FINAL BILL REPORT

SSB 6190

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.

C 250 L 20

Synopsis as Enacted

Brief Description: Preserving the developmental disabilities community trust.

Sponsors: Senate Committee on Health & Long Term Care (originally sponsored by Senators Braun, Keiser and Kuderer).

Senate Committee on Health & Long Term Care

Senate Committee on Ways & Means

House Committee on Capital Budget

Background: The Department of Social and Health Services (DSHS) operates four residential habilitation centers (RHCs) which provide 24/7 care to individuals with developmental disabilities. In 2005, the Legislature established the trust account, known as the Dan Thompson Memorial Trust Account. The account receives proceeds from the alternative use of excess property at the RHCs. Lease and rent payments for surplus land must be deposited in the account and only be spent to provide family support, employment, or day services to eligible persons with developmental disabilities who can be served by community-based developmental disability services.

Summary: The Dan Thompson Memorial Developmental Disabilities Community Trust Account is restructured and renamed the Dan Thompson Memorial Developmental Disabilities Community Services Account (account). The requirement that proceeds from certain excess DSHS property on RHCs be deposited in the account and related definitions are removed.

The definition of account "proceeds" is revised. Proceeds from the sale of certain RHC land must be deposited in the account, and sales or leases must be at fair market value. Net proceeds for leases, conservation easements, or timber sales must be deposited in the account. The Legislature may also make deposits to the account. Real property DSHS determines is required for operations of RHCs is excluded from the real property that may be leased or sold for the benefit of the account. Proceeds from real property owned by the charitable, educational, penal, and reformatory institutions trust may not be deposited in the account.

The distinction in the account between "investment earnings" and "principal" is removed, as is the prohibition on spending the principal of the account. The declaration that the excess land is the principal of the account is removed.

The State Investment Board must invest the trust funds and routinely consult and communicate with DSHS and the Legislature on the investment policy, earnings of the account, and related needs of the account.

Account funds may be used for supports and services in a community setting to benefit individuals with developmental disabilities or for the investment expenses of the State Investment Board. DSHS must consult with the Washington State Developmental Disabilities Council regarding expenditures from the account.

Votes on Final Passage:

Senate

45

1

House

95

2

(House amended)

Senate

47

1

(Senate concurred)

Effective:

June 11, 2020