SB 5310

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 Senate, March 7, 2019

Title: An act relating to correcting agency names and accounts in statutes to reflect the organizational structure, duties, and responsibilities of the office of financial management.

Brief Description: Correcting agency names and accounts in statutes to reflect the organizational structure, duties, and responsibilities of the office of financial management.

Sponsors: Senator Hunt; by request of Office of Financial Management.

Brief History:

Committee Activity: State Government, Tribal Relations & Elections: 2/01/19, 2/06/19 [DP].

Floor Activity:

Passed Senate: 3/07/19, 47-0.

Brief Summary of Bill

  • Authorizes the Office of Financial Management (OFM) to administer, maintain and operate the central personnel-payroll system.

  • Corrects agency names and accounts in statutes to reflect the duties and responsibilities of OFM.


Majority Report: Do pass.

Signed by Senators Hunt, Chair; Kuderer, Vice Chair; Zeiger, Ranking Member; Bailey, Hasegawa, Hawkins and Takko.

Staff: Melissa Van Gorkom (786-7491)

Background: Consolidated Technology Services. The Legislature established the Consolidated Technology Services (CTS) agency, most commonly referred to as WaTech, and the Office of the Chief Information Officer (OCIO) in 2011. OCIO prepares a state strategic Information Technology (IT) plan that includes a statewide mission, goals, and objectives for the use of IT, including goals for electronic access to government records, information, and services. In 2015, the IT functions of the Department of Enterprise Services (DES) transferred to WaTech, including the administration of the central personnel-payroll system.

Office of Financial Management. The Office of Financial Management (OFM), originally named the Office of Program Planning and Fiscal Management, was created in 1969 as a division of the Office of the Governor, to integrate the short- and long-term planning and fiscal activities of state government. Throughout its existence, the Legislature has assigned OFM various statutory functions, including state human resources.

Under the Civil Service Reform Act of 2002, the authority to adopt civil service rules, including rules pertaining to job classifications and layoff criteria, were transferred from the Washington Personnel Resource Board (Board) to the Human Resources Director.

Accounts. In 2015, the Data Processing Revolving Account (DPR Account), managed by the DES, was replaced with four IT revolving accounts CTS Revolving Account, statewide IT System Development Revolving Account, statewide IT System Maintenance and Operations Revolving Account, and shared IT System Revolving Account — and the residual balance of funds remaining in the DPR Account were apportioned to those accounts. The statewide IT System Development Revolving Account is an appropriated account for developing and acquiring enterprise IT systems managed by OFM.

The Personnel Services Fund is an internal service fund used to support provisions of various personnel related services and programs. Examples of programs or services include statewide personnel administration as well as training and recruitment. The account is appropriated. By statute, only OFM is authorized to expend from the account.

Summary of Bill: OFM, rather that CTS, is authorized to administer, maintain and operate the central personnel-payroll system.

References to the DPR Account no longer used by the state are removed. OFM is authorized to use the Statewide IT System Maintenance and Operations Revolving Account to facilitate proper and equitable distribution of costs to state agencies.

References under the statute are updated to reflect the change in civil service authority, moving the authority from the Board to the state Human Resources director under OFM.

Appropriation: None.

Fiscal Note: Available.

Creates Committee/Commission/Task Force that includes Legislative members: No.

Effective Date: The bill contains several effective dates. Please refer to the bill.

Staff Summary of Public Testimony: PRO: This bill is trying to clean up the statutes to reflect the agency responsible for the duties. Not all of the changes were captured in the legislation over the years, many of the changes came from the 2002 legislation which created the Department of Enterprise Services. The changes to move the human resource management system over to OFM is a result of the recent zero based budget report completed for WaTech which suggested that the oversight move to OFM.

Persons Testifying: PRO: Senator Sam Hunt, Prime Sponsor; Roselyn Marcus, Office of Financial Management.

Persons Signed In To Testify But Not Testifying: No one.