.

MOTION

On motion of Senator Keiser, the rules were suspended, Engrossed House Bill No. 1383 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

Senators Keiser, Deccio and Parlette spoke in favor of passage of the bill.

MOTION

On motion of Senator Weinstein, Senator Franklin was excused.

The President declared the question before the Senate to be the final passage of Engrossed House Bill No. 1383.

ROLL CALL

The Secretary called the roll on the final passage of Engrossed House Bill No. 1383 and the bill passed the Senate by the following vote: Yeas, 43; Nays, 4; Absent, 0; Excused, 2.

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

Voting nay: Senators Fairley, Kohl-Welles, Regala and Thibaudeau - 4

Excused: Senators Franklin and Oke - 2

ENGROSSED HOUSE BILL NO. 1383, 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.

SECOND READING

SECOND SUBSTITUTE HOUSE BILL NO. 2498, by House Committee on Appropriations (originally sponsored by Representatives Kilmer, Buri, Morrell, Skinner, Green, Linville, McCoy, Moeller, Chase, Rodne, Conway, Haler, Morris, Ericks and Sells)

Establishing an industry cluster-based approach to economic development.

The measure was read the second time.

MOTION

Senator Shin moved that the following committee striking amendment by the Committee on International Trade & Economic Development be adopted.

                                                                                                                              Strike everything after the enacting clause and insert the following:

                                                                                                                              "Sec. 1. RCW 43.330.090 and 2005 c 136 s 14 are each amended to read as follows:

                                                                                                                              (1) The department shall work with private sector organizations, industry and cluster associations, federal agencies, state agencies that use a cluster-based approach to service delivery, local governments, local associate development organizations, and higher education and training institutions ((to assist)) in the development of industry cluster-based strategies to diversify the economy, facilitate technology transfer and diffusion, and increase value-added production ((by focusing on targeted sectors)). The industry clusters targeted ((sectors)) by the department may include, but are not limited to, ((software, forest products, biotechnology, environmental industries, recycling markets and waste reduction, aerospace, food processing, tourism, film and video, microelectronics, new materials, robotics, and machine tools)) aerospace, agriculture, food processing, forest products, marine services, health and biomedical, software, digital and interactive media, transportation and distribution, and microelectronics. The department shall, on a continuing basis, evaluate the potential return to the state from devoting additional resources to ((a targeted sector's)) an industry cluster-based approach to economic development and ((including)) identifying and assisting additional ((sectors in its efforts)) clusters. The department shall use information gathered in each service delivery region in formulating its ((sectoral)) industry cluster-based strategies and ((in designating new targeted sectors)) shall assist local communities in identifying regional industry clusters and developing industry cluster-based strategies.

                                                                                                                               (2) The department shall pursue a coordinated program to expand the tourism industry throughout the state in cooperation with the public and private tourism development organizations. The department, in operating its tourism program, shall:

                                                                                                                              (a) Promote Washington as a tourism destination to national and international markets to include nature-based and wildlife viewing tourism;

                                                                                                                              (b) Provide information to businesses and local communities on tourism opportunities that could expand local revenues;

                                                                                                                              (c) Assist local communities to strengthen their tourism partnerships, including their relationships with state and local agencies;

                                                                                                                              (d) Provide leadership training and assistance to local communities to facilitate the development and implementation of local tourism plans;

                                                                                                                              (e) Coordinate the development of a statewide tourism and marketing plan. The department's tourism planning efforts shall be carried out in conjunction with public and private tourism development organizations including the department of fish and wildlife and other appropriate agencies. The plan shall specifically address mechanisms for: (i) Funding national and international marketing and nature-based tourism efforts; (ii) interagency cooperation; and (iii) integrating the state plan with local tourism plans.

                                                                                                                              (3) The department may, in carrying out its efforts to expand the tourism industry in the state:

                                                                                                                              (a) Solicit and receive gifts, grants, funds, fees, and endowments, in trust or otherwise, from tribal, local or other governmental entities, as well as private sources, and may expend the same or any income therefrom for tourism purposes. All revenue received for tourism purposes shall be deposited into the tourism development and promotion account created in RCW 43.330.094;

(b) Host conferences and strategic planning workshops relating to the promotion of nature-based and wildlife viewing tourism;

(c) Conduct or contract for tourism-related studies;

(d) Contract with individuals, businesses, or public entities to carry out its tourism-related activities under this section;

(e) Provide tourism-related organizations with marketing and other technical assistance;

 (f) Evaluate and make recommendations on proposed tourism-related policies.

(4)(a) The department shall promote, market, and encourage growth in the production of films and videos, as well as television commercials within the state; to this end the department is directed to assist in the location of a film and video production studio within the state.

(b) The department may, in carrying out its efforts to encourage film and video production in the state, solicit and receive gifts, grants, funds, fees, and endowments, in trust or otherwise, from tribal, local, or other governmental entities, as well as private sources, and may expend the same or any income therefrom for the encouragement of film and video production. All revenue received for such purposes shall be deposited into the film and video promotion account created in RCW 43.330.092.

(5) In assisting in the development of ((a targeted sector)) regional and statewide industry cluster-based strategies, the department's activities ((may)) shall include, but are not limited to:

(a) ((Conducting)) Facilitating regional focus group discussions((, facilitating meetings,)) and conducting studies to identify ((members of the sector)) industry clusters, appraise the current ((state of the sector)) information linkages within a cluster, and identify issues of common concern within ((the sector)) a cluster;

(b) Supporting ((the formation of)) industry and cluster associations, publications of association and cluster directories, and related efforts to create or expand the activities ((or)) of industry and cluster associations;

(c) ((Assisting in the formation of flexible networks by providing (i) agency employees or private sector consultants trained to act as flexible network brokers and (ii) funding for potential flexible network participants for the purpose of organizing or implementing a flexible network;

(d) Helping establish research consortia;

(e) Facilitating joint training and education programs;

(f) Promoting cooperative market development activities;

(g) Analyzing the need, feasibility, and cost of establishing product certification and testing facilities and services; and

 (h) Providing for methods of electronic communication and information dissemination among firms and groups of firms to facilitate network activity)) Administering a competitive grant program to fund activities designed to further regional cluster growth. In administering the program, the department shall work with an industry cluster advisory committee with equal representation from the work force training and education coordinating board, the state board for community and technical colleges, the employment security department, business, and labor.

(i) The industry cluster advisory committee shall recommend criteria for evaluating applications for grant funds and recommend applicants for receipt of grant funds.

(ii) Applicants must include organizations from at least two counties and participants from the local business community. Eligible organizations include, but are not limited to, local governments, economic development councils, chambers of commerce, federally recognized Indian tribes, work force development councils, and educational institutions.

                                                                                                                              (iii) Applications must evidence financial participation of the partner organizations.

                                                                                                                              (iv) Priority shall be given to applicants which will use the grant funds to build linkages and joint projects, to develop common resources and common training, and to develop common research and development projects or facilities.

                                                                                                                              (v) The maximum amount of a grant is one hundred thousand dollars.

                                                                                                                              (vi) A maximum of one hundred thousand dollars total can go to King, Pierce, Kitsap, and Snohomish counties combined.

                                                                                                                              (vii) No more than ten percent of funds received for the grant program may be used by the department for administrative costs.

                                                                                                                              (6) As used in subsection (5) of this section, "industry cluster" means a geographic concentration of interdependent competitive firms that do business with each other. "Industry cluster" also includes firms that sell inside and outside of the geographic region as well as support firms that supply raw materials, components, and business services."

                                                                                                                              Senator Shin spoke in favor of adoption of the committee striking amendment.

                                                                                                                              The President declared the question before the Senate to be the adoption of the committee striking amendment by the Committee on International Trade & Economic Development to Second Substitute House Bill No. 2498.

                                                                                                                              The motion by Senator Shin carried and the committee 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 "development;" strike the remainder of the title and insert "and amending RCW 43.330.090."

MOTION

                                                                                                                              On motion of Senator Shin, the rules were suspended, Second Substitute House Bill No. 2498 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 Shin 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. 2498 as amended by the Senate.

ROLL CALL

                                                                                                                              The Secretary called the roll on the final passage of Second Substitute House Bill No. 2498 as amended by the Senate and the bill passed the Senate by the following vote: Yeas, 41; Nays, 6; Absent, 1; Excused, 1.

                                                                                                                              Voting yea: Senators Benson, Benton, Berkey, Brandland, Brown, Carrell, Deccio, Delvin, Doumit, Eide, Esser, Fairley, Finkbeiner, Franklin, Fraser, Hargrove, Haugen, Jacobsen, Johnson, Kastama, Keiser, Kohl-Welles, McAuliffe, McCaslin, Morton, Pflug, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau and Weinstein - 41

                                                                                                                              Voting nay: Senators Hewitt, Honeyford, Mulliken, Parlette, Schoesler and Zarelli - 6

                                                                                                                              Absent: Senator Kline - 1

Excused: Senator Oke - 1

SECOND SUBSTITUTE HOUSE BILL NO. 2498 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.

SECOND READING

ENGROSSED HOUSE BILL NO. 2322, by Representative Ormsby

Limiting the phosphorus content in dishwashing detergent.

The measure was read the second time.

MOTION

Senator Poulsen moved that the following committee striking amendment by the Committee on Water, Energy & Environment be adopted.

Strike everything after the enacting clause and insert the following:

"Sec. 1. RCW 70.95L.005 and 1993 c 118 s 1 are each amended to read as follows:

The legislature hereby finds and declares that:

(1) Phosphorus loading of surface waters can stimulate the growth of weeds and algae, and that such growth can have adverse environmental, health, and aesthetic effects;

(2) Household detergents contribute to phosphorus loading, and that a limit on detergents containing phosphorus can significantly reduce the discharge of phosphorus into the state's surface and ground waters;

(3) Household detergents containing no or very low phosphorus are readily available and that over thirty percent of the United States population lives in areas with a ban on detergents containing phosphorus; ((and))

(4) Phosphorus limits on household detergents can significantly reduce treatment costs at those sewage treatment facilities that remove phosphorus from the waste stream; and

(5) While significant reductions of phosphorus from laundry detergent have been accomplished, similar progress in reducing phosphorus contributions from dishwashing detergents has not been achieved.

It is therefore the intent of the legislature to impose a statewide limit on the phosphorus content of household detergents.

Sec. 2. RCW 70.95L.020 and 1993 c 118 s 3 are each amended to read as follows:

(1) After July 1, 1994, a person may not sell or distribute for sale a laundry detergent that contains 0.5 percent or more phosphorus by weight.

 (2) After July 1, 1994, and until July 1, 2008, a person may not sell or distribute for sale a dishwashing detergent that contains 8.7 percent or more phosphorous by weight. After July 1, 2008, a person may not sell or distribute for sale a dishwashing detergent that contains 0.5 percent or more phosphorous by weight.

(3) This section does not apply to the sale or distribution of detergents for commercial and industrial uses."

Senator Poulsen spoke in favor of adoption of the committee striking amendment.

MOTION

Senator Delvin moved that the following amendment by Senators Delvin and Poulsen to the committee striking amendment be adopted.

                                                                                                                              On page 2, line 1 of the amendment, after "(2)" insert "(a)"

                                                                                                                              On page 2, line 1 of the amendment, after "until" strike "July 1, 2008" and insert "the dates specified in (a) of this subsection"

                                                                                                                              On page 2, beginning on line 3 of the amendment, after "weight." strike all material through "weight." on line 5 and insert the following:

"(b) A person may not sell or distribute for sale a dishwashing detergent that contains 0.5 percent or more phosphorus by weight:

                                                                                                                              (i) Commencing July 1, 2008, in counties with populations, as determined by office of financial management population estimates:

                                                                                                                              (A) Greater than one hundred eighty thousand and less than two hundred twenty thousand; and

                                                                                                                              (B) Greater than three hundred ninety thousand and less than six hundred fifty thousand;

                                                                                                                              (ii) Commencing July 1, 2010, throughout the state."

                                                                                                                              Senators Delvin, Morton and Benson spoke in favor of adoption of the amendment to the committee striking amendment.

                                                                                                                              Senator Zarelli spoke against adoption of the amendment to the committee striking amendment.

The President declared the question before the Senate to be the adoption of the amendment by Senators Delvin and Poulsen on page 2, line 1 to the committee striking amendment to Engrossed House Bill No. 2322.

The motion by Senator Delvin carried and the amendment to the committee striking amendment was adopted by voice vote.

                                                                                                                              The President declared the question before the Senate to be the adoption of the committee striking amendment by the Committee on Water, Energy & Environment as amended to Engrossed House Bill No. 2322.

                                                                                                                              The motion by Senator Poulsen carried and the committee striking amendment as amended 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 "detergent;" strike the remainder of the title and insert "and amending RCW 70.95L.005 and 70.95L.020."

MOTION

                                                                                                                              On motion of Senator Poulsen, the rules were suspended, Engrossed House Bill No. 2322 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 Zarelli, Mulliken and Benton spoke against passage of the bill.

                                                                                                                              Senators Brown, Spanel and Benson spoke in favor of passage of the bill.

                                                                                                                              The President declared the question before the Senate to be the final passage of Engrossed House Bill No. 2322 as amended by the Senate.

ROLL CALL

                                                                                                                              The Secretary called the roll on the final passage of Engrossed House Bill No. 2322 as amended by the Senate and the bill passed the Senate by the following vote: Yeas, 41; Nays, 7; Absent, 0; Excused, 1.

Voting yea: Senators Benson, Benton, Berkey, Brandland, Brown, Carrell, Deccio, Doumit, Eide, Esser, Fairley, Finkbeiner, Franklin, Fraser, Hargrove, Haugen, Jacobsen, Johnson, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, McCaslin, Morton, Pflug, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Swecker, Thibaudeau and Weinstein - 41

Voting nay: Senators Delvin, Hewitt, Honeyford, Mulliken, Parlette, Stevens and Zarelli - 7

Excused: Senator Oke - 1

ENGROSSED HOUSE BILL NO. 2322 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.

SECOND READING

SUBSTITUTE HOUSE BILL NO. 3087, by House Committee on Higher Education & Workforce Education (originally sponsored by Representatives Ormsby, Sells, Kenney, Cox, Buri, Fromhold, Hasegawa, Morrell, McCoy, Upthegrove, Ericks, Darneille, Rodne, Chase, Conway, Kessler, Dunn, Green and Lantz)

Concerning cost savings on course materials for students at state universities, regional universities, and The Evergreen State College.

The measure was read the second time.

MOTION

On motion of Senator Pridemore, the rules were suspended, Substitute House Bill No. 3087 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

Senator Pridemore spoke in favor of passage of the bill.

The President declared the question before the Senate to be the final passage of Substitute House Bill No. 3087.

ROLL CALL

The Secretary called the roll on the final passage of Substitute House Bill No. 3087 and the bill passed the Senate by the following vote: Yeas, 48; Nays, 0; Absent, 0; Excused, 1.

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, Parlette, Pflug, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 48

Excused: Senator Oke - 1

SUBSTITUTE HOUSE BILL NO. 3087, 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.

SECOND READING

HOUSE BILL NO. 2330, by Representatives Blake, Buck, Upthegrove, Linville, Sump and B. Sullivan

                                                                                                                              Modifying provisions concerning the administration of a crab pot buoy tag program.

                                                                                                                              The measure was read the second time.

MOTION

                                                                                                                              On motion of Senator Jacobsen, the rules were suspended, House Bill No. 2330 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

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

                                                                                                                              The President declared the question before the Senate to be the final passage of House Bill No. 2330.

ROLL CALL

                                                                                                                              The Secretary called the roll on the final passage of House Bill No. 2330 and the bill passed the Senate by the following vote: Yeas, 47; Nays, 0; Absent, 1; Excused, 1.

                                                                                                                              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, Parlette, Pflug, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Roach, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 47

                                                                                                                              Absent: Senator Rockefeller - 1

                                                                                                                              Excused: Senator Oke - 1

                                                                                                                              HOUSE BILL NO. 2330, 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.

SECOND READING

                                                                                                                              THIRD SUBSTITUTE HOUSE BILL NO. 1226, by House Committee on Appropriations (originally sponsored by Representatives Schual-Berke, Tom, Haigh, Cody, Fromhold, Jarrett, Hudgins, Conway, Appleton, Flannigan, Murray, McCoy, Lantz, Hasegawa, Williams, Kagi, Ormsby, Morrell, Chase, Dickerson, Kenney and Sells)

                                                                                                                              Adjusting application of campaign contribution limits.

                                                                                                                              The measure was read the second time.

MOTION

                                                                                                                              Senator Kastama moved that the following committee striking amendment by the Committee on Government Operations & Elections be not adopted.

                                                                                                                              Strike everything after the enacting clause and insert the following:

                                                                                                                              "Sec. 1. RCW 42.17.640 and 2005 c 445 s 11 are each amended to read as follows:

                                                                                                                              (1) The contribution limits in this section apply to:

                                                                                                                              (a) Candidates for state legislative office;

                                                                                                                              (b) Candidates for state office other than state legislative office;

                                                                                                                              (c) Candidates for county office in a county that has over two hundred thousand registered voters;

                                                                                                                              (d) Candidates for special purpose district office if that district is authorized to provide freight and passenger transfer and terminal facilities and that district has over two hundred thousand registered voters;

(e) Persons holding an office in (a) through (d) of this subsection against whom recall charges have been filed or to a political committee having the expectation of making expenditures in support of the recall of a person holding the office;

(f) Caucus political committees;

(g) Bona fide political parties.

(2) No person, other than a bona fide political party or a caucus political committee, may make contributions to a candidate for a state legislative office or county office that in the aggregate exceed seven hundred dollars or to a candidate for a public office in a special purpose district or a state office other than a state legislative office that in the aggregate exceed one thousand four hundred dollars for each election in which the candidate is on the ballot or appears as a write-in candidate. Contributions to candidates subject to the limits in this section made with respect to a primary may not be made after the date of the primary. However, contributions to a candidate or a candidate's authorized committee may be made with respect to a primary until thirty days after the primary, subject to the following limitations: (a) The candidate lost the primary; (b) the candidate's authorized committee has insufficient funds to pay debts outstanding as of the date of the primary; and (c) the contributions may only be raised and spent to satisfy the outstanding debt. Contributions to candidates subject to the limits in this section made with respect to a general election may not be made after the final day of the applicable election cycle.

(((2))) (3) No person, other than a bona fide political party or a caucus political committee, may make contributions to a state official, a county official, or a public official in a special purpose district against whom recall charges have been filed, or to a political committee having the expectation of making expenditures in support of the recall of the state official, county official, or public official in a special purpose district during a recall campaign that in the aggregate exceed seven hundred dollars if for a state legislative office or county office or one thousand four hundred dollars if for a special purpose district office or a state office other than a state legislative office.

(((3))) (4)(a) Notwithstanding subsection (((1))) (2) of this section, no bona fide political party or caucus political committee may make contributions to a candidate during an election cycle that in the aggregate exceed (i) seventy cents multiplied by the number of eligible registered voters in the jurisdiction from which the candidate is elected if the contributor is a caucus political committee or the governing body of a state organization, or (ii) thirty-five cents multiplied by the number of registered voters in the jurisdiction from which the candidate is elected if the contributor is a county central committee or a legislative district committee.

(b) No candidate may accept contributions from a county central committee or a legislative district committee during an election cycle that when combined with contributions from other county central committees or legislative district committees would in the aggregate exceed thirty-five cents times the number of registered voters in the jurisdiction from which the candidate is elected.

(((4))) (5)(a) Notwithstanding subsection (((2))) (3) of this section, no bona fide political party or caucus political committee may make contributions to a state official, county official, or a public official in a special purpose district against whom recall charges have been filed, or to a political committee having the expectation of making expenditures in support of the state official, county official, or a public official in a special purpose district during a recall campaign that in the aggregate exceed (i) seventy cents multiplied by the number of eligible registered voters in the jurisdiction entitled to recall the state official if the contributor is a caucus political committee or the governing body of a state organization, or (ii) thirty-five cents multiplied by the number of registered voters in the jurisdiction from which the candidate is elected if the contributor is a county central committee or a legislative district committee.

                                                                                                                              (b) No ((state)) official holding an office specified in subsection (1) of this section against whom recall charges have been filed, no authorized committee of the official, and no political committee having the expectation of making expenditures in support of the recall of ((a state)) the official may accept contributions from a county central committee or a legislative district committee during an election cycle that when combined with contributions from other county central committees or legislative district committees would in the aggregate exceed thirty-five cents multiplied by the number of registered voters in the jurisdiction from which the candidate is elected.

