HOUSE BILL REPORT

SSB 5746

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

As Passed House - Amended:

March 2, 2018

Title: An act relating to the association of Washington generals.

Brief Description: Concerning the association of Washington generals.

Sponsors: Senate Committee on State Government, Tribal Relations & Elections (originally sponsored by Senators Kuderer and Pearson; by request of Lieutenant Governor).

Brief History:

Committee Activity:

State Government, Elections & Information Technology: 2/21/18, 2/23/18 [DPA];

Transportation: 2/26/18 [DPA(SEIT & TR)].

Floor Activity:

Passed House - Amended: 3/2/18, 92-6.

Brief Summary of Substitute Bill

(As Amended by House)

  • Expands the purpose of the Association of Washington Generals (AWG).

  • Requires the AWG board of directors to adopt bylaws and establish transparency policies.

  • Authorizes the Office of the Lieutenant Governor, in collaboration with the AWG, to administer the Washington World Fellows Program (fellows program) and the sports mentoring program.

  • Directs the Office of the Lieutenant Governor to submit to the Legislature an annual financial report that details revenues and expenditures for the fellows program and sports mentoring program.

  • Removes the baseball stadium special license plate, modifies the allocation of proceeds from the Seattle Seahawks special license plate, and creates the Seattle Mariners license plate for the purpose of funding the fellows program and sports mentoring program.

HOUSE COMMITTEE ON STATE GOVERNMENT, ELECTIONS & INFORMATION TECHNOLOGY

Majority Report: Do pass as amended. Signed by 6 members: Representatives Hudgins, Chair; Dolan, Vice Chair; Appleton, Gregerson, Irwin and Pellicciotti.

Minority Report: Without recommendation. Signed by 2 members: Representatives McDonald, Ranking Minority Member; Kraft, Assistant Ranking Minority Member.

Minority Report: Do not pass. Signed by 1 member: Representative Johnson.

Staff: Desiree Omli (786-7105).

HOUSE COMMITTEE ON TRANSPORTATION

Majority Report: Do pass as amended by Committee on State Government, Elections & Information Technology as further amended by Committee on Transportation. Signed by 21 members: Representatives Clibborn, Chair; Fey, Vice Chair; Wylie, Vice Chair; Orcutt, Ranking Minority Member; Harmsworth, Assistant Ranking Minority Member; Chapman, Gregerson, Hayes, Irwin, Kloba, Lovick, McBride, Morris, Ortiz-Self, Pellicciotti, Riccelli, Rodne, Stambaugh, Tarleton, Valdez and Van Werven.

Minority Report: Do not pass. Signed by 3 members: Representatives Pike, Shea and Young.

Minority Report: Without recommendation. Signed by 1 member: Representative Hargrove, Assistant Ranking Minority Member.

Staff: Mark Matteson (786-7145).

Background:

Association of Washington Generals.

The Association of Washington Generals (AWG) is organized as a private, nonprofit, nonpartisan corporation that formally recognizes individuals' outstanding service to the state. The AWG brings those individuals together to serve as ambassadors of trade, tourism, and international goodwill. Its activities may include operating a statewide essay competition and training and promoting Washington Generals as ambassadors of the state. The AWG Board of Directors (Board) includes the Governor, Lieutenant Governor, and Secretary of State, as nonvoting members, and other designated officers and members. The Board reviews nominations for, and selects, the Washington Generals. The Office of the Lieutenant Governor may provide technical and financial assistance for the AWG.

Special License Plate Fees.

The Department of Licensing (DOL) issues special vehicle license plates that may be used in lieu of standard plates. A governmental body, organization, or professional sports franchise may sponsor a special plate if certain requirements are met.

A holder of a special license plate must pay the appropriate fee, depending on the specific special license plate requested. Remaining fees collected from special license plates, after deduction for administration expenses, are credited to the appropriate account for the corresponding special license plate. Each account has conditions for use of the funds deposited.

Examples of special license plates approved by the DOL include the baseball stadium special plates, Seattle Seahawks special plates, and the Seattle Sounders FC special plates. These special plates require a $40 fee for the original issuance of the plate and a $30 renewal fee. Proceeds from the Seattle Seahawks special plates must be used by the nonprofit organization, InvestED, to encourage secondary students who have economic needs to stay in school, return to school, or get involved within their learning community. Up to 30 percent, not to exceed $40,000 annually, as adjusted for inflation, of the proceeds from the Seattle Sounders FC special plates are distributed to the AWG.

Proceeds from the baseball stadium special plates are dedicated to baseball stadium bond retirement. The bonds from the stadium were paid off in 2011. Upon retirement of the bonds issued for the construction of the baseball stadium, the state treasurer credits the proceeds to the State General Fund.

Summary of Amended Bill:

Association of Washington Generals and the Office of Lieutenant Governor.

