HOUSE BILL REPORT

                  HB 2359

             As Reported By House Committee On:

                       Human Services

Title:  An act relating to job placement for recipients and noncaretaker parents of recipients of aid to families with dependent children, food stamp, or unemployment insurance.

Brief Description:  Creating a job placement program for public assistance recipients.

Sponsors:  Representatives Cooke, Patterson, Mielke, Basich, Ballard, Linville, L. Thomas, Long, Horn, Sommers, Sehlin, Dorn, Brumsickle, Foreman, Wineberry, Brough, Talcott, Van Luven, Sheahan, Fuhrman, Edmondson, B. Thomas, Caver, Wood, Forner, Schoesler, Silver, Padden, Dyer, Dunshee, Backlund, Chandler, Quall, Jones, Shin, Eide, Tate and McMorris.

Brief History:

  Reported by House Committee on:

Human Services, February 3, 1994, DPS.

HOUSE COMMITTEE ON HUMAN SERVICES

Majority Report:  The substitute bill be substituted therefor and the substitute bill do pass.  Signed by 11 members:  Representatives Leonard, Chair; Thibaudeau, Vice Chair; Cooke, Ranking Minority Member; Talcott, Assistant Ranking Minority Member; Brown; Caver; Karahalios; Lisk; Padden; Patterson and Wolfe.

Staff:  Dave Knutson (786-7146).

Background:  Public assistance recipients who get off and stay off assistance typically enter employment in the private sector.  Current efforts to increase a public/private partnership in moving public assistance recipients to financial independence can reduce public sector expenditures, increase revenues through productive employment, and improve the lives of former recipients of public assistance.

Summary of Substitute Bill:  The Department of Social and Health Services will establish a voluntary wage supplementation program where aid to families with dependent children grants are used to supplement wages paid to recipients by private employers.  Recipients must be paid at least $5.00 per hour and receive the same benefits provided to other workers.  Local employment councils will assist in the implementation of pilot projects to match aid to families with dependent children recipients with employers.  Training wages may be paid if permitted by federal law.  The Department of Social and Health Services will administer the program and will contract with local nonprofit organizations to carry it out.

Substitute Bill Compared to Original Bill:  The substitute bill removes all language from the original bill and amends Chapter 50.63 RCW.  The substitute bill establishes a voluntary wage supplementation program where aid to families with dependent children grants are used to supplement wages paid to recipients by private employers.  Recipients must be paid at least $5.00 per hour and receive the same benefits provided to other workers.  Local employment councils will assist in the implementation of pilot projects to match aid to families with dependent children recipients with employers.  Training wages may be paid if permitted by federal law.  The Department of Social and Health Services will administer the program and will contract with local nonprofit organizations to carry it out.

Fiscal Note:  Requested January 25, 1994.

Effective Date of Substitute Bill:  Ninety days after adjournment of session in which bill is passed.

Testimony For:  Recipients of aid to families with dependent children want to work.  This is a positive approach to moving recipients from dependence to independence.

Testimony Against:  None.

Witnesses:  Valera Fetterman (pro); Jeffery Tucker, Western Distribution Services, Inc. (pro); and Lynn Roberts, Washington Women's Employment & Education.