                                                                                                                              (((5))) (6) For purposes of determining contribution limits under subsections (((3) and)) (4) and (5) of this section, the number of eligible registered voters in a jurisdiction is the number at the time of the most recent general election in the jurisdiction.

                                                                                                                              (((6))) (7) Notwithstanding subsections (((1))) (2) through (((4))) (5) of this section, no person other than an individual, bona fide political party, or caucus political committee may make contributions reportable under this chapter to a caucus political committee that in the aggregate exceed seven hundred dollars in a calendar year or to a bona fide political party that in the aggregate exceed three thousand five hundred dollars in a calendar year. This subsection does not apply to loans made in the ordinary course of business.

                                                                                                                              (((7))) (8) For the purposes of RCW 42.17.640 through 42.17.790, a contribution to the authorized political committee of a candidate((,)) or of ((a state)) an official specified in subsection (1) of this section against whom recall charges have been filed((,)) is considered to be a contribution to the candidate or ((state)) official.

                                                                                                                              (((8))) (9) A contribution received within the twelve-month period after a recall election concerning ((a state)) an office specified in subsection (1) of this section is considered to be a contribution during that recall campaign if the contribution is used to pay a debt or obligation incurred to influence the outcome of that recall campaign.

                                                                                                                              (((9))) (10) The contributions allowed by subsection (((2))) (3) of this section are in addition to those allowed by subsection (((1))) (2) of this section, and the contributions allowed by subsection (((4))) (5) of this section are in addition to those allowed by subsection (((3))) (4) of this section.

                                                                                                                              (((10))) (11) RCW 42.17.640 through 42.17.790 apply to a special election conducted to fill a vacancy in ((a state)) an office specified in subsection (1) of this section. However, the contributions made to a candidate or received by a candidate for a primary or special election conducted to fill such a vacancy shall not be counted toward any of the limitations that apply to the candidate or to contributions made to the candidate for any other primary or election.

                                                                                                                              (((11))) (12) Notwithstanding the other subsections of this section, no corporation or business entity not doing business in Washington state, no labor union with fewer than ten members who reside in Washington state, and no political committee that has not received contributions of ten dollars or more from at least ten persons registered to vote in Washington state during the preceding one hundred eighty days may make contributions reportable under this chapter to a candidate, to a state official against whom recall charges have been filed, or to a political committee having the expectation of making expenditures in support of the recall of the official. This subsection does not apply to loans made in the ordinary course of business.

(((12))) (13) Notwithstanding the other subsections of this section, no county central committee or legislative district committee may make contributions reportable under this chapter to a candidate((, state official)) specified in subsection (1) of this section, or an official specified in subsection (1) of this section against whom recall charges have been filed, or political committee having the expectation of making expenditures in support of the recall of ((a state)) an official specified in subsection (1) of this section if the county central committee or legislative district committee is outside of the jurisdiction entitled to elect the candidate or recall the ((state)) official.

(((13))) (14) No person may accept contributions that exceed the contribution limitations provided in this section.

(((14))) (15) The following contributions are exempt from the contribution limits of this section:

(a) An expenditure or contribution earmarked for voter registration, for absentee ballot information, for precinct caucuses, for get-out-the-vote campaigns, for precinct judges or inspectors, for sample ballots, or for ballot counting, all without promotion of or political advertising for individual candidates; or

(b) An expenditure by a political committee for its own internal organization or fund raising without direct association with individual candidates.

NEW SECTION. Sec. 2. A new section is added to chapter 42.17 RCW to read as follows:

(1) No person may make contributions to a candidate for judicial office that in the aggregate exceed one thousand four hundred dollars for each election in which the candidate is on the ballot or appears as a write-in candidate. Contributions made with respect to a primary may not be made after the date of the primary. However, contributions to a candidate or a candidate's authorized committee may be made with respect to a primary until thirty days after the primary, subject to the following limitations: (a) The candidate lost the primary; (b) the candidate's authorized committee has insufficient funds to pay debts outstanding as of the date of the primary; and (c) the contributions may only be raised and spent to satisfy the outstanding debt. Contributions made with respect to a general election may not be made after the final day of the applicable election cycle.

(2) This section through RCW 42.17.790 apply to a special election conducted to fill a vacancy in an office. However, the contributions made to a candidate or received by a candidate for a primary or special election conducted to fill such a vacancy will not be counted toward any of the limitations that apply to the candidate or to contributions made to the candidate for any other primary or election.

 (3) No person may accept contributions that exceed the contribution limitations provided in this section.

(4) The dollar limits in this section must be adjusted according to RCW 42.17.690.

NEW SECTION. Sec. 3. A new section is added to chapter 42.17 RCW to read as follows:

The commission shall adopt rules to carry out the policies of this act and is not subject to the time restrictions of RCW 42.17.370(1).

Sec. 4. RCW 42.17.700 and 1993 c 2 s 10 are each amended to read as follows:

(1) Contributions to candidates for state office made and received before December 3, 1992, are considered to be contributions under RCW 42.17.640 through 42.17.790. Monetary contributions that exceed the contribution limitations and that have not been spent by the recipient of the contribution by December 3, 1992, must be disposed of in accordance with RCW 42.17.095.

(2) Contributions to other candidates subject to the contribution limits of this chapter made and received before the effective date of this act are considered to be contributions under RCW 42.17.640 through 42.17.790. Contributions that exceed the contribution limitations and that have not been spent by the recipient of the contribution by the effective date of this act must be disposed of in accordance with RCW 42.17.095 except for subsections (6) and (7) of that section.

                                                                                                                              Sec. 5. RCW 42.17.710 and 2003 c 164 s 3 are each amended to read as follows:

                                                                                                                              (1) During the period beginning on the thirtieth day before the date a regular legislative session convenes and continuing thirty days past the date of final adjournment, and during the period beginning on the date a special legislative session convenes and continuing through the date that session adjourns, no state official or a person employed by or acting on behalf of a state official or state legislator may solicit or accept contributions to a public office fund, to a candidate or authorized committee, or to retire a campaign debt. Contributions received through the mail after the thirtieth day before a regular legislative session may be accepted if the contribution is postmarked prior to the thirtieth day before the session.

                                                                                                                              (2) This section does not apply to activities authorized in RCW 43.07.370."

                                                                                                                              Senator Esser moved that the committee amendment by the Committee on Government Operations & Elections do be adopted.

                                                                                                                              Senators Esser and Roach spoke in favor of adopting of the committee striking amendment.

                                                                                                                              Senator Kastama spoke against adopting the committee striking amendment.

PARLIAMENTARY INQUIRY

Senator Jacobsen: “We had a motion to concur in the amendment and if that had of been voted down then will we then go back? What I don’t understand right now, where are we at in the process?”

REPLY BY THE PRESIDENT

President Owen: “It’s a good question Senator Jacobsen. There are two striking amendments, one by the committee and there are amendments to the committee amendment. If the committee, so we have to perfect the committee amendment before you can vote on it. So we are now working on the amendments to the committee amendment. If it goes down then we would go to the other striking amendment and start working the amendments to that striking amendment.”

PARLIAMENTARY INQUIRY

Senator Jacobsen: “Then when the Senator from the Forty-eighth district made the motion to do concur and I understand that that is a higher order, then we didn’t have to vote on whether to do concur or not and just automatically, what did it do with the do not adopt?”

REPLY BY THE PRESIDENT

President Owen: “When there are two motions, one is to not adopt one is to too adopt the positive motion has the higher rank. It causes the other motion to basically disappear.”

MOTION

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

On page 1, beginning on line 9 of the amendment, after "for county" strike all material through "voters" on line 10, and insert ", city, or town office"

On page 2, line 12 of the amendment, after "county" insert ", city, or town"

On page 2, line 15 of the amendment, after "county" insert ", city, or town"

On page 2, line 18 of the amendment, after "county" insert ", city, or town"

On page 3, line 1 of the amendment, after "county" insert ", city, or town"

On page 3, line 4 of the amendment, after "county" insert ", city, or town"

Senator Deccio spoke in favor of adoption of the amendment to the committee striking amendment.

Senator Kastama spoke against adoption of the amendment to the committee striking amendment.

POINT OF INQUIRY

Senator Deccio: “Would Senator Kastama yield to a question? Senator Kastama, I, you're on this amendment with me and I, you're giving me information that is new to me.”

Senator Kastama: “The amendment that you and I have both signed together is to the other striker. The amendment that we are speaking to right now is 197 and I did not sign that amendment.”

WITHDRAWAL OF AMENDMENT

On motion of Senator Deccio, the amendment by Senator Deccio on page 1, line 9 to the committee striking amendment to Third Substitute House Bill No. 1226 was withdrawn.

MOTION

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

On page 1, line 10, after "voters", insert the following: "as provided in subsection (2)"

On page 1, after line 20, insert the following:

"(2) The legislative authority of a county that has over two hundred thousand registered voters may adopt the contribution limits for candidates for county office in accordance with the limits established in this section by ordinance or resolution. The ordinance or resolution must be submitted to, and approved by, a vote of the people at the next general election in the form of a referendum for those local jurisdictions with referendum power, or in the form of an advisory ballot for those local jurisdictions without referendum power."

Renumber the sections consecutively and correct any internal references accordingly.

WITHDRAWAL OF AMENDMENT

On motion of Senator Pridemore, the amendment by Senator Pridemore on page 1, line 10 to the committee striking amendment to Third Substitute House Bill No. 1226 was withdrawn.

MOTION

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

                                                                                                                              On page 7, after line 4 of the amendment, insert the following:

                                                                                                                              "Sec. 6. RCW 42.17.093 and 2003 c 123 s 2 are each amended to read as follows:

                                                                                                                              (1) An out-of-state political committee organized for the purpose of supporting or opposing candidates or ballot propositions in another state that is not otherwise required to report under RCW 42.17.040 through 42.17.090 shall report as required in this section when it makes an expenditure supporting or opposing a Washington state candidate or political committee. The committee shall file with the commission a statement disclosing:

                                                                                                                              (a) Its name and address;

                                                                                                                              (b) The purposes of the out-of-state committee;

                                                                                                                              (c) The names, addresses, and titles of its officers or, if it has no officers, the names, addresses, and the titles of its responsible leaders;

                                                                                                                              (d) The name, office sought, and party affiliation of each candidate in the state of Washington whom the out-of-state committee is supporting or opposing and, if such committee is supporting or opposing the entire ticket of any party, the name of the party;

                                                                                                                              (e) The ballot proposition supported or opposed in the state of Washington, if any, and whether such committee is in favor of or opposed to such proposition;

                                                                                                                              (f) The name and address of each person residing in the state of Washington or corporation which has a place of business in the state of Washington who has made one or more contributions in the aggregate of more than twenty-five dollars to the out-of-state committee during the current calendar year, together with the money value and date of such contributions;

                                                                                                                              (g) The name, address, and employer of each person or corporation residing outside the state of Washington who has made one or more contributions in the aggregate of more than two thousand five hundred dollars to the out-of-state committee during the current calendar year, together with the money value and date of such contributions. Annually, the commission must modify the two thousand five hundred dollar limit in this subsection based on percentage change in the implicit price deflator for personal consumption expenditures for the United States as published for the most recent twelve-month period by the bureau of economic analysis of the federal department of commerce;

                                                                                                                              (h) The name and address of each person in the state of Washington to whom an expenditure was made by the out-of-state committee with respect to a candidate or political committee in the aggregate amount of more than fifty dollars, the amount, date, and purpose of such expenditure, and the total sum of such expenditures; and

                                                                                                                              (((h))) (i) Such other information as the commission may prescribe by rule in keeping with the policies and purposes of this chapter.

(2) Each statement shall be filed no later than the ((twentieth)) tenth day of the month following any month in which a contribution or other expenditure reportable under subsection (1) of this section is made. An out-of-state committee incurring an obligation to file additional statements in a calendar year may satisfy the obligation by timely filing reports that supplement previously filed information.

(((3) A political committee required to file campaign reports with the federal election commission or its successor is exempt from reporting under this section.))

NEW SECTION. Sec. 7. 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."

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

Senator Kastama spoke against adoption of the amendment to the committee striking amendment.

The President declared the question before the Senate to be the adoption of the amendment by Senator Benton on page 7, line 4 to the committee striking amendment to Third Substitute House Bill No. 1226.

The motion by Senator Benton carried and the amendment to the committee striking amendment was adopted by voice vote.

The President declared the question before the Senate to be the adoption of the committee striking amendment by the Committee on Government Operations & Elections as amended to Third Substitute House Bill No. 1226.

MOTION

Senator Esser demanded a roll call vote.

The President declared that at least one-sixth of the Senate joined the demand and the demand was sustained.

MOTION

On motion of Senator Schoesler, Senators Stevens and Carrell were excused.

MOTION

On motion of Senator Honeyford, Senator Mulliken was excused.

The Secretary called the roll on the adoption of the committee striking amendment as amended and the amendment was adopted by the following vote: Yeas, 24; Nays, 22; Absent, 0; Excused, 3.

Voting yea: Senators Benson, Benton, Brandland, Deccio, Delvin, Esser, Finkbeiner, Hargrove, Hewitt, Honeyford, Jacobsen, Johnson, McCaslin, Morton, Mulliken, Parlette, Pflug, Pridemore, Roach, Schmidt, Schoesler, Sheldon, Swecker and Zarelli - 24.

Voting nay: Senators Berkey, Brown, Doumit, Eide, Fairley, Franklin, Fraser, Haugen, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, Poulsen, Prentice, Rasmussen, Regala, Rockefeller, Shin, Spanel, Thibaudeau and Weinstein - 22.

Excused: Senators Carrell, Oke and Stevens - 3.

MOTION

                                                                                                                              There being no objection, the following title amendments were adopted:

                                                                                                                              On page 1, line 1 of the title, after "limits;" strike the remainder of the title and insert "amending RCW 42.17.640, 42.17.700, and 42.17.710; and adding new sections to chapter 42.17 RCW."

                                                                                                                              On page 7, beginning on line 6 of the title amendment, after"42.17.700," strike the remainder of the title amendment and insert "42.17.710, and 42.17.093; and adding new sections to chapter 42.17 RCW."

MOTION

                                                                                                                              On motion of Senator Kastama, the rules were suspended, Third Substitute House Bill No. 1226 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 Fairley spoke against the motion.

PARLIAMENTARY INQUIRY

Senator Eide: “Just curious right now, are we, exactly where are we on passing the striking amendment of the committee, and then do we have more amendments. So once it’s bumped that final.”

REPLY BY THE PRESIDENT

                                                                                                                              President Owen: "We already have passed the committee amendments. There are no more amendments. It will be on third reading."

                                                                                                                              The President declared the question before the Senate to be the final passage of Third Substitute House Bill No. 1226 as amended by the Senate.

ROLL CALL

                                                                                                                              The Secretary called the roll on the final passage of Third Substitute House Bill No. 1226 as amended by the Senate and the bill passed the Senate by the following vote: Yeas, 36; Nays, 11; Absent, 0; Excused, 2.

                                                                                                                              Voting yea: Senators Benson, Berkey, Brandland, Brown, Deccio, Delvin, Doumit, Eide, Esser, Finkbeiner, Franklin, Fraser, Haugen, Jacobsen, Johnson, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, McCaslin, Morton, Pflug, Prentice, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Swecker, Thibaudeau and Weinstein - 36

                                                                                                                              Voting nay: Senators Benton, Carrell, Fairley, Hargrove, Hewitt, Honeyford, Mulliken, Parlette, Poulsen, Pridemore and Zarelli - 11

                                                                                                                              Excused: Senators Oke and Stevens - 2

                                                                                                                              THIRD SUBSTITUTE HOUSE BILL NO. 1226 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.

SECOND READING

                                                                                                                              ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 2572, by House Committee on Appropriations (originally sponsored by Representatives Morrell, Clibborn, Green, Flannigan, Eickmeyer, Conway, Dickerson, Blake, Cody, Wallace, Roberts, Appleton, Hasegawa, McCoy, Linville, Simpson, Chase, Darneille, O'Brien, Murray, B. Sullivan, Ormsby, Springer, Moeller and Kagi)

Establishing the small employer health insurance partnership program.

The measure was read the second time.

MOTION

Senator Keiser moved that the following committee striking amendment by the Committee on Health & Long-Term Care be not adopted.

Strike everything after the enacting clause and insert the following:

"NEW SECTION. Sec. 1. FINDINGS AND INTENT. (1) The legislature finds that many small employers struggle with the cost of providing employer-sponsored health insurance coverage to their employees, while others are unable to offer employer-sponsored health insurance due to its high cost. Low-wage workers also struggle with the burden of paying their share of the costs of employer-sponsored health insurance, while others turn down their employer's offer of coverage due to its costs.

(2) The legislature intends, through establishment of a small employer health insurance partnership program, to remove economic barriers to health insurance coverage for low-wage employees of small employers by building on the private sector health benefit plan system and encouraging employer and employee participation in employer-sponsored health benefit plan coverage.

NEW SECTION. Sec. 2. DEFINITIONS. The definitions in this section apply throughout this chapter unless the context clearly requires otherwise.

(1) "Administrator" means the administrator of the Washington state health care authority, established under chapter 41.05 RCW.

(2) "Eligible employee" means an individual who:

(a) Is a resident of the state of Washington;

(b) Has family income less than two hundred percent of the federal poverty level, as determined annually by the federal department of health and human services; and

(c) Is employed by a small employer.

(3) "Health benefit plan" has the same meaning as defined in RCW 48.43.005 or any plan provided by a self-funded multiple employer welfare arrangement as defined in RCW 48.125.010 or by another benefit arrangement defined in the federal employee retirement income security act of 1974, as amended.

(4) "Program" means the small employer health insurance partnership program established in section 3 of this act.

(5) "Small employer" has the same meaning as defined in RCW 48.43.005.

(6) "Subsidy" means payment or reimbursement to an eligible employee toward the purchase of a health benefit plan, and may include a net billing arrangement with insurance carriers or a prospective or retrospective payment for health benefit plan premiums.

NEW SECTION. Sec. 3. SMALL EMPLOYER HEALTH INSURANCE PARTNERSHIP PROGRAM ESTABLISHED. To the extent funding is appropriated in the operating budget for this purpose, the small employer health insurance partnership program is established. The administrator shall be responsible for the implementation and operation of the small employer health insurance partnership program, directly or by contract. The administrator shall offer premium subsidies to eligible employees under section 4 of this act.

                                                                                                                              NEW SECTION. Sec. 4. PREMIUM SUBSIDIES TO ELIGIBLE EMPLOYEES. (1) Beginning January 1, 2007, the administrator shall accept applications from eligible employees, on behalf of themselves, their spouses, and their dependent children, to receive premium subsidies through the small employer health insurance partnership program.

                                                                                                                              (2) Premium subsidy payments may be provided to eligible employees if:

                                                                                                                              (a) The eligible employee is employed by a small employer;

                                                                                                                              (b) The value of the health benefit plan offered by the small employer is at least equivalent to that of the basic health plan benefit offered under chapter 70.47 RCW. The office of the insurance commissioner under Title 48 RCW shall certify those small employer health benefit plans that, by reason of cost or benefits, can be considered substantially equivalent to the basic health plan benefit; and

                                                                                                                              (c) The small employer will pay at least forty percent of the monthly premium cost for health benefit plan coverage of the eligible employee.

                                                                                                                              (3) The amount of an eligible employee's premium subsidy shall be determined by applying the sliding scale subsidy schedule developed for subsidized basic health plan enrollees under RCW 70.47.060 to the employee's premium obligation for his or her employer's health benefit plan. However, in no case shall the amount of an eligible employee's monthly premium subsidy exceed the amount he or she would have received as a basic health plan enrollee.

                                                                                                                              (4) After an eligible individual has enrolled in the program, the program shall issue subsidies in an amount determined pursuant to subsection (3) of this section to either the eligible employee or to the carrier designated by the eligible employee.

                                                                                                                              (5) An eligible employee must agree to provide verification of continued enrollment in his or her small employer's health benefit plan on a semiannual basis or to notify the administrator whenever his or her enrollment status changes, whichever is earlier. Verification or notification may be made directly by the employee, or through his or her employer or the carrier providing the small employer health benefit plan. When necessary, the administrator has the authority to perform retrospective audits on premium subsidy accounts. The administrator may suspend or terminate an employee's participation in the program and seek repayment of any subsidy amounts paid due to the omission or misrepresentation of an applicant or enrolled employee. The administrator shall adopt rules to define the appropriate application of these sanctions and the processes to implement the sanctions provided in this subsection, within available resources.

