SENATE BILL REPORT

                           SSB 5357

               AS PASSED SENATE, MARCH 15, 1993

Brief Description:  Requiring contractors for school employment service contracts to provide health care and retirement benefits commensurate with those provided for classified employees providing similar services.

SPONSORS: Senate Committee on Education (originally sponsored by Senators Pelz, Sutherland, Jesernig, Snyder, Gaspard, Fraser, Moore and Quigley)

SENATE COMMITTEE ON EDUCATION

Majority Report:  That Substitute Senate Bill No. 5357 be substituted therefor, and the substitute bill do pass. 

     Signed by Senators Pelz, Chairman; McAuliffe, Vice Chairman; Gaspard, M. Rasmussen, Rinehart, Skratek, and A. Smith.

Staff:  Leslie Goldstein (786‑7424)

Hearing Dates: February 8, 1993; March 1, 1993

HOUSE COMMITTEE ON APPROPRIATIONS

BACKGROUND:

School district boards of directors have the authority to contract out for services including services such as transportation and janitorial services. 

SUMMARY:

When a school district enters into a contract for services formerly performed by classified school employees, the contract must contain a clause requiring the contractor to provide similar benefits to those provided for  school employees.  The requirement does not apply to contracts for services previously  performed by employees in director/supervisor, professional and technical positions.  The requirement does not apply to service contracts that are temporary, do not continue, or will not recur.

Appropriation:  none

Revenue:  none

Fiscal Note:  available

TESTIMONY FOR:

Contracting out for services hurts classified employees.  This legislation would provide equity.  Private employers frequently do not provide the same benefits as do school districts and it gives them an advantage in submitting proposals for contracting out services.

TESTIMONY AGAINST:

School districts have the responsibility to make the best use of their scarce resources.  Unnecessary restrictions should not be placed on contracting out services.

TESTIFIED:  PRO:  Diane Jones, Bobbie Passant, Michell McIntyre, Jill Raffelson, Kathy Maddux, Lynn McKinnon, Public School Employees; David Westberg, Operating Engineers; Randy Parr, Service Employees International Union; CON: Marcia Costello, Washington Assn. of School Administrators; Tom Dooley, Assn. of Washington Business; Dwayne Slate, WA State School Directors

HOUSE AMENDMENT(S):

When a school district enters into a contract for services formerly performed by classified employees, the contract must contain a clause requiring the contractor to provide health benefits.  These benefits are not required to be greater than those provided in the Basic Health Plan.  A school district or ESD is required to conduct a feasibility study, to be reviewed by the Superintendent of Public Instruction and subject to collective bargaining, before contracting out for services.  These provisions apply only if the contract would be for services provided by classified employees as of the effective date of the act.