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                             ENGROSSED HOUSE BILL 1244

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State of Washington              52nd Legislature             1991 Regular Session

By Representatives Heavey, Cole, R. King, Winsley, Jones, Prentice, O'Brien, R. Meyers, Ebersole and Rasmussen.

Read first time January 23, 1991.  Referred to Committee on Commerce & Labor.Requiring a study by the legislative budget committee of employer avoidance of industrial insurance premiums and unemployment compensation contributions.

     AN ACT Relating to employers' payment of industrial insurance premiums and unemployment compensation contributions; and creating a new section.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1.      The employment security department and the department of labor and industries shall investigate the practice by some construction contractors of avoiding employer obligations for industrial insurance premiums and unemployment compensation contributions under RCW 51.08.180, 50.04.140, and 50.04.145 by requiring workers employed by them to register under RCW 18.27.020 as contractors.  The departments shall, by December 1, 1991, submit a report to the legislature on the extent of the practice and the amount of funds lost to the state and make recommendations for legislative or agency action.