                                                                                                                              NEW SECTION. Sec. 5. ENROLLMENT LIMITS TO REMAIN WITHIN APPROPRIATION. Enrollment in the small employer health insurance partnership program is not an entitlement and shall not result in expenditures that exceed the amount that has been appropriated for the program in the operating budget. If it appears that continued enrollment will result in expenditures exceeding the appropriated level for a particular fiscal year, the administrator may freeze new enrollment in the program and establish a waiting list of eligible employees who shall receive subsidies only when sufficient funds are available.

                                                                                                                              NEW SECTION. Sec. 6. COLLABORATION WITH COMMUNITY ORGANIZATIONS. In implementing the small employer health insurance partnership program, the administrator shall work with organizations awarded grants through the community health care collaborative grant program established under Engrossed Second Substitute Senate Bill No. 6459, if enacted. The administrator may use funds appropriated for the small employer health insurance partnership program to enhance a grant otherwise awarded to a community-based organization. The grant enhancement shall be used by the organization specifically to provide a subsidy to eligible employees within the geographic region it serves.

NEW SECTION. Sec. 7. RULES. The administrator shall adopt all rules necessary for the implementation and operation of the small employer health insurance partnership program. As part of the rule development process, the administrator shall consult with small employers, carriers, employee organizations, and the office of the insurance commissioner under Title 48 RCW to determine an effective and efficient method for the payment of subsidies under this chapter, including methods for electronic funds transfers of the subsidy. All rules shall be adopted in accordance with chapter 34.05 RCW.

NEW SECTION. Sec. 8. REPORTS TO THE LEGISLATURE. The administrator shall report biennially to the relevant policy and fiscal committees of the legislature on the effectiveness and efficiency of the small employer health insurance partnership program, including the services and benefits covered under the purchased health benefit plans, consumer satisfaction, and other program operational issues.

NEW SECTION. Sec. 9. SMALL EMPLOYER HEALTH INSURANCE PARTNERSHIP PROGRAM ACCOUNT. The small employer health insurance partnership program account is hereby established in the custody of the state treasurer. Any nongeneral fund--state funds collected for the small employer health insurance partnership program shall be deposited in the small employer health insurance partnership program account. Moneys in the account shall be used exclusively for the purposes of administering the small employer health insurance partnership program, including payments to participating managed health care systems on behalf of small employer health insurance partnership enrollees. Only the administrator of the health care authority or his or her designee may authorize expenditures from the account. The account is subject to allotment procedures under chapter 43.88 RCW, but an appropriation is not required for expenditures.

NEW SECTION. Sec. 10. STATE CHILDREN'S HEALTH INSURANCE PROGRAM--FEDERAL WAIVER REQUEST. The department of social and health services shall submit a request to the federal department of health and human services by October 1, 2006, for a state children's health insurance program section 1115 demonstration waiver. The waiver request shall seek authorization from the federal government to draw down Washington state's unspent state children's health insurance program allotment to finance basic health plan coverage, as provided in chapter 70.47 RCW, for parents of children enrolled in medical assistance or the state children's health insurance program. The waiver also shall seek authorization from the federal government to utilize the resulting state savings to finance expanded basic health plan enrollment, or subsidies provided to low-wage workers through the small employer health insurance partnership program established in this chapter.

NEW SECTION. Sec. 11. The joint legislative audit and review committee shall conduct a program and fiscal review of the small employer health insurance partnership program and report their findings and recommendation to the appropriate committees of the legislature no later than December 1, 2009.

NEW SECTION. Sec. 12. Captions used in this act are not part of the law.

NEW SECTION. Sec. 13. Sections 1 through 10 and 12 of this act constitute a new chapter in Title 70 RCW."

                                                                                                                              On page 1, line 2 of the title, after "program;" strike the remainder of the title and insert "adding a new chapter to Title 70 RCW; and creating a new section."

                                                                                                                              The President declared the question before the Senate to be the motion by Senator Keiser to not adopt the committee striking amendment by the Committee on Health & Long-Term Care to Engrossed Second Substitute House Bill No. 2572.

                                                                                                                              The motion by Senator Keiser carried and the committee striking amendment was not adopted by voice vote.

MOTION

Senator Keiser moved that the following striking amendment by Senator Keiser be adopted.

                                                                                                                              Strike everything after the enacting clause and insert the following:

                                                                                                                              "NEW SECTION. Sec. 1. FINDINGS AND INTENT. (1) The legislature finds that many small employers struggle with the cost of providing employer-sponsored health insurance coverage to their employees, while others are unable to offer employer-sponsored health insurance due to its high cost. Low-wage workers also struggle with the burden of paying their share of the costs of employer-sponsored health insurance, while others turn down their employer's offer of coverage due to its costs.

                                                                                                                              (2) The legislature intends, through establishment of a small employer health insurance partnership program, to remove economic barriers to health insurance coverage for low-wage employees of small employers by building on the private sector health benefit plan system and encouraging employer and employee participation in employer-sponsored health benefit plan coverage.

                                                                                                                              NEW SECTION. Sec. 2. DEFINITIONS. The definitions in this section apply throughout this chapter unless the context clearly requires otherwise.

                                                                                                                              (1) "Administrator" means the administrator of the Washington state health care authority, established under chapter 41.05 RCW.

                                                                                                                              (2) "Eligible employee" means an individual who:

                                                                                                                              (a) Is a resident of the state of Washington;

                                                                                                                              (b) Has family income less than two hundred percent of the federal poverty level, as determined annually by the federal department of health and human services; and

                                                                                                                              (c) Is employed by a small employer.

                                                                                                                              (3) "Health benefit plan" has the same meaning as defined in RCW 48.43.005 or any plan provided by a self-funded multiple employer welfare arrangement as defined in RCW 48.125.010 or by a self-insured employer-sponsored health benefit arrangement under the federal employee retirement income security act of 1974, as amended.

                                                                                                                              (4) "Program" means the small employer health insurance partnership program established in section 3 of this act.

                                                                                                                              (5) "Small employer" has the same meaning as defined in RCW 48.43.005.

                                                                                                                              (6) "Subsidy" means payment or reimbursement to an eligible employee toward the purchase of a health benefit plan, and may include a net billing arrangement with insurance carriers or a prospective or retrospective payment for health benefit plan premiums.

                                                                                                                              NEW SECTION. Sec. 3. SMALL EMPLOYER HEALTH INSURANCE PARTNERSHIP PROGRAM ESTABLISHED. To the extent funding is appropriated in the operating budget for this purpose, the small employer health insurance partnership program is established. The administrator shall be responsible for the implementation and operation of the small employer health insurance partnership program, directly or by contract. The administrator shall offer premium subsidies to eligible employees under section 4 of this act.

NEW SECTION. Sec. 4. PREMIUM SUBSIDIES TO ELIGIBLE EMPLOYEES.

(1) Beginning July 1, 2007, the administrator shall accept applications from eligible employees, on behalf of themselves, their spouses, and their dependent children, to receive premium subsidies through the small employer health insurance partnership program.

(2) Premium subsidy payments may be provided to eligible employees if:

(a) The eligible employee is employed by a small employer;

(b) The health benefit plan to be subsidized has been certified by the office of the insurance commissioner as, by reason of cost or benefits, substantially equivalent to the basic health plan under chapter 70.47 RCW; and

(c) The small employer will pay at least forty percent of the monthly premium cost for health benefit plan coverage of the eligible employee.

(3) The amount of an eligible employee's premium subsidy shall be determined by applying the sliding scale subsidy schedule developed for subsidized basic health plan enrollees under RCW 70.47.060 to the employee's premium obligation for his or her employer's health benefit plan. However, in no case shall the amount of an eligible employee's monthly premium subsidy exceed the amount he or she would have received as a basic health plan enrollee.

(4) After an eligible individual has enrolled in the program, the program shall issue subsidies in an amount determined pursuant to subsection (3) of this section to either the eligible employee or to the carrier designated by the eligible employee.

(5) An eligible employee must agree to provide verification of continued enrollment in his or her small employer's health benefit plan on a semiannual basis or to notify the administrator whenever his or her enrollment status changes, whichever is earlier. Verification or notification may be made directly by the employee, or through his or her employer or the carrier providing the small employer health benefit plan. When necessary, the administrator has the authority to perform retrospective audits on premium subsidy accounts. The administrator may suspend or terminate an employee's participation in the program and seek repayment of any subsidy amounts paid due to the omission or misrepresentation of an applicant or enrolled employee. The administrator shall adopt rules to define the appropriate application of these sanctions and the processes to implement the sanctions provided in this subsection, within available resources.

NEW SECTION. Sec. 5. ENROLLMENT LIMITS TO REMAIN WITHIN APPROPRIATION. Enrollment in the small employer health insurance partnership program is not an entitlement and shall not result in expenditures that exceed the amount that has been appropriated for the program in the operating budget. If it appears that continued enrollment will result in expenditures exceeding the appropriated level for a particular fiscal year, the administrator may freeze new enrollment in the program and establish a waiting list of eligible employees who shall receive subsidies only when sufficient funds are available.

NEW SECTION. Sec. 6. COLLABORATION WITH COMMUNITY ORGANIZATIONS. In implementing the small employer health insurance partnership program, the administrator shall work with organizations awarded grants through the community health care collaborative grant program established under Engrossed Second Substitute Senate Bill No. 6459, if enacted. The administrator may use funds appropriated for the small employer health insurance partnership program to enhance a grant otherwise awarded to a community-based organization. The grant enhancement shall be used by the organization specifically to provide a premium subsidy to eligible employees within the geographic region it serves.

                                                                                                                              NEW SECTION. Sec. 7. RULES. The administrator shall adopt all rules necessary for the implementation and operation of the small employer health insurance partnership program. As part of the rule development process, the administrator shall consult with small employers, carriers, employee organizations, and the office of the insurance commissioner under Title 48 RCW to determine an effective and efficient method for the payment of subsidies under this chapter, including methods for electronic funds transfers of the subsidy. All rules shall be adopted in accordance with chapter 34.05 RCW.

                                                                                                                              NEW SECTION. Sec. 8. REPORTS TO THE LEGISLATURE. The administrator shall report biennially to the relevant policy and fiscal committees of the legislature on the effectiveness and efficiency of the small employer health insurance partnership program, including the services and benefits covered under the purchased health benefit plans, consumer satisfaction, and other program operational issues.

                                                                                                                              NEW SECTION. Sec. 9. STATE CHILDREN'S HEALTH INSURANCE PROGRAM--FEDERAL WAIVER REQUEST. The department of social and health services shall submit a request to the federal department of health and human services by October 1, 2006, for a state children's health insurance program section 1115 demonstration waiver. The waiver request shall seek authorization from the federal government to draw down Washington state's unspent state children's health insurance program allotment to finance basic health plan coverage, as provided in chapter 70.47 RCW, for parents of children enrolled in medical assistance or the state children's health insurance program. The waiver also shall seek authorization from the federal government to utilize the resulting state savings to finance expanded basic health plan enrollment, or subsidies provided to low-wage workers through the small employer health insurance partnership program established in this chapter.

                                                                                                                              NEW SECTION. Sec. 10. The joint legislative audit and review committee shall conduct a program and fiscal review of the small employer health insurance partnership program and report their findings and recommendation to the appropriate committees of the legislature no later than November, 2009. The review shall include an assessment of at least the following issues:

                                                                                                                              (1) The extent to which eligible employees' employers were providing health insurance coverage prior to their entry into the program, and whether their employer modified their contribution to health plan premium costs or the scope of coverage provided prior to the employee's entry into the program;

                                                                                                                              (2) The extent to which eligible employees are employed by an employer who began providing health insurance coverage to its employees due at least in part to the availability of the program;

                                                                                                                              (3) The average percentage and dollar amount of employer contributions to premiums for eligible employees and dependents participating in the program;

                                                                                                                              (4) The scope of covered benefits and the cost of employer sponsored health plans being subsidized through the program; and

                                                                                                                              (5) The amount of the state premium subsidy per participating employee and their dependents, in comparison to the cost that the state would have incurred if the eligible employees and their dependents were enrolled in the basic health plan.

NEW SECTION. Sec. 11. Captions used in this act are not part of the law.

NEW SECTION. Sec. 12. Sections 1 through 9 and 11 of this act constitute a new chapter in Title 70 RCW."

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

MOTION

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

On page 1, line 9, after "costs." insert "A small employer health insurance program that provides subsidies for employers who want to purchase one type of insurance and allows other employers to choose more kinds of low-cost insurance products would help more small employers provide health insurance for their employees."

On page 5, after line 25, insert the following:

"Sec. 13. RCW 48.21.045 and 2004 c 244 s 1 are each amended to read as follows:

(1)(((a))) An insurer offering any health benefit plan to a small employer, either directly or through an association or member-governed group formed specifically for the purpose of purchasing health care, may offer and actively market to the small employer ((a)) no more than one health benefit plan featuring a limited schedule of covered health care services. ((Nothing in this subsection shall preclude an insurer from offering, or a small employer from purchasing, other health benefit plans that may have more comprehensive benefits than those included in the product offered under this subsection. An insurer offering a health benefit plan under this subsection shall clearly disclose all covered benefits to the small employer in a brochure filed with the commissioner.

(b) A health benefit plan offered under this subsection shall provide coverage for hospital expenses and services rendered by a physician licensed under chapter 18.57 or 18.71 RCW but is not subject to the requirements of RCW 48.21.130, 48.21.140, 48.21.141, 48.21.142, 48.21.144, 48.21.146, 48.21.160 through 48.21.197, 48.21.200, 48.21.220, 48.21.225, 48.21.230, 48.21.235, 48.21.240, 48.21.244, 48.21.250, 48.21.300, 48.21.310, or 48.21.320.

(2))) (a) The plan offered under this subsection may be offered with a choice of cost-sharing arrangements, and may, but is not required to, comply with: RCW 48.21.130 through 48.21.240, 48.21.244 through 48.21.280, 48.21.300 through 48.21.320, 48.43.045(1) except as required in (b) of this subsection, 48.43.093, 48.43.115 through 48.43.185, 48.43.515(5), or 48.42.100.

(b) In offering the plan under this subsection, the insurer must offer the small employer the option of permitting every category of health care provider to provide health services or care for conditions covered by the plan pursuant to RCW 48.43.045(1).

(2) An insurer offering the plan under subsection (1) of this section must also offer and actively market to the small employer at least one additional health benefit plan.

(3) Nothing in this section shall prohibit an insurer from offering, or a purchaser from seeking, health benefit plans with benefits in excess of the health benefit plan offered under subsection (1) of this section. All forms, policies, and contracts shall be submitted for approval to the commissioner, and the rates of any plan offered under this section shall be reasonable in relation to the benefits thereto.

                                                                                                                              (((3))) (4) Premium rates for health benefit plans for small employers as defined in this section shall be subject to the following provisions:

                                                                                                                              (a) The insurer shall develop its rates based on an adjusted community rate and may only vary the adjusted community rate for:

                                                                                                                              (i) Geographic area;

                                                                                                                              (ii) Family size;

                                                                                                                              (iii) Age; and

                                                                                                                              (iv) Wellness activities.

                                                                                                                              (b) The adjustment for age in (a)(iii) of this subsection may not use age brackets smaller than five-year increments, which shall begin with age twenty and end with age sixty-five. Employees under the age of twenty shall be treated as those age twenty.

                                                                                                                              (c) The insurer shall be permitted to develop separate rates for individuals age sixty-five or older for coverage for which medicare is the primary payer and coverage for which medicare is not the primary payer. Both rates shall be subject to the requirements of this subsection (((3))) (4).

                                                                                                                              (d) The permitted rates for any age group shall be no more than four hundred twenty-five percent of the lowest rate for all age groups on January 1, 1996, four hundred percent on January 1, 1997, and three hundred seventy-five percent on January 1, 2000, and thereafter.

                                                                                                                              (e) A discount for wellness activities shall be permitted to reflect actuarially justified differences in utilization or cost attributed to such programs.

                                                                                                                              (f) The rate charged for a health benefit plan offered under this section may not be adjusted more frequently than annually except that the premium may be changed to reflect:

                                                                                                                              (i) Changes to the enrollment of the small employer;

                                                                                                                              (ii) Changes to the family composition of the employee;

                                                                                                                              (iii) Changes to the health benefit plan requested by the small employer; or

                                                                                                                              (iv) Changes in government requirements affecting the health benefit plan.

                                                                                                                              (g) Rating factors shall produce premiums for identical groups that differ only by the amounts attributable to plan design, with the exception of discounts for health improvement programs.

                                                                                                                              (h) For the purposes of this section, a health benefit plan that contains a restricted network provision shall not be considered similar coverage to a health benefit plan that does not contain such a provision, provided that the restrictions of benefits to network providers result in substantial differences in claims costs. A carrier may develop its rates based on claims costs ((due to network provider reimbursement schedules or type of network)) for a plan. This subsection does not restrict or enhance the portability of benefits as provided in RCW 48.43.015.

                                                                                                                              (i) Except for small group health benefit plans that qualify as insurance coverage combined with a health savings account as defined by the United States internal revenue service, adjusted community rates established under this section shall pool the medical experience of all small groups purchasing coverage. However, annual rate adjustments for each small group health benefit plan may vary by up to plus or minus ((four)) eight percentage points from the overall adjustment of a carrier's entire small group pool((, such overall adjustment to be approved by the commissioner, upon a showing by the carrier, certified by a member of the American academy of actuaries that: (i) The variation is a result of deductible leverage, benefit design, or provider network characteristics; and (ii) for a rate renewal period, the projected weighted average of all small group benefit plans will have a revenue neutral effect on the carrier's small group pool. Variations of greater than four percentage points are subject to review by the commissioner, and must be approved or denied within sixty days of submittal)) if certified by a member of the American academy of actuaries, that: (i) The variation is a result of deductible leverage, benefit design, claims cost trend for the plan, or provider network characteristics; and (ii) for a rate renewal period, the projected weighted average of all small group benefit plans will have a revenue neutral effect on the carrier's small group pool. Variations of greater than eight percentage points are subject to review by the commissioner, and must be approved or denied within thirty days of submittal. A variation that is not denied within ((sixty)) thirty days shall be deemed approved. The commissioner must provide to the carrier a detailed actuarial justification for any denial ((within thirty days)) at the time of the denial.

(((4))) (5) Nothing in this section shall restrict the right of employees to collectively bargain for insurance providing benefits in excess of those provided herein.

(((5))) (6)(a) Except as provided in this subsection, requirements used by an insurer in determining whether to provide coverage to a small employer shall be applied uniformly among all small employers applying for coverage or receiving coverage from the carrier.

(b) An insurer shall not require a minimum participation level greater than:

(i) One hundred percent of eligible employees working for groups with three or less employees; and

(ii) Seventy-five percent of eligible employees working for groups with more than three employees.

(c) In applying minimum participation requirements with respect to a small employer, a small employer shall not consider employees or dependents who have similar existing coverage in determining whether the applicable percentage of participation is met.

(d) An insurer may not increase any requirement for minimum employee participation or modify any requirement for minimum employer contribution applicable to a small employer at any time after the small employer has been accepted for coverage.

(((6))) (7) An insurer must offer coverage to all eligible employees of a small employer and their dependents. An insurer may not offer coverage to only certain individuals or dependents in a small employer group or to only part of the group. An insurer may not modify a health plan with respect to a small employer or any eligible employee or dependent, through riders, endorsements or otherwise, to restrict or exclude coverage or benefits for specific diseases, medical conditions, or services otherwise covered by the plan.

(((7))) (8) As used in this section, "health benefit plan," "small employer," "adjusted community rate," and "wellness activities" mean the same as defined in RCW 48.43.005.

Sec. 14. RCW 48.44.023 and 2004 c 244 s 7 are each amended to read as follows:

(1)(((a))) A health care services contractor offering any health benefit plan to a small employer, either directly or through an association or member-governed group formed specifically for the purpose of purchasing health care, may offer and actively market to the small employer ((a)) no more than one health benefit plan featuring a limited schedule of covered health care services. ((Nothing in this subsection shall preclude a contractor from offering, or a small employer from purchasing, other health benefit plans that may have more comprehensive benefits than those included in the product offered under this subsection. A contractor offering a health benefit plan under this subsection shall clearly disclose all covered benefits to the small employer in a brochure filed with the commissioner.