The purpose of the AWG is extended to include expanding educational, sports, and/or employment opportunities for youth, veterans, and people with disabilities in Washington. The AWG's activities are modified to eliminate the operation of a statewide essay competition. The Board must adopt bylaws and establish governance and transparency policies.

The Office of the Lieutenant Governor is responsible for administering the Washington World Fellows Program (fellows program), a college readiness and study abroad fellowship, and is authorized to collaborate with the AWG to administer the program.

Beginning January 1, 2019, the sports mentoring program is established under the Office of Lieutenant Governor to enable eligible nonprofit community-based organizations to provide opportunities to underserved youth to join sports teams or otherwise participate in the area of sports. Program goals include supporting youth in building self-confidence, developing skills in the areas of goal setting and collaboration, and promoting a healthy lifestyle through forming positive relationships with peers and family, avoiding risky or delinquent behavior, and achieving educational success. The Office of Lieutenant Governor will collaborate with the AWG to administer the sports mentoring program, including issuing competitive grants to eligible organizations. Certain considerations are prioritized in reviewing grant applications from eligible organizations, such as whether services provided by the organization are provided for free. In addition, eligible organizations must meet certain criteria, such as be a 501(c)(3) nonprofit organization, conduct criminal background checks for employees and volunteer mentors who work with children, adopt standards of care, and ensure that at least 60 percent of youth served are eligible for free or reduced-price lunch.

The Office of Lieutenant Governor must compile a financial report by January 15 each year, detailing all revenues and expenditures associated with the fellows program and the sports mentoring program.

The Office of the Lieutenant Governor must post information on its website of all funds received and expended by the AWG.

Special License Plate Fees.

The allocation of the Seattle Seahawks special license plate fees is adjusted. Up to 25 percent is distributed to the Office of the Lieutenant Governor for the purpose of administering the fellows program. Seventy-five percent is retained by InvestED.

Beginning January 1, 2019, the authorization for a baseball stadium special license plate and related statutory provisions are removed. A Seattle Mariners logo themed special license plate is created and the associated Seattle Mariners account is established. The net proceeds from the Seattle Mariners special license plate will be distributed to the Office of Lieutenant Governor for the purpose of the fellows program and the sports mentoring program as follows: 75 percent to administer the sports mentoring program, and up to 25 percent to administer the fellows program

Of the amounts received by the Office of Lieutenant Governor from the Seattle Seahawks account, at least 90 percent must be provided as fellowships under the fellows program. Similarly, of the amounts received from the Seattle Mariners account, at least 90 percent must be applied towards services directly provided to youth participants in the sports mentoring program.

Appropriation: None.

Fiscal Note: Available.

Effective Date of Amended Bill: The bill takes effect 90 days after adjournment of the session in which the bill is passed.

Staff Summary of Public Testimony (State Government, Elections & Information Technology):

(In support) The Office of the Lieutenant Governor provides support to the AWG. The bill updates the statute to match what the AWG is currently doing. The new funds provided by the Seattle Seahawks special plates will be dedicated to a new study abroad program for underserved students. The Seattle Seahawks is supportive of using proceeds for its special plates for this purpose.

(Opposed) None.

Staff Summary of Public Testimony (Transportation):

(In support) The AWG, modeled after the Kentucky Colonels, was started in 1970 to help youth, veterans, and people with disabilities to have more opportunities. This bill expands these opportunities by putting into statute the fellows program to help high school students study abroad where they can earn college credit. This is an invaluable experience for young people. Twenty-five percent of proceeds from the Seattle Seahawks license plate proceeds will be provided to support the fellows program. Equality and opportunity are at the heart of what the Seattle Seahawks stand for, and the Seattle Seahawks support this use of these funds. Nearly 19,000 people have the Seattle Seahawks license plate, resulting in a great amount of revenue that could be used to provide this life-changing opportunity for youth. There are 15 spots available now for the fellows program, and the fellows program received 270 applications from students all over Washington. Central Washington agreed to provide college credit to the students selected to participate in the fellows program. This bill provides increased transparency and good government measures for the AWG.

The baseball license plate in statute now is referred to as the "stadium plate" and the Seattle Mariners are trying to find another license plate for baseball fans. The Seattle Mariners would like to have a Seattle Mariners named plate and partner with an association similar to the AWG. The funds would be used towards youth sports for underprivileged youth. The Seattle Mariners would like to encourage an amendment that includes their organization in this legislation.

(Opposed) None.

Persons Testifying (State Government, Elections & Information Technology): Kristina Brown, Office of the Lieutenant Governor.

Persons Testifying (Transportation): Senator Kuderer, prime sponsor; Cyrus Habib, Office of Lieutenant Governor; Mike Flood, Seattle Seahawks; and Amber Carter, Seattle Mariners.

Persons Signed In To Testify But Not Testifying (State Government, Elections & Information Technology): None.

Persons Signed In To Testify But Not Testifying (Transportation): None.