                                                                                                                              (b) A health benefit plan offered under this subsection shall provide coverage for hospital expenses and services rendered by a physician licensed under chapter 18.57 or 18.71 RCW but is not subject to the requirements of RCW 48.44.225, 48.44.240, 48.44.245, 48.44.290, 48.44.300, 48.44.310, 48.44.320, 48.44.325, 48.44.330, 48.44.335, 48.44.340, 48.44.344, 48.44.360, 48.44.400, 48.44.440, 48.44.450, and 48.44.460.

                                                                                                                              (2))) (a) The plan offered under this subsection may be offered with a choice of cost-sharing arrangements, and may, but is not required to, comply with: RCW 48.44.210, 48.44.212, 48.44.225, 48.44.240 through 48.44.245, 48.44.290 through 48.44.340, 48.44.344, 48.44.360 through 48.44.380, 48.44.400, 48.44.420, 48.44.440 through 48.44.460, 48.44.500, 48.43.045(1) except as required in (b) of this subsection, 48.43.093, 48.43.115 through 48.43.185, 48.43.515(5), or 48.42.100.

                                                                                                                              (b) In offering the plan under this subsection, the health care service contractor must offer the small employer the option of permitting every category of health care provider to provide health services or care for conditions covered by the plan pursuant to RCW 48.43.045(1).

                                                                                                                              (2) A health care service contractor offering the plan under subsection (1) of this section must also offer and actively market to the small employer at least one additional health benefit plan.

                                                                                                                              (3) Nothing in this section shall prohibit a health care service contractor from offering, or a purchaser from seeking, health benefit plans with benefits in excess of the health benefit plan offered under subsection (1) of this section. All forms, policies, and contracts shall be submitted for approval to the commissioner, and the rates of any plan offered under this section shall be reasonable in relation to the benefits thereto.

                                                                                                                              (((3))) (4) Premium rates for health benefit plans for small employers as defined in this section shall be subject to the following provisions:

                                                                                                                              (a) The contractor shall develop its rates based on an adjusted community rate and may only vary the adjusted community rate for:

                                                                                                                              (i) Geographic area;

                                                                                                                              (ii) Family size;

                                                                                                                              (iii) Age; and

                                                                                                                              (iv) Wellness activities.

                                                                                                                              (b) The adjustment for age in (a)(iii) of this subsection may not use age brackets smaller than five-year increments, which shall begin with age twenty and end with age sixty-five. Employees under the age of twenty shall be treated as those age twenty.

                                                                                                                              (c) The contractor shall be permitted to develop separate rates for individuals age sixty-five or older for coverage for which medicare is the primary payer and coverage for which medicare is not the primary payer. Both rates shall be subject to the requirements of this subsection (((3))) (4).

                                                                                                                              (d) The permitted rates for any age group shall be no more than four hundred twenty-five percent of the lowest rate for all age groups on January 1, 1996, four hundred percent on January 1, 1997, and three hundred seventy-five percent on January 1, 2000, and thereafter.

                                                                                                                              (e) A discount for wellness activities shall be permitted to reflect actuarially justified differences in utilization or cost attributed to such programs.

                                                                                                                              (f) The rate charged for a health benefit plan offered under this section may not be adjusted more frequently than annually except that the premium may be changed to reflect:

(i) Changes to the enrollment of the small employer;

(ii) Changes to the family composition of the employee;

(iii) Changes to the health benefit plan requested by the small employer; or

(iv) Changes in government requirements affecting the health benefit plan.

(g) Rating factors shall produce premiums for identical groups that differ only by the amounts attributable to plan design, with the exception of discounts for health improvement programs.

(h) For the purposes of this section, a health benefit plan that contains a restricted network provision shall not be considered similar coverage to a health benefit plan that does not contain such a provision, provided that the restrictions of benefits to network providers result in substantial differences in claims costs. A carrier may develop its rates based on claims costs ((due to network provider reimbursement schedules or type of network)) for a plan. This subsection does not restrict or enhance the portability of benefits as provided in RCW 48.43.015.

(i) Except for small group health benefit plans that qualify as insurance coverage combined with a health savings account as defined by the United States internal revenue service, adjusted community rates established under this section shall pool the medical experience of all groups purchasing coverage. However, annual rate adjustments for each small group health benefit plan may vary by up to plus or minus ((four)) eight percentage points from the overall adjustment of a carrier's entire small group pool((, such overall adjustment to be approved by the commissioner, upon a showing by the carrier, certified by a member of the American academy of actuaries that: (i) The variation is a result of deductible leverage, benefit design, or provider network characteristics; and (ii) for a rate renewal period, the projected weighted average of all small group benefit plans will have a revenue neutral effect on the carrier's small group pool. Variations of greater than four percentage points are subject to review by the commissioner, and must be approved or denied within sixty days of submittal)) if certified by a member of the American academy of actuaries, that: (i) The variation is a result of deductible leverage, benefit design, claims cost trend for the plan, or provider network characteristics; and (ii) for a rate renewal period, the projected weighted average of all small group benefit plans will have a revenue neutral effect on the carrier's small group pool. Variations of greater than eight percentage points are subject to review by the commissioner, and must be approved or denied within thirty days of submittal. A variation that is not denied within ((sixty)) thirty days shall be deemed approved. The commissioner must provide to the carrier a detailed actuarial justification for any denial ((within thirty days)) at the time of the denial.

(((4))) (5) Nothing in this section shall restrict the right of employees to collectively bargain for insurance providing benefits in excess of those provided herein.

(((5))) (6)(a) Except as provided in this subsection, requirements used by a contractor in determining whether to provide coverage to a small employer shall be applied uniformly among all small employers applying for coverage or receiving coverage from the carrier.

(b) A contractor shall not require a minimum participation level greater than:

(i) One hundred percent of eligible employees working for groups with three or less employees; and

                                                                                                                              (ii) Seventy-five percent of eligible employees working for groups with more than three employees.

                                                                                                                              (c) In applying minimum participation requirements with respect to a small employer, a small employer shall not consider employees or dependents who have similar existing coverage in determining whether the applicable percentage of participation is met.

                                                                                                                              (d) A contractor may not increase any requirement for minimum employee participation or modify any requirement for minimum employer contribution applicable to a small employer at any time after the small employer has been accepted for coverage.

                                                                                                                              (((6))) (7) A contractor must offer coverage to all eligible employees of a small employer and their dependents. A contractor may not offer coverage to only certain individuals or dependents in a small employer group or to only part of the group. A contractor may not modify a health plan with respect to a small employer or any eligible employee or dependent, through riders, endorsements or otherwise, to restrict or exclude coverage or benefits for specific diseases, medical conditions, or services otherwise covered by the plan.

                                                                                                                              Sec. 15. RCW 48.46.066 and 2004 c 244 s 9 are each amended to read as follows:

                                                                                                                              (1)(((a))) A health maintenance organization offering any health benefit plan to a small employer, either directly or through an association or member-governed group formed specifically for the purpose of purchasing health care, may offer and actively market to the small employer ((a)) no more than one health benefit plan featuring a limited schedule of covered health care services. ((Nothing in this subsection shall preclude a health maintenance organization from offering, or a small employer from purchasing, other health benefit plans that may have more comprehensive benefits than those included in the product offered under this subsection. A health maintenance organization offering a health benefit plan under this subsection shall clearly disclose all the covered benefits to the small employer in a brochure filed with the commissioner.

                                                                                                                              (b) A health benefit plan offered under this subsection shall provide coverage for hospital expenses and services rendered by a physician licensed under chapter 18.57 or 18.71 RCW but is not subject to the requirements of RCW 48.46.275, 48.46.280, 48.46.285, 48.46.290, 48.46.350, 48.46.355, 48.46.375, 48.46.440, 48.46.480, 48.46.510, 48.46.520, and 48.46.530.

                                                                                                                              (2))) (a) The plan offered under this subsection may be offered with a choice of cost-sharing arrangements, and may, but is not required to, comply with: RCW 48.46.250, 48.46.272 through 48.46.290, 48.46.320, 48.46.350, 48.46.375, 48.46.440 through 48.46.460, 48.46.480, 48.46.490, 48.46.510, 48.46.520, 48.46.530, 48.46.565, 48.46.570, 48.46.575, 48.43.045(1) except as required in (b) of this subsection, 48.43.093, 48.43.115 through 48.43.185, 48.43.515(5), or 48.42.100.

                                                                                                                              (b) In offering the plan under this subsection, the health maintenance organization must offer the small employer the option of permitting every category of health care provider to provide health services or care for conditions covered by the plan pursuant to RCW 48.43.045(1).

                                                                                                                              (2) A health maintenance organization offering the plan under subsection (1) of this section must also offer and actively market to the small employer at least one additional health benefit plan.

                                                                                                                              (3) Nothing in this section shall prohibit a health maintenance organization from offering, or a purchaser from seeking, health benefit plans with benefits in excess of the health benefit plan offered under subsection (1) of this section. All forms, policies, and contracts shall be submitted for approval to the commissioner, and the rates of any plan offered under this section shall be reasonable in relation to the benefits thereto.

(((3))) (4) Premium rates for health benefit plans for small employers as defined in this section shall be subject to the following provisions:

(a) The health maintenance organization shall develop its rates based on an adjusted community rate and may only vary the adjusted community rate for:

(i) Geographic area;

(ii) Family size;

(iii) Age; and

(iv) Wellness activities.

(b) The adjustment for age in (a)(iii) of this subsection may not use age brackets smaller than five-year increments, which shall begin with age twenty and end with age sixty-five. Employees under the age of twenty shall be treated as those age twenty.

(c) The health maintenance organization shall be permitted to develop separate rates for individuals age sixty-five or older for coverage for which medicare is the primary payer and coverage for which medicare is not the primary payer. Both rates shall be subject to the requirements of this subsection (((3))) (4).

(d) The permitted rates for any age group shall be no more than four hundred twenty-five percent of the lowest rate for all age groups on January 1, 1996, four hundred percent on January 1, 1997, and three hundred seventy-five percent on January 1, 2000, and thereafter.

(e) A discount for wellness activities shall be permitted to reflect actuarially justified differences in utilization or cost attributed to such programs.

(f) The rate charged for a health benefit plan offered under this section may not be adjusted more frequently than annually except that the premium may be changed to reflect:

(i) Changes to the enrollment of the small employer;

(ii) Changes to the family composition of the employee;

(iii) Changes to the health benefit plan requested by the small employer; or

(iv) Changes in government requirements affecting the health benefit plan.

(g) Rating factors shall produce premiums for identical groups that differ only by the amounts attributable to plan design, with the exception of discounts for health improvement programs.

(h) For the purposes of this section, a health benefit plan that contains a restricted network provision shall not be considered similar coverage to a health benefit plan that does not contain such a provision, provided that the restrictions of benefits to network providers result in substantial differences in claims costs. A carrier may develop its rates based on claims costs ((due to network provider reimbursement schedules or type of network)) for a plan. This subsection does not restrict or enhance the portability of benefits as provided in RCW 48.43.015.

(i) Except for small group health benefit plans that qualify as insurance coverage combined with a health savings account as defined by the United States internal revenue service, adjusted community rates established under this section shall pool the medical experience of all groups purchasing coverage. However, annual rate adjustments for each small group health benefit plan may vary by up to plus or minus ((four)) eight percentage points from the overall adjustment of a carrier's entire small group pool((, such overall adjustment to be approved by the commissioner, upon a showing by the carrier, certified by a member of the American academy of actuaries that: (i) The variation is a result of deductible leverage, benefit design, or provider network characteristics; and (ii) for a rate renewal period, the projected weighted average of all small group benefit plans will have a revenue neutral effect on the carrier's small group pool. Variations of greater than four percentage points are subject to review by the commissioner, and must be approved or denied within sixty days of submittal)) if certified by a member of the American academy of actuaries, that: (i) The variation is a result of deductible leverage, benefit design, claims cost trend for the plan, or provider network characteristics; and (ii) for a rate renewal period, the projected weighted average of all small group benefit plans will have a revenue neutral effect on the health maintenance organization's small group pool. Variations of greater than eight percentage points are subject to review by the commissioner, and must be approved or denied within thirty days of submittal. A variation that is not denied within ((sixty)) thirty days shall be deemed approved. The commissioner must provide to the carrier a detailed actuarial justification for any denial ((within thirty days)) at the time of the denial.

                                                                                                                              (((4))) (5) Nothing in this section shall restrict the right of employees to collectively bargain for insurance providing benefits in excess of those provided herein.

                                                                                                                              (((5))) (6)(a) Except as provided in this subsection, requirements used by a health maintenance organization in determining whether to provide coverage to a small employer shall be applied uniformly among all small employers applying for coverage or receiving coverage from the carrier.

                                                                                                                              (b) A health maintenance organization shall not require a minimum participation level greater than:

                                                                                                                              (i) One hundred percent of eligible employees working for groups with three or less employees; and

                                                                                                                              (ii) Seventy-five percent of eligible employees working for groups with more than three employees.

                                                                                                                              (c) In applying minimum participation requirements with respect to a small employer, a small employer shall not consider employees or dependents who have similar existing coverage in determining whether the applicable percentage of participation is met.

                                                                                                                              (d) A health maintenance organization may not increase any requirement for minimum employee participation or modify any requirement for minimum employer contribution applicable to a small employer at any time after the small employer has been accepted for coverage.

                                                                                                                              (((6))) (7) A health maintenance organization must offer coverage to all eligible employees of a small employer and their dependents. A health maintenance organization may not offer coverage to only certain individuals or dependents in a small employer group or to only part of the group. A health maintenance organization may not modify a health plan with respect to a small employer or any eligible employee or dependent, through riders, endorsements or otherwise, to restrict or exclude coverage or benefits for specific diseases, medical conditions, or services otherwise covered by the plan."

                                                                                                                              Renumber the sections consecutively and correct any internal references accordingly.

                                                                                                                              Senators Parlette and Pflug spoke in favor of adoption of the amendment to the striking amendment.

                                                                                                                              Senators Thibaudeau and Keiser spoke against adoption of the amendment to 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 amendment by Senator Parlette on page 1, line 9 to the striking amendment to Engrossed Second Substitute House Bill No. 2572.

ROLL CALL

The Secretary called the roll on the adoption of the amendment by Senator Parlette to the striking amendment and the amendment was adopted by the following vote: Yeas, 27; Nays, 21; Absent, 0; Excused, 1.

Voting yea: Senators Benson, Benton, Brandland, Carrell, Deccio, Delvin, Eide, Esser, Finkbeiner, Hargrove, Hewitt, Honeyford, Johnson, Kastama, McCaslin, Morton, Mulliken, Parlette, Pflug, Roach, Schmidt, Schoesler, Sheldon, Shin, Stevens, Swecker and Zarelli - 27.

Voting nay: Senators Berkey, Brown, Doumit, Fairley, Franklin, Fraser, Haugen, Jacobsen, Keiser, Kline, Kohl-Welles, McAuliffe, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Rockefeller, Spanel, Thibaudeau and Weinstein - 21.

Excused: Senator Oke - 1.

MOTION

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

On page 2, line 16 of the amendment, after "act" insert ", or subsidies to fund a health savings account under section 5 of this act"

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

"NEW SECTION. Sec. 4. HEALTH SAVINGS ACCOUNT SUBSIDIES TO ELIGIBLE EMPLOYEES. (1) Beginning July 1, 2007, the administrator shall accept applications from eligible employees, on behalf of themselves, their spouses, and their dependent children, to receive subsidies to fund a health savings account through the small employer health insurance partnership program.

(2) Health savings account subsidy payments may be provided to eligible employees if:

(a) The eligible employee is employed by a small employer; and

(b) The eligible employee participates in an employer sponsored high deductible health plan and health savings account that conforms to section 223, Part VII of subchapter B of chapter 1 of the internal revenue code of 1986.

(3) The amount of an eligible employee's health savings account subsidy shall be determined by the legislature in the biennial operating budget.

(4) After an eligible individual has enrolled in the program, the program shall issue subsidies in an amount determined pursuant to subsection (3) of this section to either the eligible employee or to the carrier designated by the eligible employee.

(5) An eligible employee must agree to provide verification of continued enrollment in his or her small employer's health benefit plan on a semiannual basis or to notify the administrator whenever his or her enrollment status changes, whichever is earlier. Verification or notification may be made directly by the employee, or through his or her employer or the carrier providing the small employer health benefit plan. When necessary, the administrator has the authority to perform retrospective audits on health savings account subsidy accounts. The administrator may suspend or terminate an employee's participation in the program and seek repayment of any subsidy amounts paid due to the omission or misrepresentation of an applicant or enrolled employee. The administrator shall adopt rules to define the appropriate application of these sanctions and the processes to implement the sanctions provided in this subsection, within available resources."

                                                                                                                              Renumber the remaining sections consecutively and correct internal references accordingly.

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

                                                                                                                              Senator Keiser spoke against adoption of the amendment to 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 amendment by Senator Deccio on page 2, line 16 to the striking amendment Engrossed Second Substitute House Bill No. 2572.

ROLL CALL

                                                                                                                              The Secretary called the roll on the adoption of the amendment by Senator Deccio to the striking amendment and the amendment was adopted by the following vote: Yeas, 32; Nays, 16; Absent, 0; Excused, 1.

                                                                                                                              Voting yea: Senators Benson, Benton, Brandland, Carrell, Deccio, Delvin, Doumit, Eide, Esser, Finkbeiner, Hargrove, Hewitt, Honeyford, Johnson, Kastama, McCaslin, Morton, Mulliken, Parlette, Pflug, Poulsen, Prentice, Rasmussen, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Stevens, Swecker, Weinstein and Zarelli- 32.

                                                                                                                              Voting nay: Senators Berkey, Brown, Fairley, Franklin, Fraser, Haugen, Jacobsen, Keiser, Kline, Kohl-Welles, McAuliffe, Pridemore, Regala, Shin, Spanel and Thibaudeau - 16.

                                                                                                                              Excused: Senator Oke - 1.

MOTION

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

                                                                                                                              On page 2, line 16 of the amendment, after "4 of this act" insert "or a business and occupation tax deduction under section 5 of this act"

                                                                                                                              On page 3, after line 20 of the amendment, insert the following:

                                                                                                                              "NEW SECTION. Sec. 5. 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 the amount paid by small employers to provide health care services for its employees. Payments made by employees are not eligible for deduction under this subsection.

                                                                                                                              (2) For the purposes of this section, the following definitions apply:

                                                                                                                              (a) "Small employer" has the meaning provided in RCW 48.43.005;

                                                                                                                              (b) "Health care services" means a health benefit plan as defined in RCW 48.43.005, contributions to health savings accounts as defined by the United States internal revenue service, or other health care services purchased by the small employer for its employees."

                                                                                                                              Renumber the remaining sections consecutively and correct internal references accordingly.

                                                                                                                              On page 5, after line 25 of the amendment, insert the following:

                                                                                                                              "NEW SECTION. Sec. 13. Section 5 of this act takes effect July 1, 2006."

                                                                                                                              Senators Parlette and Deccio spoke in favor of adoption of the amendment to the striking amendment.

MOTION

On motion of Senator Keiser, further consideration of Engrossed Second Substitute House Bill No. 2572 be deferred and the bill hold its place on the second reading calendar.

Senator Esser spoke against the motion.

The President declared the question before the Senate to be the motion by Senator Keiser to defer further consideration of Engrossed Second Substitute House Bill No. 2572.

The motion by Senator Keiser failed by voice vote.

The President declared the question before the Senate to be the adoption of the amendment by Senator Parlette on page 2, line 16 to the striking amendment to Engrossed Second Substitute House Bill No. 2572.

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

MOTION

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

On page 2, beginning at line 24, after "employer;" strike all material through "RCW" on line 28.

Renumber the sections consecutively and correct any internal references accordingly.

Senator Parlette spoke in favor of 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 Parlette on page 2, line 24 to the striking amendment to Engrossed Second Substitute House Bill No. 2572.

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

The President declared the question before the Senate to be the adoption of the striking amendment as amended to Engrossed Second Substitute House Bill No. 2572.

The motion by Senator Keiser carried and the striking amendment as amended was adopted by voice vote.

MOTION

There being no objection, the following title amendments were adopted:

On page 1, line 2 of the title, after "program;" strike the remainder of the title and insert "adding a new chapter to Title 70 RCW; and creating a new section."

On page 1, line 2 of the title, after "RCW;", strike the remainder of the title and insert "amending RCW 48.21.045, RCW 48.44.023, and 48.46.066; and creating a new section."

On page 1, line 2 of the title, after "RCW;", strike the remainder of the title and insert "adding a new section to chapter 82.04 RCW; and creating a new section."

MOTION

On motion of Senator Keiser, the rules were suspended, Engrossed Second Substitute House Bill No. 2572 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 Keiser, Deccio, Parlette, Pflug and Zarelli spoke in favor of passage of the bill.

                                                                                                                              Senator Thibaudeau spoke on final passage of the bill.

                                                                                                                              The President declared the question before the Senate to be the final passage of Engrossed Second Substitute House Bill No. 2572 as amended by the Senate.

ROLL CALL

                                                                                                                              The Secretary called the roll on the final passage of Engrossed Second Substitute House Bill No. 2572 as amended by the Senate and the bill passed the Senate by the following vote: Yeas, 42; Nays, 5; Absent, 1; Excused, 1.

                                                                                                                              Voting yea: Senators Benson, Benton, Berkey, Brandland, Carrell, Deccio, Delvin, Doumit, Eide, Esser, Fairley, Finkbeiner, Franklin, Fraser, Hargrove, Haugen, Hewitt, Honeyford, Jacobsen, Johnson, Kastama, Keiser, McAuliffe, McCaslin, Morton, Mulliken, Parlette, Pflug, Poulsen, Prentice, Rasmussen, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Weinstein and Zarelli - 42

                                                                                                                              Voting nay: Senators Kline, Kohl-Welles, Pridemore, Regala and Thibaudeau - 5

                                                                                                                              Absent: Senator Brown - 1

                                                                                                                              Excused: Senator Oke - 1

                                                                                                                              ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 2572 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.

SECOND READING

                                                                                                                              SUBSTITUTE HOUSE BILL NO. 2973, by House Committee on Education (originally sponsored by Representatives Priest, Ormsby, Kenney, Kagi, Hasegawa, P. Sullivan, Moeller, Santos and Springer)

                                                                                                                              Creating a career and technical high school graduation option for students meeting state standards in fundamental academic content areas.

                                                                                                                              The measure was read the second time.

MOTION

                                                                                                                              Senator McAuliffe moved that the following committee striking amendment by the Committee on Early Learning, K-12 & Higher Education be not adopted.

                                                                                                                              Strike everything after the enacting clause and insert the following:

                                                                                                                              "NEW SECTION. Sec. 1. (1) The legislature finds that Washington's performance-based education system should seek to provide fundamental academic knowledge and skills for all students, and to provide the opportunity for students to acquire knowledge and skills likely to contribute to their own economic well-being and that of their families and communities.

                                                                                                                              (2) The legislature recognizes that career and technical options are available for students.

                                                                                                                              (3) High schools or school districts should take advantage of their opportunity to offer course credits, including credits toward graduation requirements, for knowledge and skills in fundamental academic content areas that students gain in career and technical education courses.

(4) Therefore the legislature intends to create a rigorous and high quality career and technical high school alternative assessment that assures students meet state standards, and also reflects nationally recognized standards for the knowledge and skills needed to pursue employment and careers in technical fields.

NEW SECTION. Sec. 2. A new section is added to chapter 28A.230 RCW to read as follows:

(1) Each high school or school district board of directors shall adopt course equivalencies for career and technical high school courses offered to students at the high school. A career and technical course equivalency may be for whole or partial credit. Each school district board of directors shall develop a course equivalency approval procedure.

(2) Career and technical courses determined to be equivalent to academic core courses, in full or in part, by the high school or school district shall be accepted as meeting core requirements, including graduation requirements, if the courses are recorded on the student's transcript using the equivalent academic high school department designation and title. Full or partial credit shall be recorded as appropriate.

Sec. 3. RCW 28A.230.090 and 2005 c 205 s 3 are each amended to read as follows:

(1) The state board of education shall establish high school graduation requirements or equivalencies for students, except those equivalencies established by local high schools or school districts under section 2 of this act.

(a) Any course in Washington state history and government used to fulfill high school graduation requirements shall consider including information on the culture, history, and government of the American Indian peoples who were the first inhabitants of the state.

(b) The certificate of academic achievement requirements under RCW 28A.655.061 or the certificate of individual achievement requirements under RCW 28A.155.045 are required for graduation from a public high school but are not the only requirements for graduation.

(c) Any decision on whether a student has met the state board's high school graduation requirements for a high school and beyond plan shall remain at the local level.

(2) In recognition of the statutory authority of the state board of education to establish and enforce minimum high school graduation requirements, the state board shall periodically reevaluate the graduation requirements and shall report such findings to the legislature in a timely manner as determined by the state board.

(3) Pursuant to any requirement for instruction in languages other than English established by the state board of education or a local school district, or both, for purposes of high school graduation, students who receive instruction in American sign language or one or more American Indian languages shall be considered to have satisfied the state or local school district graduation requirement for instruction in one or more languages other than English.

(4) If requested by the student and his or her family, a student who has completed high school courses before attending high school shall be given high school credit which shall be applied to fulfilling high school graduation requirements if:

(a) The course was taken with high school students, if the academic level of the course exceeds the requirements for seventh and eighth grade classes, and the student has successfully passed by completing the same course requirements and examinations as the high school students enrolled in the class; or

                                                                                                                              (b) The academic level of the course exceeds the requirements for seventh and eighth grade classes and the course would qualify for high school credit, because the course is similar or equivalent to a course offered at a high school in the district as determined by the school district board of directors.

                                                                                                                              (5) Students who have taken and successfully completed high school courses under the circumstances in subsection (4) of this section shall not be required to take an additional competency examination or perform any other additional assignment to receive credit.

                                                                                                                              (6) At the college or university level, five quarter or three semester hours equals one high school credit.

                                                                                                                              Sec. 4. RCW 28A.230.100 and 1991 c 116 s 8 are each amended to read as follows:

                                                                                                                              The state board of education shall adopt rules pursuant to chapter 34.05 RCW, to implement the course requirements set forth in RCW 28A.230.090. The rules shall include, as the state board deems necessary, granting equivalencies for and temporary exemptions from the course requirements in RCW 28A.230.090 and special alterations of the course requirements in RCW 28A.230.090. In developing such rules the state board shall recognize the relevance of vocational and applied courses and allow such courses to fulfill in whole or in part the courses required for graduation in RCW 28A.230.090, as determined by the high school or school district in accordance with section 2 of this act. The rules may include provisions for competency testing in lieu of such courses required for graduation in RCW 28A.230.090 or demonstration of specific skill proficiency or understanding of concepts through work or experience.

                                                                                                                              NEW SECTION. Sec. 5. A new section is added to chapter 28C.04 RCW to read as follows:

                                                                                                                              (1) The superintendent of public instruction shall develop an objective alternative assessment for career and technical education programs. The objective alternative assessment shall be comparable in rigor to the skills and knowledge that the student must demonstrate on the Washington assessment of student learning.

                                                                                                                              (2) The alternative assessment shall include an evaluation of a collection of work samples prepared and submitted by an applicant who is enrolled in a career and technical education program. The superintendent of public instruction shall develop guidelines for the collection of work samples that evidences that the collection:

                                                                                                                              (a) Is relevant to the student's particular career and technical program;

                                                                                                                              (b) Focuses on the application of academic knowledge and skills within the program;

                                                                                                                              (c) Includes completed activities or projects where demonstration of academic knowledge is inferred; and

                                                                                                                              (d) Is related to the essential academic learning requirements and state standards that students must meet to earn a certificate of academic achievement or certificate of individual achievement, but also represents the knowledge and skills that successful individuals in the career and technical field of the approved program are expected to possess.

                                                                                                                              (3) In developing the work samples for subsection (2) of this section, the superintendent shall consult with community and technical colleges, employers, the work force training and education coordinating board, apprenticeship programs, and other regional and national experts in career and technical education to create an appropriate collection of work samples and other evidence of a career and technical student's knowledge and skills on the state academic standards."

                                                                                                                              On page 1, line 3 of the title, after "areas;" strike the remainder of the title and insert "amending RCW 28A.230.090 and 28A.230.100; adding a new section to chapter 28A.230 RCW; adding a new section to chapter 28C.04 RCW; and creating a new section."

The President declared the question before the Senate to be the motion by Senator McAuliffe to not adopt the committee striking amendment by the Committee on Early Learning, K-12 & Higher Education to Substitute House Bill No. 2973.

The motion by Senator McAuliffe carried and the committee striking amendment was not adopted by voice vote.

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. (1) The legislature finds that Washington's performance-based education system should seek to provide fundamental academic knowledge and skills for all students, and to provide the opportunity for students to acquire knowledge and skills likely to contribute to their own economic well-being and that of their families and communities.

(2) The legislature recognizes that career and technical options are available for students.

(3) High schools or school districts should take advantage of their opportunity to offer course credits, including credits toward graduation requirements, for knowledge and skills in fundamental academic content areas that students gain in career and technical education courses.

(4) Therefore the legislature intends to create a rigorous and high quality career and technical high school alternative assessment that assures students meet state standards, and also reflects nationally recognized standards for the knowledge and skills needed to pursue employment and careers in technical fields.

NEW SECTION. Sec. 2. A new section is added to chapter 28A230 RCW to read as follows:

(1) Each high school or school district board of directors shall adopt course equivalencies for career and technical high school courses offered to students at the high school. A career and technical course equivalency may be for whole or partial credit. Each school district board of directors shall develop a course equivalency approval procedure.

(2) Career and technical courses determined to be equivalent to academic core courses, in full or in part, by the high school or school district shall be accepted as meeting core requirements, including graduation requirements, if the courses are recorded on the student's transcript using the equivalent academic high school department designation and title. Full or partial credit shall be recorded as appropriate.

Sec. 3. RCW 28A.230.090 and 2005 c 205 s 3 are each amended to read as follows:

(1) The state board of education shall establish high school graduation requirements or equivalencies for students, except those equivalencies established by local high schools or school districts under section 2 of this act.

(a) Any course in Washington state history and government used to fulfill high school graduation requirements shall consider including information on the culture, history, and government of the American Indian peoples who were the first inhabitants of the state.

(b) The certificate of academic achievement requirements under RCW 28A.655.061 or the certificate of individual achievement requirements under RCW 28A.155.045 are required for graduation from a public high school but are not the only requirements for graduation.

(c) Any decision on whether a student has met the state board's high school graduation requirements for a high school and beyond plan shall remain at the local level.

                                                                                                                              (2) In recognition of the statutory authority of the state board of education to establish and enforce minimum high school graduation requirements, the state board shall periodically reevaluate the graduation requirements and shall report such findings to the legislature in a timely manner as determined by the state board. The state board shall reevaluate the graduation requirements for students enrolled in vocationally intensive and rigorous career and technical education programs, particularly those programs that lead to a certificate or credential that is state or nationally recognized. The purpose of the evaluation is to ensure that students enrolled in these programs have sufficient opportunity to earn a certificate of academic achievement, complete the program and earn the program's certificate or credential, and complete other state and local graduation requirements. The board shall reports its findings and recommendations for additional flexibility in graduation requirements, if necessary, to the legislature by December 1, 2007.

                                                                                                                              (3) Pursuant to any requirement for instruction in languages other than English established by the state board of education or a local school district, or both, for purposes of high school graduation, students who receive instruction in American sign language or one or more American Indian languages shall be considered to have satisfied the state or local school district graduation requirement for instruction in one or more languages other than English.

                                                                                                                              (4) If requested by the student and his or her family, a student who has completed high school courses before attending high school shall be given high school credit which shall be applied to fulfilling high school graduation requirements if:

                                                                                                                              (a) The course was taken with high school students, if the academic level of the course exceeds the requirements for seventh and eighth grade classes, and the student has successfully passed by completing the same course requirements and examinations as the high school students enrolled in the class; or

                                                                                                                              (b) The academic level of the course exceeds the requirements for seventh and eighth grade classes and the course would qualify for high school credit, because the course is similar or equivalent to a course offered at a high school in the district as determined by the school district board of directors.

                                                                                                                              (5) Students who have taken and successfully completed high school courses under the circumstances in subsection (4) of this section shall not be required to take an additional competency examination or perform any other additional assignment to receive credit.

                                                                                                                              (6) At the college or university level, five quarter or three semester hours equals one high school credit.

                                                                                                                              Sec. 4. RCW 28A.230.100 and 1991 c 116 s 8 are each amended to read as follows:

                                                                                                                              The state board of education shall adopt rules pursuant to chapter 34.05 RCW, to implement the course requirements set forth in RCW 28A.230.090. The rules shall include, as the state board deems necessary, granting equivalencies for and temporary exemptions from the course requirements in RCW 28A.230.090 and special alterations of the course requirements in RCW 28A.230.090. In developing such rules the state board shall recognize the relevance of vocational and applied courses and allow such courses to fulfill in whole or in part the courses required for graduation in RCW 28A.230.090, as determined by the high school or school district in accordance with section 2 of this act. The rules may include provisions for competency testing in lieu of such courses required for graduation in RCW 28A.230.090 or demonstration of specific skill proficiency or understanding of concepts through work or experience.

                                                                                                                              NEW SECTION. Sec. 5. A new section is added to chapter 28C.04 RCW to read as follows:

                                                                                                                              (1) The superintendent of public instruction shall develop an objective alternative assessment for career and technical education programs. The objective alternative assessment shall be comparable in rigor to the skills and knowledge that the student must demonstrate on the Washington assessment of student learning.

(2) The alternative assessment shall include an evaluation of a collection of work samples prepared and submitted by an applicant who is enrolled in a career and technical education program. The superintendent of public instruction shall develop guidelines for the collection of work samples that evidences that the collection:

(a) Is relevant to the student's particular career and technical program;

(b) Focuses on the application of academic knowledge and skills within the program;

(c) Includes completed activities or projects where demonstration of academic knowledge is inferred; and

(d) Is related to the essential academic learning requirements and state standards that students must meet to earn a certificate of academic achievement or certificate of individual achievement, but also represents the knowledge and skills that successful individuals in the career and technical field of the approved program are expected to possess.

(3) In developing the work samples for subsection (2) of this section, the superintendent shall consult with community and technical colleges, employers, the work force training and education coordinating board, apprenticeship programs, and other regional and national experts in career and technical education to create an appropriate collection of work samples and other evidence of a career and technical student's knowledge and skills on the state academic standards."

Senators McAuliffe and Schmidt 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. 2973.

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 3 of the title, after "areas;" strike the remainder of the title and insert "amending RCW 28A.230.090 and 28A.230.100; adding a new section to chapter 28A.230 RCW; adding a new section to chapter 28C.04 RCW; and creating a new section."

MOTION

On motion of Senator McAuliffe, the rules were suspended, Substitute House Bill No. 2973 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 McAuliffe spoke in favor of passage of the bill.

The President declared the question before the Senate to be the final passage of Substitute House Bill No. 2973 as amended by the Senate.

ROLL CALL

The Secretary called the roll on the final passage of Substitute House Bill No. 2973 as amended by the Senate and the bill passed the Senate by the following vote: Yeas, 47; Nays, 0; Absent, 1; Excused, 1.

Voting yea: Senators Benson, Benton, 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, Parlette, Pflug, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 47

                                                                                                                              Absent: Senator Brown - 1

                                                                                                                              Excused: Senator Oke - 1

                                                                                                                              SUBSTITUTE HOUSE BILL NO. 2973 as amended by the Senate 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.

SECOND READING

                                                                                                                              HOUSE BILL NO. 2562, by Representatives Wood, Conway, Fromhold and Condotta

                                                                                                                              Regulating flavored malt beverage.

                                                                                                                              The measure was read the second time.

MOTION

                                                                                                                              On motion of Senator Kohl-Welles, the rules were suspended, House Bill No. 2562 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

                                                                                                                              Senators Kohl-Welles and Honeyford spoke in favor of passage of the bill.

MOTION

On motion of Senator Regala, Senator Brown was excused.

MOTION

On motion of Senator Spanel, Senator Prentice was excused.

                                                                                                                              The President declared the question before the Senate to be the final passage of House Bill No. 2562.

ROLL CALL

                                                                                                                              The Secretary called the roll on the final passage of House Bill No. 2562 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, 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, Parlette, Pflug, Poulsen, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 46

                                                                                                                              Excused: Senators Brown, Oke and Prentice - 3

                                                                                                                              HOUSE BILL NO. 2562, 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 5:04 p.m., on motion of Senator Eide, the Senate was declared to be at ease subject to the call of the President.

EVENING SESSION

The Senate was called to order at 6:30 p.m. by President Owen.

MOTION

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

MESSAGE FROM THE HOUSE

March 1, 2006

MR. PRESIDENT:

The House has passed the following bill{s}:

ENGROSSED SENATE BILL NO. 6152,

SENATE BILL NO. 6159,

SENATE BILL NO. 6338,

ENGROSSED SECOND SUBSTITUTE SENATE BILL NO. 6480,

SENATE BILL NO. 6549,

SENATE BILL NO. 6576,

SENATE BILL NO. 6596,

SENATE BILL NO. 6658,

ENGROSSED SUBSTITUTE SENATE BILL NO. 6679,

SENATE BILL NO. 6762,

and the same are herewith transmitted.

RICHARD NAFZIGER, Chief Clerk

MESSAGE FROM THE HOUSE

March 1, 2006

MR. PRESIDENT:

The House has passed the following bill{s}:

SENATE BILL NO. 5439

ENGROSSED SENATE BILL NO. 6169,

SENATE BILL NO. 6208,

ENGROSSED SENATE BILL NO. 6236,

SUBSTITUTE SENATE BILL NO. 6359,

SUBSTITUTE SENATE BILL NO. 6406,

ENGROSSED SENATE BILL NO. 6606,

SENATE BILL NO. 6674,

SENATE BILL NO. 6723,

SUBSTITUTE SENATE BILL NO. 6791,

ENGROSSED SUBSTITUTE SENATE BILL NO. 6870,

and the same are herewith transmitted.

RICHARD NAFZIGER, Chief Clerk

MESSAGE FROM THE HOUSE

March 1, 2006

MR. PRESIDENT:

The House has passed the following bill{s}:

ENGROSSED SENATE BILL NO. 6537,

SENATE BILL NO. 6720,

ENGROSSED SUBSTITUTE SENATE BILL NO. 6776,

ENGROSSED SUBSTITUTE SENATE BILL NO. 6802,

and the same are herewith transmitted.

RICHARD NAFZIGER, Chief Clerk

MOTION

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

SECOND READING

                                                                                                                              ENGROSSED SUBSTITUTE HOUSE BILL NO. 1151, by House Committee on Judiciary (originally sponsored by Representatives Lovick, Campbell, Lantz, Jarrett, Simpson, Williams, Murray and B. Sullivan)

                                                                                                                              Regulating the keeping of dangerous wild animals.

                                                                                                                              The measure was read the second time.

MOTION

                                                                                                                              Senator Hargrove moved that the following committee striking amendment by the Committee on Judiciary be adopted.

                                                                                                                              Strike everything after the enacting clause and insert the following:

                                                                                                                              "NEW SECTION. Sec. 1. (1)(a) A joint select committee on regulation of private ownership of exotic wild animals is established. The joint select committee shall consist of the following members:

                                                                                                                              (i) One member from each of the two largest caucuses of the senate, appointed by the president of the senate;

                                                                                                                              (ii) One member from each of the two largest caucuses of the house of representatives, appointed by the speaker of the house of representatives.

                                                                                                                              (b) The four appointed members shall involve interested parties as appropriate.

                                                                                                                              (2) The committee shall conduct a study concerning the regulation of the private ownership of exotic wild animals. The study shall include, but not be limited to:

                                                                                                                              (a) Identifying animals that may be considered dangerous as pets and the criteria used to identify an animal as one that may be considered dangerous as a pet;

                                                                                                                              (b) Identifying the potential harm an exotic wild animal may cause if privately owned, and how the risk of such harm may affect an owner's ability to qualify for and receive insurance;

                                                                                                                              (c) Identifying whether the private ownership of exotic wild animals should be regulated or banned, and how a state law regulating or banning the private ownership of exotic wild animals may affect other state and local laws regulating or banning the private ownership of such animals;

                                                                                                                              (d) Identifying laws in other states that regulate or ban the private ownership of exotic wild animals, and whether such laws have been effective in reducing the injuries or damages that can be caused by the private ownership of exotic wild animals; and

                                                                                                                               (e) Identifying the ways in which local jurisdictions and public agencies may act to protect the public against possible health and safety threats of owning exotic wild animals.

                                                                                                                              (3)(a) The committee shall use legislative facilities, and staff support shall be provided by senate committee services and the house of representatives office of program research.

                                                                                                                              (b) Legislative members of the committee shall be reimbursed for travel expenses in accordance with RCW 44.04.120.

                                                                                                                              (4) The committee shall report its findings and recommendations to the governor and the appropriate committees of the legislature by November 15, 2006.

                                                                                                                              (5) This section expires July 1, 2007."

                                                                                                                              Senator Hargrove spoke in favor of adoption of the committee striking amendment.

                                                                                                                              The President declared the question before the Senate to be the adoption of the committee striking amendment by the Committee on Judiciary to Engrossed Substitute House Bill No. 1151.

The motion by Senator Hargrove carried and the committee 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 "animals;" strike the remainder of the title and insert "creating a new section; and providing an expiration date."

MOTION

On motion of Senator Hargrove, the rules were suspended, Engrossed Substitute House Bill No. 1151 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 Hargrove, Rasmussen, Carrell and Jacobsen spoke in favor of passage of the bill.

MOTION

On motion of Senator Schoesler, Senators McCaslin, Delvin, Hewitt, Benton and Deccio was excused.

The President declared the question before the Senate to be the final passage of Engrossed Substitute House Bill No. 1151 as amended by the Senate.

ROLL CALL

The Secretary called the roll on the final passage of Engrossed Substitute House Bill No. 1151 as amended by the Senate and the bill passed the Senate by the following vote: Yeas, 42; Nays, 1; Absent, 0; Excused, 6.

Voting yea: Senators Benson, Berkey, Brandland, Brown, Carrell, Doumit, Eide, Esser, Fairley, Finkbeiner, Franklin, Fraser, Hargrove, Haugen, Hewitt, Honeyford, Jacobsen, Johnson, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, Mulliken, Parlette, Pflug, Poulsen, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 42

Voting nay: Senator Morton - 1

Excused: Senators Benton, Deccio, Delvin, McCaslin, Oke and Prentice - 6

ENGROSSED SUBSTITUTE HOUSE BILL NO. 1151 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.

SECOND READING

ENGROSSED SUBSTITUTE HOUSE BILL NO. 2651, by House Committee on Economic Development, Agriculture & Trade (originally sponsored by Representatives Pettigrew, Kristiansen, Haigh, Buri, Walsh, Linville, Kretz, Grant, Cox, Newhouse, Holmquist, Blake, Armstrong and Springer)

Regarding disclosure of animal information.

The measure was read the second time.

MOTION

                                                                                                                              On motion of Senator Rasmussen, the rules were suspended, Engrossed Substitute House Bill No. 2651 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

                                                                                                                              Senators Rasmussen and Schoesler spoke in favor of passage of the bill.

                                                                                                                              The President declared the question before the Senate to be the final passage of Engrossed Substitute House Bill No. 2651.

ROLL CALL

                                                                                                                              The Secretary called the roll on the final passage of Engrossed Substitute House Bill No. 2651 and the bill passed the Senate by the following vote: Yeas, 44; Nays, 0; Absent, 0; Excused, 5.

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

                                                                                                                              Excused: Senators Deccio, Delvin, McCaslin, Oke and Prentice - 5

                                                                                                                              ENGROSSED SUBSTITUTE HOUSE BILL NO. 2651, 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.

SECOND READING

                                                                                                                              SUBSTITUTE HOUSE BILL NO. 2691, by House Committee on Appropriations (originally sponsored by Representatives Crouse, Fromhold, Conway, Lovick, Bailey, Kenney and Quall)

                                                                                                                              Creating optional public retirement benefits for justices and judges.

                                                                                                                              The measure was read the second time.

MOTION

                                                                                                                              On motion of Senator Fraser, the rules were suspended, Substitute House Bill No. 2691 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

                                                                                                                              Senators Fraser and Esser spoke in favor of passage of the bill.

POINT OF ORDER

Senator Kline: “Both the good Senator and I have spouses who are judges and who are to be governed by this law, if it becomes law. It would give Superior Court and District Court judges among others an opportunity, not given to the class of all state employees, to choose between various pension plans. I believe that’s a favorable treatment of those judges. There is a small class of those judges and for that reason I’ve asked another member to excuse Senator Eide and myself. The good Senator and I though want to put on the record the reason why we’re being excused. It’s not simply because we’re off the floor but because we feel that there, if not an actual conflict of interest, is the appearance to the public of a conflict of interest should either of us take part in this vote. For that reason only we will ask to be excused.”

REPLY BY THE PRESIDENT

President Owen: “You’d raised to a point of order if I remember correctly. Is the point of order whether or not you should vote on this issue or not?”

REMARKS BY SENATOR KLINE

Senator Kline: “Actually no. To be frank, you and I have had this explanation. I know what your ruling would be, that we are legally allowed to vote on this order. If I’m putting words in your mouth, please tell me.”

REPLY BY THE PRESIDENT

President Owen: “You certainly are, the President would not of said, 'legally allowed,' he would of said, 'legally required.'”

REMARKS BY SENATOR KLINE

Senator Kline: “Ok, even more so then. I hope you’ll understand that the two of us feel that there is an appearance to the public of a conflict.”

MOTION

On motion of Senator Finkbeiner, Senator Johnson was excused.

MOTION

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

The President declared the question before the Senate to be the final passage of Substitute House Bill No. 2691.

ROLL CALL

The Secretary called the roll on the final passage of Substitute House Bill No. 2691 and the bill passed the Senate by the following vote: Yeas, 43; Nays, 0; Absent, 0; Excused, 6.

Voting yea: Senators Benson, Benton, Berkey, Brandland, Brown, Carrell, Deccio, Doumit, Esser, Fairley, Finkbeiner, Franklin, Fraser, Hargrove, Haugen, Hewitt, Honeyford, Jacobsen, Kastama, Keiser, 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 - 43

Excused: Senators Delvin, Eide, Johnson, Kline, McCaslin and Oke - 6

SUBSTITUTE HOUSE BILL NO. 2691, 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.

SECOND READING

SUBSTITUTE HOUSE BILL NO. 2985, by House Committee on Children & Family Services (originally sponsored by Representatives Schual-Berke, Clibborn, Appleton, Moeller, Green, Cody, Morrell, Walsh, McIntire, Kagi, Kenney, Hasegawa and Simpson)

                                                                                                                              Creating a foster care health unit in the department of social and health services.

                                                                                                                              The measure was read the second time.

MOTION

                                                                                                                              Senator Poulsen moved that the following committee striking amendment by the Committee on Human Services & Corrections be adopted.

                                                                                                                              Strike everything after the enacting clause and insert the following:

                                                                                                                              "NEW SECTION. Sec. 1. The legislature recognizes that foster children have enhanced health care needs and that it is necessary to improve the system of providing health care for foster children. The legislature further recognizes the importance of meeting the mental health needs of children in foster care, as well as their medical and dental health care needs. The legislature finds that there must be greater coordination and integration of systems, in particular coordination between children's administration and the health and recovery services administration as well as other agencies that provide or pay for health services for foster youth, to ensure that the health care needs of children in foster care are met in a timely manner.

                                                                                                                              NEW SECTION. Sec. 2. A new section is added to chapter 13.34 RCW to read as follows:

                                                                                                                              Whenever a child is ordered removed from his or her home pursuant to this chapter, the agency charged with his or her care may authorize an evaluation and treatment for the child's routine and necessary medical, dental, or mental health care, and all necessary emergency care.

                                                                                                                              Sec. 3. RCW 74.13.031 and 2004 c 183 s 3 are each amended to read as follows:

                                                                                                                              The department shall have the duty to provide child welfare services and shall:

                                                                                                                              (1) Develop, administer, supervise, and monitor a coordinated and comprehensive plan that establishes, aids, and strengthens services for the protection and care of runaway, dependent, or neglected children.

                                                                                                                               (2) Within available resources, recruit an adequate number of prospective adoptive and foster homes, both regular and specialized, i.e. homes for children of ethnic minority, including Indian homes for Indian children, sibling groups, handicapped and emotionally disturbed, teens, pregnant and parenting teens, and annually report to the governor and the legislature concerning the department's success in: (a) Meeting the need for adoptive and foster home placements; (b) reducing the foster parent turnover rate; (c) completing home studies for legally free children; and (d) implementing and operating the passport program required by RCW 74.13.285. The report shall include a section entitled "Foster Home Turn-Over, Causes and Recommendations."

                                                                                                                              (3) Investigate complaints of any recent act or failure to act on the part of a parent or caretaker that results in death, serious physical or emotional harm, or sexual abuse or exploitation, or that presents an imminent risk of serious harm, and on the basis of the findings of such investigation, offer child welfare services in relation to the problem to such parents, legal custodians, or persons serving in loco parentis, and/or bring the situation to the attention of an appropriate court, or another community agency: PROVIDED, That an investigation is not required of nonaccidental injuries which are clearly not the result of a lack of care or supervision by the child's parents, legal custodians, or persons serving in loco parentis. If the investigation reveals that a crime against a child may have been committed, the department shall notify the appropriate law enforcement agency.

(4) Offer, on a voluntary basis, family reconciliation services to families who are in conflict.

(5) Monitor out-of-home placements, on a timely and routine basis, to assure the safety, well-being, and quality of care being provided is within the scope of the intent of the legislature as defined in RCW 74.13.010 and 74.15.010, and annually submit a report measuring the extent to which the department achieved the specified goals to the governor and the legislature.

(6) Have authority to accept custody of children from parents and to accept custody of children from juvenile courts, where authorized to do so under law, to provide child welfare services including placement for adoption, to provide for the routine and necessary medical, dental, and mental health care, or necessary emergency care of the children, and to provide for the physical care of such children and make payment of maintenance costs if needed. Except where required by Public Law 95-608 (25 U.S.C. Sec. 1915), no private adoption agency which receives children for adoption from the department shall discriminate on the basis of race, creed, or color when considering applications in their placement for adoption.

(7) Have authority to provide temporary shelter to children who have run away from home and who are admitted to crisis residential centers.

(8) Have authority to purchase care for children; and shall follow in general the policy of using properly approved private agency services for the actual care and supervision of such children insofar as they are available, paying for care of such children as are accepted by the department as eligible for support at reasonable rates established by the department.

(9) Establish a children's services advisory committee which shall assist the secretary in the development of a partnership plan for utilizing resources of the public and private sectors, and advise on all matters pertaining to child welfare, licensing of child care agencies, adoption, and services related thereto. At least one member shall represent the adoption community.

(10) Have authority to provide continued foster care or group care for individuals from eighteen through twenty years of age to enable them to complete their high school or vocational school program.

(11) Refer cases to the division of child support whenever state or federal funds are expended for the care and maintenance of a child, including a child with a developmental disability who is placed as a result of an action under chapter 13.34 RCW, unless the department finds that there is good cause not to pursue collection of child support against the parent or parents of the child.

(12) Have authority within funds appropriated for foster care services to purchase care for Indian children who are in the custody of a federally recognized Indian tribe or tribally licensed child-placing agency pursuant to parental consent, tribal court order, or state juvenile court order; and the purchase of such care shall be subject to the same eligibility standards and rates of support applicable to other children for whom the department purchases care.

 Notwithstanding any other provision of RCW 13.32A.170 through 13.32A.200 and 74.13.032 through 74.13.036, or of this section all services to be provided by the department of social and health services under subsections (4), (6), and (7) of this section, subject to the limitations of these subsections, may be provided by any program offering such services funded pursuant to Titles II and III of the federal juvenile justice and delinquency prevention act of 1974.

                                                                                                                              (13) Within amounts appropriated for this specific purpose, provide preventive services to families with children that prevent or shorten the duration of an out-of-home placement.

                                                                                                                              (14) Have authority to provide independent living services to youths, including individuals eighteen through twenty years of age, who are or have been in foster care.

                                                                                                                              NEW SECTION. Sec. 4. A new section is added to chapter 74.13 RCW to read as follows:

                                                                                                                              Within existing resources, the department shall establish a foster care health unit within the children's administration. The children's administration and the health and recovery services administration within the department shall integrally collaborate to accomplish the following tasks:

                                                                                                                              (1) The health unit shall review and provide recommendations to the legislature by September 1, 2006, regarding issues including, but not limited to, the following:

                                                                                                                              (a) Creation of an office within the department to consolidate and coordinate physical, dental, and mental health services provided to children who are in the custody of the department;

                                                                                                                              (b) Alternative payment structures for health care organization. The department may consider managed care as an alternative structure for health care. The department may not implement managed care for health care services for children in foster care for cost containment purposes; however, the department may institute managed care if the managed care is in the foster child's best interest;

                                                                                                                              (c) Improving coordination of health care for children in foster care, including medical, dental, and mental health care;

                                                                                                                              (d) Improving access to health information available to the children's administration for providers of health services for children in foster care, including the use of the child profile as a means to facilitate access to such information;

                                                                                                                              (e) Establishing a medical home for each child placed in foster care to ensure that appropriate, timely, and necessary quality care is available through a coordinated system of care and analyzing how a medical home might be utilized to meet the unique needs of children in foster care. In establishing a medical home, the department shall consider primary care that is accessible, continuous, comprehensive, family centered, coordinated, compassionate, and culturally effective;

                                                                                                                              (f) Examining how existing resources are being utilized to provide health care for foster children and options for improving how the resources are utilized. Particular emphasis shall be placed on the following:

                                                                                                                              (i) Whether the health care services provided to foster children are evidence-based;

                                                                                                                              (ii) Whether resources are duplicative or redundant between agencies or departments in the provision of medical, dental, or mental health services for children; and

                                                                                                                              (iii) Identification of where resources are inadequate to meet the routine and necessary medical, dental, and mental health needs of children in foster care; and

                                                                                                                              (g) Any other issues related to medical, dental, or mental health care for children in foster care.

                                                                                                                              (2)(a) The foster care health unit, in collaboration with regional medical consultants, shall develop a statewide, uniform role for the regional medical consultants with emphasis placed on the mental health needs of the children in foster care.

                                                                                                                              (b) By September 1, 2006, the department shall implement the utilization of the statewide, uniform role for the regional medical consultants developed in (a) of this subsection.

                                                                                                                              (3) This section expires January 1, 2007."

                                                                                                                              Senator Poulsen spoke in favor of adoption of the committee striking amendment.

The President declared the question before the Senate to be the adoption of the committee striking amendment by the Committee on Human Services & Corrections to Substitute House Bill No. 2985.

The motion by Senator Poulsen carried and the committee 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 "services;" strike the remainder of the title and insert "amending RCW 74.13.031; adding a new section to chapter 13.34 RCW; adding a new section to chapter 74.13 RCW; creating a new section; and providing an expiration date."

MOTION

On motion of Senator Poulsen, the rules were suspended, Substitute House Bill No. 2985 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. 2985 as amended by the Senate.

ROLL CALL

The Secretary called the roll on the final passage of Substitute House Bill No. 2985 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, 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

Excused: Senators Delvin, McCaslin and Oke - 3

SUBSTITUTE HOUSE BILL NO. 2985 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.

SECOND READING

SUBSTITUTE HOUSE BILL NO. 2979, by House Committee on Juvenile Justice & Family Law (originally sponsored by Representatives Hasegawa, Chase, Roberts and Santos)

Addressing cultural upbringing in parenting plans.

The measure was read the second time.

MOTION

Senator Kastama moved that the following striking amendment by Senators Kastama and Shin be adopted:

Strike everything after the enacting clause and insert the following:

"NEW SECTION. Sec. 1. The legislature finds that fostering deep connections with both parents can help children develop a solid sense of cultural identity and individuality. The legislature intends to encourage the courts of our state to support frequent and significant contacts between both parents and their children when it is in the best interests of those children.

                                                                                                                              Sec. 2. RCW 26.09.002 and 1987 c 460 s 2 are each amended to read as follows:

                                                                                                                              Parents have the responsibility to make decisions and perform other parental functions necessary for the care and growth of their minor children. In any proceeding between parents under this chapter, the best interests of the child shall be the standard by which the court determines and allocates the parties' parental responsibilities. The state recognizes the fundamental importance of the parent-child relationship to the welfare of the child, and that the relationship between the child and each parent should be fostered unless inconsistent with the child's best interests. The best interests of the child are served by a parenting arrangement that best maintains a child's emotional growth, health and stability, and physical care, therefore there shall be a presumption in favor of shared parental responsibility unless it is not in the child's best interest. Further, the best interest of the child is ordinarily served when the existing pattern of interaction between a parent and child is altered only to the extent necessitated by the changed relationship of the parents or as required to protect the child from physical, mental, or emotional harm.

                                                                                                                              Sec. 3. RCW 26.09.004 and 1987 c 460 s 3 are each amended to read as follows:

                                                                                                                              The definitions in this section apply throughout this chapter.

                                                                                                                              (1) "Temporary parenting plan" means a plan for parenting of the child pending final resolution of any action for dissolution of marriage, declaration of invalidity, or legal separation which is incorporated in a temporary order.

                                                                                                                              (2) "Permanent parenting plan" means a plan for parenting the child, including allocation of parenting functions, which plan is incorporated in any final decree or decree of modification in an action for dissolution of marriage, declaration of invalidity, or legal separation.

                                                                                                                              (3) "Parenting functions" means those aspects of the parent-child relationship in which the parent makes decisions and performs functions necessary for the care and growth of the child. Parenting functions include:

                                                                                                                              (a) Maintaining a loving, stable, consistent, and nurturing relationship with the child;

                                                                                                                              (b) Attending to the daily needs of the child, such as feeding, clothing, physical care and grooming, supervision, health care, and day care, and engaging in other activities which are appropriate to the developmental level of the child and that are within the social and economic circumstances of the particular family;

                                                                                                                              (c) Attending to adequate education for the child, including remedial or other education essential to the best interests of the child;

                                                                                                                              (d) Assisting the child in developing and maintaining appropriate interpersonal relationships;

                                                                                                                              (e) Exercising appropriate judgment regarding the child's welfare, consistent with the child's developmental level and the family's social and economic circumstances; and

                                                                                                                              (f) Providing for the financial support of the child.

(4) "Shared parental responsibility" means shared residential placement and mutual decision-making authority.

                                                                                                                              (5) "Shared residential placement" means an order awarding each of the parents periods of time, amounting to at least one-third of a year, in which a child resides with or is under the actual, direct, day-to-day care and supervision of each of the parents. "Shared residential placement" does not necessarily mean the child must alternate his or her residence between the households of the parents for brief periods of time.

                                                                                                                              NEW SECTION. Sec. 4. A new section is added to chapter 26.09 RCW to read as follows:

                                                                                                                              (1) There shall be a presumption that shared parental responsibility is in the best interests of children unless:

(a) The parents have agreed to an alternate award of residential placement or decision-making authority to only one parent;

(b) The limitations of RCW 26.09.191 are dispositive of the child's residential schedule; or

(c) The court finds that shared parental responsibility would be detrimental due to the age or needs of the child or children.

(2) A parent alleging that shared parental responsibility would be detrimental to the child or children shall have the burden of establishing the allegation by a preponderance of the evidence.

(3) If a parent alleges that shared parental responsibility would be detrimental to a particular child, the court, in making a determination whether a shared parental responsibility order is appropriate, may direct that an investigation be conducted in accordance with the provisions of RCW 26.09.220. If the court declines to enter a shared parental responsibility order under this section, the court shall enter findings of fact and conclusions of law stating the reasons that shared parental responsibility is not in the best interest of the child.

Sec. 5. RCW 26.09.187 and 1989 c 375 s 10 are each amended to read as follows:

(1) DISPUTE RESOLUTION PROCESS. The court shall not order a dispute resolution process, except court action, when it finds that any limiting factor under RCW 26.09.191 applies, or when it finds that either parent is unable to afford the cost of the proposed dispute resolution process. If a dispute resolution process is not precluded or limited, then in designating such a process the court shall consider all relevant factors, including:

(a) Differences between the parents that would substantially inhibit their effective participation in any designated process;

 (b) The parents' wishes or agreements and, if the parents have entered into agreements, whether the agreements were made knowingly and voluntarily; and

(c) Differences in the parents' financial circumstances that may affect their ability to participate fully in a given dispute resolution process.

(2) ALLOCATION OF DECISION-MAKING AUTHORITY.

(a) AGREEMENTS BETWEEN THE PARTIES. The court shall approve agreements of the parties allocating decision-making authority, or specifying rules in the areas listed in RCW 26.09.184(4)(a), when it finds that:

(i) The agreement is consistent with any limitations on a parent's decision-making authority mandated by RCW 26.09.191; and

(ii) The agreement is knowing and voluntary.

(b) SOLE DECISION-MAKING AUTHORITY. The court shall order sole decision-making to one parent when it finds that:

(i) A limitation on the other parent's decision-making authority is mandated by RCW 26.09.191;

(ii) Both parents are opposed to mutual decision making;

(iii) One parent is opposed to mutual decision making, and such opposition is reasonable based on the criteria in (c) of this subsection;

(c) MUTUAL DECISION-MAKING AUTHORITY. Except as provided in (a) and (b) of this subsection, the court shall consider the following criteria in allocating decision-making authority:

(i) The existence of a limitation under RCW 26.09.191;

(ii) The history of participation of each parent in decision making in each of the areas in RCW 26.09.184(4)(a);

(iii) Whether the parents have a demonstrated ability and desire to cooperate with one another in decision making in each of the areas in RCW 26.09.184(4)(a); and

(iv) The parents' geographic proximity to one another, to the extent that it affects their ability to make timely mutual decisions.

(3) RESIDENTIAL PROVISIONS.

                                                                                                                              (a) The court shall make residential provisions for each child which encourage each parent to maintain a loving, stable, and nurturing relationship with the child, consistent with the best interests of the child, the child's developmental level, and the family's social, cultural, and economic circumstances. There is a presumption that the child's residential schedule shall provide shared parental responsibility in accordance with section 4 of this act. The child's residential schedule shall be consistent with RCW 26.09.191. Where the limitations of RCW 26.09.191 are not dispositive of the child's residential schedule, the court shall consider the following factors:

                                                                                                                              (i) The relative strength, nature, and stability of the child's relationship with each parent((, including whether a parent has taken greater responsibility for performing parenting functions relating to the daily needs of the child));

                                                                                                                              (ii) The agreements of the parties, provided they were entered into knowingly and voluntarily;

                                                                                                                              (iii) Each parent's past and potential for future performance of parenting functions;

                                                                                                                              (iv) The emotional needs and developmental level of the child and any special physical needs of the child;

                                                                                                                              (v) Whether the child is a nursing child;

                                                                                                                              (vi) The child's relationship with siblings and with other significant adults, as well as the child's involvement with his or her physical surroundings, school, or other significant activities;

                                                                                                                              (((vi))) (vii) The wishes of the parents and the wishes of a child who is sufficiently mature to express reasoned and independent preferences as to his or her residential schedule; and

                                                                                                                              (((vii))) (viii) Each parent's employment schedule, and shall make accommodations consistent with those schedules.

                                                                                                                              Factor (i) shall be given the greatest weight.

                                                                                                                              (b) ((The court may order that a child frequently alternate his or her residence between the households of the parents for brief and substantially equal intervals of time only if the court finds the following:

                                                                                                                              (i) No limitation exists under RCW 26.09.191;

                                                                                                                              (ii)(A) The parties have agreed to such provisions and the agreement was knowingly and voluntarily entered into; or

                                                                                                                              (B) The parties have a satisfactory history of cooperation and shared performance of parenting functions; the parties are available to each other, especially in geographic proximity, to the extent necessary to ensure their ability to share performance of the parenting functions; and

                                                                                                                               (iii) The provisions are in the best interests of the child.)) For any child, residential provisions may contain any reasonable terms or conditions that facilitate the orderly and meaningful exercise of residential time by a parent, including one or more of the following:

                                                                                                                              (i) Requirements that residential times be specified;

                                                                                                                              (ii) Requirements of reasonable notice when residential time will not occur;

                                                                                                                              (iii) Any other reasonable condition determined to be appropriate in the particular case including but not limited to a domestic violence assessment.

                                                                                                                              (c) In any parenting plan in which the court finds that the parties do not have a satisfactory history of cooperation or the limitations of RCW 26.09.191 are dispositive; to the extent necessary, the parenting plan shall include a safe, neutral, and public location for the exchange of the child such as a school, day care, place of worship, or any other appropriate public facility.

                                                                                                                              NEW SECTION. Sec. 6. The administrative office of the courts, pursuant to funding provided specifically for this purpose, shall commission a study to commence by September 1, 2006. The study shall survey a statistically relevant number of geographically diverse final parenting plans in Washington to determine the allocation of residential time as between parents, including an analysis of gender disparities between parents, and the impact of legal counsel on outcomes of parenting plan disputes. The study shall be completed and a report provided to the legislature, the governor, and to the public within two years of the effective date of this section."

On page 1, line 2 of the title, after "plans;" strike the remainder of the title and insert "amending RCW 26.09.002, 26.09.004, and 26.09.187; adding a new section to chapter 26.09 RCW; and creating new sections."

POINT OF ORDER

Senator Fairley: “Thank you Mr. President. I believe the proposed amendment is outside the scope and object of the bill before us.”

Senator Fairley spoke in favor of the point of order.

Senator Kastama spoke against the point of order.

MOTION

On motion of Senator Eide, further consideration of Substitute House Bill No. 2979 was deferred and the bill held its place on the second reading calendar.

The President Pro Tempore assumed the chair.

SECOND READING

HOUSE BILL NO. 2975, by Representatives Newhouse, Kirby and Dunn

Granting an exemption under the state securities act.

The measure was read the second time.

MOTION

Senator Fairley moved that the following committee striking amendment by the Committee on Financial Institutions, Housing & Consumer Protection be adopted.

Strike everything after the enacting clause and insert the following:

"Sec. 1. RCW 21.20.320 and 1998 c 15 s 14 are each amended to read as follows:

The following transactions are exempt from RCW 21.20.040 through 21.20.300 and 21.20.327 except as expressly provided:

(1) Any isolated transaction, or sales not involving a public offering, whether effected through a broker-dealer or not; or any transaction effected in accordance with any rule by the director establishing a nonpublic offering exemption pursuant to this subsection where registration is not necessary or appropriate in the public interest or for the protection of investors.

(2) Any nonissuer transaction by a registered salesperson of a registered broker-dealer, and any resale transaction by a sponsor of a unit investment trust registered under the Investment Company Act of 1940 pursuant to any rule adopted by the director.

(3) Any nonissuer transaction effected by or through a registered broker-dealer pursuant to an unsolicited order or offer to buy; but the director may by rule require that the customer acknowledge upon a specified form that the sale was unsolicited, and that a signed copy of each such form be preserved by the broker-dealer for a specified period.

(4) Any transaction between the issuer or other person on whose behalf the offering is made and an underwriter, or among underwriters.

(5) Any transaction in a bond or other evidence of indebtedness secured by a real or chattel mortgage or deed of trust, or by an agreement for the sale of real estate or chattels, if the entire mortgage, deed of trust, or agreement, together with all the bonds or other evidences of indebtedness secured thereby, is offered and sold as a unit. A bond or other evidence of indebtedness is not offered and sold as a unit if the transaction involves:

                                                                                                                              (a) A partial interest in one or more bonds or other evidences of indebtedness secured by a real or chattel mortgage or deed of trust, or by an agreement for the sale of real estate or chattels; or

                                                                                                                              (b) One of multiple bonds or other evidences of indebtedness secured by one or more real or chattel mortgages or deeds of trust, or agreements for the sale of real estate or chattels, sold to more than one purchaser as part of a single plan of financing; or

                                                                                                                              (c) A security including an investment contract other than the bond or other evidence of indebtedness.

                                                                                                                              (6) Any transaction by an executor, administrator, sheriff, marshal, receiver, trustee in bankruptcy, guardian, or conservator.

                                                                                                                              (7) Any transaction executed by a bona fide pledgee without any purpose of evading this chapter.

                                                                                                                              (8) Any offer or sale to a bank, savings institution, trust company, insurance company, investment company as defined in the Investment Company Act of 1940, pension or profit-sharing trust, or other financial institution or institutional buyer, or to a broker-dealer, whether the purchaser is acting for itself or in some fiduciary capacity.

                                                                                                                              (9) Any transaction effected in accordance with the terms and conditions of any rule adopted by the director if:

                                                                                                                              (a) The aggregate offering amount does not exceed five million dollars; and

                                                                                                                              (b) The director finds that registration is not necessary in the public interest and for the protection of investors.

                                                                                                                              (10) Any offer or sale of a preorganization certificate or subscription if (a) no commission or other remuneration is paid or given directly or indirectly for soliciting any prospective subscriber, (b) the number of subscribers does not exceed ten, and (c) no payment is made by any subscriber.

                                                                                                                              (11) Any transaction pursuant to an offer to existing security holders of the issuer, including persons who at the time of the transaction are holders of convertible securities, nontransferable warrants, or transferable warrants exercisable within not more than ninety days of their issuance, if (a) no commission or other remuneration (other than a standby commission) is paid or given directly or indirectly for soliciting any security holder in this state, or (b) the issuer first files a notice specifying the terms of the offer and the director does not by order disallow the exemption within the next five full business days.

                                                                                                                              (12) Any offer (but not a sale) of a security for which registration statements have been filed under both this chapter and the Securities Act of 1933 if no stop order or refusal order is in effect and no public proceeding or examination looking toward such an order is pending under either act.

                                                                                                                              (13) The issuance of any stock dividend, whether the corporation distributing the dividend is the issuer of the stock or not, if nothing of value is given by stockholders for the distribution other than the surrender of a right to a cash dividend where the stockholder can elect to take a dividend in cash or stock.

                                                                                                                              (14) Any transaction incident to a right of conversion or a statutory or judicially approved reclassification, recapitalization, reorganization, quasi reorganization, stock split, reverse stock split, merger, consolidation, or sale of assets.

                                                                                                                              (15) The offer or sale by a registered broker-dealer, or a person exempted from the registration requirements pursuant to RCW 21.20.040, acting either as principal or agent, of securities previously sold and distributed to the public: PROVIDED, That:

(a) Such securities are sold at prices reasonably related to the current market price thereof at the time of sale, and, if such broker-dealer is acting as agent, the commission collected by such broker-dealer on account of the sale thereof is not in excess of usual and customary commissions collected with respect to securities and transactions having comparable characteristics;

(b) Such securities do not constitute the whole or a part of an unsold allotment to or subscription or participation by such broker-dealer as an underwriter of such securities or as a participant in the distribution of such securities by the issuer, by an underwriter or by a person or group of persons in substantial control of the issuer or of the outstanding securities of the class being distributed; and

(c) The security has been lawfully sold and distributed in this state or any other state of the United States under this or any act regulating the sale of such securities.

 (16) Any transaction by a mutual or cooperative association meeting the requirements of (a) and (b) of this subsection:

(a) The transaction:

(i) Does not involve advertising or public solicitation; or

(ii) Involves advertising or public solicitation, and:

(A) The association first files a notice of claim of exemption on a form prescribed by the director specifying the terms of the offer and the director does not by order deny the exemption within the next ten full business days; or

(B) The association is an employee cooperative and identifies itself as an employee cooperative in advertising or public solicitation.

(b) The transaction involves an instrument or interest, that:

(i)(A) Qualifies its holder to be a member or patron of the association;

(B) Represents a contribution of capital to the association by a person who is or intends to become a member or patron of the association;

(C) Represents a patronage dividend or other patronage allocation; or

(D) Represents the terms or conditions by which a member or patron purchases, sells, or markets products, commodities, or services from, to, or through the association; and

(ii) Is nontransferable except in the case of death, operation of law, bona fide transfer for security purposes only to the association, a bank, or other financial institution, intrafamily transfer, ((or)) transfer to an existing member or person who will become a member, or transfer by gift to any person organized and operated as a nonprofit organization as defined in RCW 84.36.800(4) that also possesses a current tax exempt status under the laws of the United States, and, in the case of an instrument, so states conspicuously on its face.

(17) Any transaction effected in accordance with any rule adopted by the director establishing a limited offering exemption which furthers objectives of compatibility with federal exemptions and uniformity among the states, provided that in adopting any such rule the director may require that no commission or other remuneration be paid or given to any person, directly or indirectly, for effecting sales unless the person is registered under this chapter as a broker-dealer or salesperson."

Senator Fairley spoke in favor of adoption of the committee striking amendment.

The President Pro Tempore declared the question before the Senate to be the adoption of the committee striking amendment by the Committee on Financial Institutions, Housing & Consumer Protection to House Bill No. 2975.

                                                                                                                              The motion by Senator Fairley carried and the committee 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 "Washington;" strike the remainder of the title and insert "and amending RCW 21.20.320."

MOTION

                                                                                                                              On motion of Senator Fairley, the rules were suspended, House Bill No. 2975 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 Fairley and Benson spoke in favor of passage of the bill.

                                                                                                                              The President Pro Tempore declared the question before the Senate to be the final passage of House Bill No. 2975 as amended by the Senate.

ROLL CALL

                                                                                                                              The Secretary called the roll on the final passage of House Bill No. 2975 as amended by the Senate and the bill passed the Senate by the following vote: Yeas, 47; Nays, 0; Absent, 0; Excused, 2.

                                                                                                                              Voting yea: Senators 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, Morton, Mulliken, Parlette, Pflug, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 47

                                                                                                                              Excused: Senators McCaslin and Oke - 2

                                                                                                                              HOUSE BILL NO. 2975 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.

SECOND READING

                                                                                                                              ENGROSSED SUBSTITUTE HOUSE BILL NO. 2984, by House Committee on Local Government (originally sponsored by Representatives Springer, Jarrett, Simpson, Clibborn, B. Sullivan, Hasegawa, Sells, P. Sullivan, Moeller, Santos and Green)

                                                                                                                              Authorizing cities, towns, and counties to implement affordable housing incentive programs.

                                                                                                                              The measure was read the second time.

MOTION

                                                                                                                              Senator Fairley moved that the following committee striking amendment by the Committee on Financial Institutions, Housing & Consumer Protection be adopted.

                                                                                                                              Strike everything after the enacting clause and insert the following:

                                                                                                                              "NEW SECTION. Sec. 1. The legislature finds that as new market-rate housing developments are constructed and housing costs rise, there is a significant and growing number of low-income households that cannot afford market-rate housing in Washington state. The legislature finds that assistance to low-income households that cannot afford market-rate housing requires a broad variety of tools to address this serious, statewide problem. The legislature further finds that absent any incentives to provide low-income housing, market conditions will result in housing developments in many areas that lack units affordable to low-income households, circumstances that can cause adverse socioeconomic effects.

The legislature encourages cities, towns, and counties to enact or expand affordable housing incentive programs, including density bonuses and other incentives, to increase the availability of low-income housing for renter and owner occupancy that is located in largely market-rate housing developments throughout the community, consistent with local needs and adopted comprehensive plans. While this act establishes minimum standards for those cities, towns, and counties choosing to implement or expand upon an affordable housing incentive program, cities, towns, and counties are encouraged to enact programs that address local circumstances and conditions while simultaneously contributing to the statewide need for additional low-income housing.

NEW SECTION. Sec. 2. A new section is added to chapter 36.70A RCW to read as follows:

(1)(a) Any city or county planning under RCW 36.70A.040 may enact or expand affordable housing incentive programs providing for the development of low-income housing units through development regulations. An affordable housing incentive program may include, but is not limited to:

(i) Density bonuses within the urban growth area;

(ii) Height and bulk bonuses;

(iii) Fee waivers or exemptions;

(iv) Parking reductions;

(v) Expedited permitting, conditioned on provision of low-income housing units; or

(vi) Mixed use projects.

(b) The city or county may enact or expand such programs whether or not the programs may impose a tax, fee, or charge on the development or construction of property.

(c) If a developer chooses not to participate in an optional affordable housing incentive program adopted and authorized under this section, a city, county, or town may not condition, deny, or delay the issuance of a permit or development approval that is consistent with zoning and development standards on the subject property absent incentive provisions of this program.

(2) Affordable housing incentive programs enacted or expanded under this section shall comply with the following:

(a) The incentives or bonuses shall provide for the construction of low-income housing units;

(b) Jurisdictions shall establish standards for low-income renter or owner occupancy housing, including income guidelines consistent with local housing needs, to assist low-income households that cannot afford market-rate housing. Low-income households are defined for renter and owner occupancy program purposes as follows:

(i) Rental housing units to be developed shall be affordable to and occupied by households with an income of fifty percent or less of the county median family income, adjusted for family size; and

(ii) Owner occupancy housing units shall be affordable to and occupied by households with an income of eighty percent or less of the county median family income, adjusted for family size. The legislative authority of a jurisdiction, after holding a public hearing, may establish lower income levels. The legislative authority of a jurisdiction, after holding a public hearing, may also establish higher income levels for rental housing or for owner occupancy housing upon finding that higher income levels are needed to address local housing market conditions. The higher income level for rental housing may not exceed eighty percent of the county area median family income. The higher income level for owner occupancy housing may not exceed one hundred percent of the county area median family income. These established higher income levels must be considered "low-income" for the purposes of this section;

                                                                                                                              (c) The jurisdiction shall establish a maximum rent level or sales price for each low-income housing unit developed under the terms of a program and may adjust these levels or prices based on the average size of the household expected to occupy the unit. For renter-occupied housing units, the total housing costs, including basic utilities as determined by the jurisdiction, may not exceed thirty percent of the income limit for the low-income housing unit;

                                                                                                                              (d) Low-income housing units shall be provided in a range of sizes comparable to those units that are available to other residents. To the extent practicable, the number of bedrooms in low-income units must be in the same proportion as the number of bedrooms in units within the entire building. The low-income units shall generally be distributed throughout the building, except that units may be provided in an adjacent building. The low-income units shall have substantially the same functionality as the other units in the building or buildings;

                                                                                                                              (e) Low-income housing units developed under an affordable housing incentive program shall be committed to continuing affordability for at least fifty years. A local government, however, may accept payments in lieu of continuing affordability. The program shall include measures to enforce continuing affordability and income standards applicable to low-income units constructed under this section that may include, but are not limited to, covenants, options, or other agreements to be executed and recorded by owners and developers;

                                                                                                                              (f) Programs authorized under subsection (1) of this section may apply to part or all of a jurisdiction and different standards may be applied to different areas within a jurisdiction. Programs authorized under this section may be modified to meet local needs and may include provisions not expressly provided in this section or RCW 82.02.020; and

                                                                                                                              (g) Low-income housing units developed under an affordable housing incentive program are encouraged to be provided within market-rate housing developments for which a bonus or incentive is provided. However, programs may allow units to be provided in an adjacent building and may allow payments of money or property in lieu of low-income housing units if the payment equals the approximate cost of developing the same number and quality of housing units that would otherwise be developed. Any city or county shall use these funds or property to support the development of low-income housing, including support provided through loans or grants to public or private owners or developers of housing.

                                                                                                                              (3) Affordable housing incentive programs enacted or expanded under this section may be applied within the jurisdiction to address the need for increased residential development, consistent with local growth management and housing policies, as follows:

                                                                                                                              (a) The jurisdiction shall identify certain land use designations within a geographic area where increased residential development will assist in achieving local growth management and housing policies;

(b) The jurisdiction shall provide increased residential development capacity through zoning changes, bonus densities, height and bulk increases, parking reductions, or other regulatory changes or other incentives;

(c) The jurisdiction shall determine that increased residential development capacity or other incentives can be achieved within the identified area, subject to consideration of other regulatory controls on development; and

(d) The jurisdiction may establish a minimum amount of affordable housing that must be provided by all residential developments being built under the revised regulations, consistent with the requirements of this section.

Sec. 3. RCW 82.02.020 and 2005 c 502 s 5 are each amended to read as follows:

Except only as expressly provided in chapters 67.28 and 82.14 RCW, the state preempts the field of imposing taxes upon retail sales of tangible personal property, the use of tangible personal property, parimutuel wagering authorized pursuant to RCW 67.16.060, conveyances, and cigarettes, and no county, town, or other municipal subdivision shall have the right to impose taxes of that nature. Except as provided in RCW 82.02.050 through 82.02.090, no county, city, town, or other municipal corporation shall impose any tax, fee, or charge, either direct or indirect, on the construction or reconstruction of residential buildings, commercial buildings, industrial buildings, or on any other building or building space or appurtenance thereto, or on the development, subdivision, classification, or reclassification of land. However, this section does not preclude dedications of land or easements within the proposed development or plat which the county, city, town, or other municipal corporation can demonstrate are reasonably necessary as a direct result of the proposed development or plat to which the dedication of land or easement is to apply.

This section does not prohibit voluntary agreements with counties, cities, towns, or other municipal corporations that allow a payment in lieu of a dedication of land or to mitigate a direct impact that has been identified as a consequence of a proposed development, subdivision, or plat. A local government shall not use such voluntary agreements for local off-site transportation improvements within the geographic boundaries of the area or areas covered by an adopted transportation program authorized by chapter 39.92 RCW. Any such voluntary agreement is subject to the following provisions:

(1) The payment shall be held in a reserve account and may only be expended to fund a capital improvement agreed upon by the parties to mitigate the identified, direct impact;

(2) The payment shall be expended in all cases within five years of collection; and

(3) Any payment not so expended shall be refunded with interest to be calculated from the original date the deposit was received by the county and at the same rate applied to tax refunds pursuant to RCW 84.69.100; however, if the payment is not expended within five years due to delay attributable to the developer, the payment shall be refunded without interest.

No county, city, town, or other municipal corporation shall require any payment as part of such a voluntary agreement which the county, city, town, or other municipal corporation cannot establish is reasonably necessary as a direct result of the proposed development or plat.

Nothing in this section prohibits cities, towns, counties, or other municipal corporations from collecting reasonable fees from an applicant for a permit or other governmental approval to cover the cost to the city, town, county, or other municipal corporation of processing applications, inspecting and reviewing plans, or preparing detailed statements required by chapter 43.21C RCW.

                                                                                                                              This section does not limit the existing authority of any county, city, town, or other municipal corporation to impose special assessments on property specifically benefitted thereby in the manner prescribed by law.

                                                                                                                              Nothing in this section prohibits counties, cities, or towns from imposing or permits counties, cities, or towns to impose water, sewer, natural gas, drainage utility, and drainage system charges: PROVIDED, That no such charge shall exceed the proportionate share of such utility or system's capital costs which the county, city, or town can demonstrate are attributable to the property being charged: PROVIDED FURTHER, That these provisions shall not be interpreted to expand or contract any existing authority of counties, cities, or towns to impose such charges.

                                                                                                                              Nothing in this section prohibits a transportation benefit district from imposing fees or charges authorized in RCW 36.73.120 nor prohibits the legislative authority of a county, city, or town from approving the imposition of such fees within a transportation benefit district.

                                                                                                                              Nothing in this section prohibits counties, cities, or towns from imposing transportation impact fees authorized pursuant to chapter 39.92 RCW.

                                                                                                                              Nothing in this section prohibits counties, cities, or towns from requiring property owners to provide relocation assistance to tenants under RCW 59.18.440 and 59.18.450.

Nothing in this section limits the authority of counties, cities, or towns to implement programs consistent with section 2 of this act, nor to enforce agreements made pursuant to such programs.

                                                                                                                              This section does not apply to special purpose districts formed and acting pursuant to Titles 54, 57, or 87 RCW, nor is the authority conferred by these titles affected.

                                                                                                                              NEW SECTION. Sec. 4. The powers granted in this act are supplemental and additional to the powers otherwise held by local governments, and nothing in this act shall be construed as a limit on such powers. The authority granted in this act shall extend to any affordable housing incentive program enacted or expanded prior to the effective date of this act if the extension is adopted by the applicable local government in an ordinance or resolution."

                                                                                                                              Senator Fairley spoke in favor of adoption of the committee striking amendment.

                                                                                                                              The President Pro Tempore declared the question before the Senate to be the adoption of the committee striking amendment by the Committee on Financial Institutions, Housing & Consumer Protection to Engrossed Substitute House Bill No. 2984.

                                                                                                                              The motion by Senator Fairley carried and the committee 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 "programs;" strike the remainder of the title and insert "amending RCW 82.02.020; adding a new section to chapter 36.70A RCW; and creating new sections."

MOTION

                                                                                                                              On motion of Senator Fairley, the rules were suspended, Engrossed Substitute House Bill No. 2984 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 Fairley, Benson, Roach and Benton spoke in favor of passage of the bill.

The President Pro Tempore declared the question before the Senate to be the final passage of Engrossed Substitute House Bill No. 2984 as amended by the Senate.

ROLL CALL

The Secretary called the roll on the final passage of Engrossed Substitute House Bill No. 2984 as amended by the Senate and the bill passed the Senate by the following vote: Yeas, 47; Nays, 0; Absent, 0; Excused, 2.

Voting yea: Senators 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, Morton, Mulliken, Parlette, Pflug, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schmidt, Schoesler, Sheldon, Shin, Spanel, Stevens, Swecker, Thibaudeau, Weinstein and Zarelli - 47

Excused: Senators McCaslin and Oke - 2

ENGROSSED SUBSTITUTE HOUSE BILL NO. 2984 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.

SECOND READING

HOUSE BILL NO. 2520, by Representative Nixon

Recodifying and making technical corrections to public disclosure law.

The measure was read the second time.

MOTION

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

On page 21, after line 4, insert the following:

"Sec. 16. RCW 42.17.093 and 2003 c 123 s 2 are each amended to read as follows:

(1) An out-of-state political committee organized for the purpose of supporting or opposing candidates or ballot propositions in another state that is not otherwise required to report under RCW 42.17.040 through 42.17.090 shall report as required in this section when it makes an expenditure supporting or opposing a Washington state candidate or political committee. The committee shall file with the commission a statement disclosing:

(a) Its name and address;

(b) The purposes of the out-of-state committee;

(c) The names, addresses, and titles of its officers or, if it has no officers, the names, addresses, and the titles of its responsible leaders;

(d) The name, office sought, and party affiliation of each candidate in the state of Washington whom the out-of-state committee is supporting or opposing and, if such committee is supporting or opposing the entire ticket of any party, the name of the party;

(e) The ballot proposition supported or opposed in the state of Washington, if any, and whether such committee is in favor of or opposed to such proposition;

                                                                                                                              (f) The name and address of each person residing in the state of Washington or corporation which has a place of business in the state of Washington who has made one or more contributions in the aggregate of more than twenty-five dollars to the out-of-state committee during the current calendar year, together with the money value and date of such contributions;

                                                                                                                              (g) The name, address, and employer of each person or corporation residing outside the state of Washington who has made one or more contributions in the aggregate of more than two thousand five hundred dollars to the out-of-state committee during the current calendar year, together with the money value and date of such contributions. Annually, the commission must modify the two thousand five hundred dollar limit in this subsection based on percentage change in the implicit price deflator for personal consumption expenditures for the United States as published for the most recent twelve-month period by the bureau of economic analysis of the federal department of commerce;

                                                                                                                              (h) The name and address of each person in the state of Washington to whom an expenditure was made by the out-of-state committee with respect to a candidate or political committee in the aggregate amount of more than fifty dollars, the amount, date, and purpose of such expenditure, and the total sum of such expenditures; and

                                                                                                                              (((h))) (i) Such other information as the commission may prescribe by rule in keeping with the policies and purposes of this chapter.

                                                                                                                              (2) Each statement shall be filed no later than the ((twentieth)) tenth day of the month following any month in which a contribution or other expenditure reportable under subsection (1) of this section is made. An out-of-state committee incurring an obligation to file additional statements in a calendar year may satisfy the obligation by timely filing reports that supplement previously filed information.

                                                                                                                              (((3) A political committee required to file campaign reports with the federal election commission or its successor is exempt from reporting under this section.))

                                                                                                                              NEW SECTION. Sec. 17. 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."

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

                                                                                                                              On page 1, line 4 of the title, after "74.42.640," strike "and 90.64.190" and insert "90.64.190, and 42.17.093"

                                                                                                                              Senator Benton spoke in favor of adoption of the amendment.

POINT OF ORDER

Senator Kastama: “Thank you Madam President. I request a ruling on the scope and object regarding this.”

                                                                                                                              Senator Kastama spoke in favor of the motion.

                                                                                                                              Senator Benton spoke against the motion.

                                                                                                                              The President assumed the chair.

MOTION

On motion of Senator Eide, further consideration of House Bill No. 2520 was deferred and the bill held its place on the second reading calendar.

SECOND READING

SUBSTITUTE HOUSE BILL NO. 2780, by House Committee on Appropriations (originally sponsored by Representatives McDermott, Hunt, Santos, Cody, Sells, Conway, Kenney, Ormsby, Williams, Green, Dunshee, Campbell, Appleton, Chase and Hasegawa)

Authorizing additional payroll deductions for state employees.

The measure was read the second time.

MOTION

On motion of Senator Kastama, the rules were suspended, Substitute House Bill No. 2780 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

Senators Kastama and Brown spoke in favor of passage of the bill.

Senator Honeyford spoke against passage of the bill.

The President declared the question before the Senate to be the final passage of Substitute House Bill No. 2780.

ROLL CALL

The Secretary called the roll on the final passage of Substitute House Bill No. 2780 and the bill passed the Senate by the following vote: Yeas, 37; Nays, 9; Absent, 1; Excused, 2.

Voting yea: Senators Benson, Benton, Berkey, Brandland, Brown, Deccio, Delvin, Doumit, Eide, Esser, Fairley, Franklin, Fraser, Hargrove, Haugen, Jacobsen, Johnson, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schoesler, Sheldon, Shin, Spanel, Swecker, Thibaudeau, Weinstein and Zarelli - 37

Voting nay: Senators Carrell, Finkbeiner, Hewitt, Honeyford, Morton, Mulliken, Parlette, Pflug and Stevens - 9

Absent: Senator Schmidt - 1

Excused: Senators McCaslin and Oke - 2

SUBSTITUTE HOUSE BILL NO. 2780, 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.

SECOND READING

SUBSTITUTE HOUSE BILL NO. 3085, by House Committee on Natural Resources, Ecology & Parks (originally sponsored by Representatives Blake, Kretz, B. Sullivan, Orcutt, Haler and Ericks)

Making technical corrections to certain public lands statutes.

The measure was read the second time.

MOTION

On motion of Senator Jacobsen, the rules were suspended, Substitute House Bill No. 3085 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

Senator Jacobsen spoke in favor of passage of the bill.

MOTION

On motion of Senator Schoesler, Senators Schmidt and Honeyford were excused.

                                                                                                                              The President declared the question before the Senate to be the final passage of Substitute House Bill No. 3085.

ROLL CALL

                                                                                                                              The Secretary called the roll on the final passage of Substitute House Bill No. 3085 and the bill passed the Senate by the following vote: Yeas, 45; Nays, 0; Absent, 0; Excused, 4.

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

                                                                                                                              Excused: Senators Honeyford, McCaslin, Oke and Schmidt - 4

                                                                                                                              SUBSTITUTE HOUSE BILL NO. 3085, 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.

SECOND READING

                                                                                                                              SUBSTITUTE HOUSE BILL NO. 2898, by House Committee on State Government Operations & Accountability (originally sponsored by Representatives Hunt and Williams)

                                                                                                                              Regulating distribution of communications by state employees.

                                                                                                                              The measure was read the second time.

MOTION

                                                                                                                              On motion of Senator Kastama, the rules were suspended, Substitute House Bill No. 2898 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

                                                                                                                              Senators Kastama and Benton spoke in favor of passage of the bill.

                                                                                                                              Senator Honeyford spoke against passage of the bill.

POINT OF INQUIRY

Senator Deccio: “Senator Kastama, would you yield to a question? How do they communicate now?”

Senator Kastama: “They are limited by communicating by the mail predominately. That’s all they can do or if they have the personal email for someone’s home but that is the only method. As the Senator mentioned, many times when there is just a meeting in a short notice there unable to receive that information. Actually, in committee, the number of emails that a person receives is fairly prolific. This seems fairly common sense to add this to that in a deminimous manner though.”

Senator Deccio: “Has that caused a great problem? I think Senator Honeyford makes a good point. You're talking about the ethics rules. Is it so demanding that we would have to pass this bill. They don’t get along with the way their communicating now?”

Senator Kastama: “Well, that’s interesting. I kind of went through the same level of inquisitiveness when I was looking at the bill and I guess I went through a process of elimination. This looks like a fairly common sense way to do it. How else are they going to have employees in one particular area can notify them on a short notice? Again I think there’s enough standards in place that this will not, in fact, cannot, obstruct the work place. With those standards I feel comfortable voting for the bill.”

Senator Mulliken spoke against passage of the bill.

Senator Fraser spoke in favor of passage of the bill.

The President declared the question before the Senate to be the final passage of Substitute House Bill No. 2898.

ROLL CALL

The Secretary called the roll on the final passage of Substitute House Bill No. 2898 and the bill passed the Senate by the following vote: Yeas, 39; Nays, 7; Absent, 0; Excused, 3.

Voting yea: Senators Benson, Benton, Berkey, Brandland, Brown, Carrell, Delvin, Doumit, Eide, Esser, Fairley, Finkbeiner, Franklin, Fraser, Hargrove, Haugen, Jacobsen, Johnson, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, Pflug, Poulsen, Prentice, Pridemore, Rasmussen, Regala, Roach, Rockefeller, Schoesler, Sheldon, Shin, Spanel, Swecker, Thibaudeau, Weinstein and Zarelli - 39

Voting nay: Senators Deccio, Hewitt, Honeyford, Morton, Mulliken, Parlette and Stevens - 7

Excused: Senators McCaslin, Oke and Schmidt - 3

SUBSTITUTE HOUSE BILL NO. 2898, 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.

SECOND READING

HOUSE BILL NO. 2617, by Representatives Kretz, Blake, Ahern, Schindler, Sump, Condotta, Holmquist, Kristiansen, Serben, Campbell, McDonald, Hinkle and Dunn

Allowing local jurisdictions to allow off-road vehicles to operate on designated city or county roads.

The measure was read the second time.

MOTION

Senator Haugen moved that the following committee striking amendment by the Committee on Transportation be not adopted.

Strike everything after the enacting clause and insert the following:

"Sec. 1. RCW 46.16.010 and 2005 c 350 s 1, 2005 c 323 s 2, and 2005 c 213 s 6 are each reenacted and amended to read as follows:

(1) It is unlawful for a person to operate any vehicle over and along a public highway of this state without first having obtained and having in full force and effect a current and proper vehicle license and display vehicle license number plates therefor as by this chapter provided.

(2) Failure to make initial registration before operation on the highways of this state is a traffic infraction, and any person committing this infraction shall pay a penalty of five hundred twenty-nine dollars, no part of which may be suspended or deferred.

                                                                                                                              (3) Failure to renew an expired registration before operation on the highways of this state is a traffic infraction.

                                                                                                                              (4) The licensing of a vehicle in another state by a resident of this state, as defined in RCW 46.16.028, evading the payment of any tax or license fee imposed in connection with registration, is a gross misdemeanor punishable as follows:

                                                                                                                              (a) For a first offense, up to one year in the county jail and payment of a fine of five hundred twenty-nine dollars plus twice the amount of delinquent taxes and fees, no part of which may be suspended or deferred;

                                                                                                                              (b) For a second or subsequent offense, up to one year in the county jail and payment of a fine of five hundred twenty-nine dollars plus four times the amount of delinquent taxes and fees, no part of which may be suspended or deferred;

                                                                                                                              (c) For fines levied under (b) of this subsection, an amount equal to the avoided taxes and fees owed will be deposited in the vehicle licensing fraud account created in the state treasury;

                                                                                                                               (d) The avoided taxes and fees shall be deposited and distributed in the same manner as if the taxes and fees were properly paid in a timely fashion.

                                                                                                                              (5) These provisions shall not apply to the following vehicles:

                                                                                                                              (a) Motorized foot scooters;

                                                                                                                              (b) Electric-assisted bicycles;

                                                                                                                              (c) Off-road vehicles operating on nonhighway roads under RCW 46.09.115;

                                                                                                                              (d) Farm vehicles if operated within a radius of fifteen miles of the farm where principally used or garaged, farm tractors and farm implements including trailers designed as cook or bunk houses used exclusively for animal herding temporarily operating or drawn upon the public highways, and trailers used exclusively to transport farm implements from one farm to another during the daylight hours or at night when such equipment has lights that comply with the law;

                                                                                                                              (e) Spray or fertilizer applicator rigs designed and used exclusively for spraying or fertilization in the conduct of agricultural operations and not primarily for the purpose of transportation, and nurse rigs or equipment auxiliary to the use of and designed or modified for the fueling, repairing, or loading of spray and fertilizer applicator rigs and not used, designed, or modified primarily for the purpose of transportation;

                                                                                                                              (f) Fork lifts operated during daylight hours on public highways adjacent to and within five hundred feet of the warehouses which they serve: PROVIDED FURTHER, That these provisions shall not apply to vehicles used by the state parks and recreation commission exclusively for park maintenance and operations upon public highways within state parks;

                                                                                                                              (g) "Trams" used for transporting persons to and from facilities related to the horse racing industry as regulated in chapter 67.16 RCW, as long as the public right-of-way routes over which the trams operate are not more than one mile from end to end, the public rights-of-way over which the tram operates have an average daily traffic of not more than 15,000 vehicles per day, and the activity is in conformity with federal law. The operator must be a licensed driver and at least eighteen years old. For the purposes of this section, "tram" also means a vehicle, or combination of vehicles linked together with a single mode of propulsion, used to transport persons from one location to another;

                                                                                                                              (h) "Special highway construction equipment" defined as follows: Any vehicle which is designed and used primarily for grading of highways, paving of highways, earth moving, and other construction work on highways and which is not designed or used primarily for the transportation of persons or property on a public highway and which is only incidentally operated or moved over the highway. It includes, but is not limited to, road construction and maintenance machinery so designed and used such as portable air compressors, air drills, asphalt spreaders, bituminous mixers, bucket loaders, track laying tractors, ditchers, leveling graders, finishing machines, motor graders, paving mixers, road rollers, scarifiers, earth moving scrapers and carryalls, lighting plants, welders, pumps, power shovels and draglines, self-propelled and tractor-drawn earth moving equipment and machinery, including dump trucks and tractor-dump trailer combinations which either (i) are in excess of the legal width, or (ii) which, because of their length, height, or unladen weight, may not be moved on a public highway without the permit specified in RCW 46.44.090 and which are not operated laden except within the boundaries of the project limits as defined by the contract, and other similar types of construction equipment, or (iii) which are driven or moved upon a public highway only for the purpose of crossing such highway from one property to another, provided such movement does not exceed five hundred feet and the vehicle is equipped with wheels or pads which will not damage the roadway surface.

Exclusions:

"Special highway construction equipment" does not include any of the following:

Dump trucks originally designed to comply with the legal size and weight provisions of this code notwithstanding any subsequent modification which would require a permit, as specified in RCW 46.44.090, to operate such vehicles on a public highway, including trailers, truck-mounted transit mixers, cranes and shovels, or other vehicles designed for the transportation of persons or property to which machinery has been attached.

(6) The following vehicles, whether operated solo or in combination, are exempt from license registration and displaying license plates as required by this chapter:

(a) A converter gear used to convert a semitrailer into a trailer or a two-axle truck or tractor into a three or more axle truck or tractor or used in any other manner to increase the number of axles of a vehicle. Converter gear includes an auxiliary axle, booster axle, dolly, and jeep axle.

(b) A tow dolly that is used for towing a motor vehicle behind another motor vehicle. The front or rear wheels of the towed vehicle are secured to and rest on the tow dolly that is attached to the towing vehicle by a tow bar.

(c) An off-road vehicle operated on a street or highway as authorized under RCW 46.09.180.

(7)(a) A motor vehicle subject to initial or renewal registration under this section shall not be registered to a natural person unless the person at time of application:

(i) Presents an unexpired Washington state driver's license; or

(ii) Certifies that he or she is:

(A) A Washington resident who does not operate a motor vehicle on public roads; or

(B) Exempt from the requirement to obtain a Washington state driver's license under RCW 46.20.025.

(b) For shared or joint ownership, the department will set up procedures to verify that all owners meet the requirements of this subsection.

(c) A person falsifying residency is guilty of a gross misdemeanor punishable only by a fine of five hundred twenty-nine dollars.

(d) The department may adopt rules necessary to implement this subsection, including rules under which a natural person applying for registration may be exempt from the requirements of this subsection where the person provides evidence satisfactory to the department that he or she has a valid and compelling reason for not being able to meet the requirements of this subsection.

                                                                                                                              Sec. 2. RCW 46.09.115 and 2005 c 213 s 4 are each amended to read as follows:

                                                                                                                              (1) Except as otherwise provided in this section, it is lawful to operate an off-road vehicle upon:

                                                                                                                               (a) A nonhighway road and in parking areas serving designated off-road vehicle areas if the state, federal, local, or private authority responsible for the management of the nonhighway road authorizes the use of off-road vehicles; and