SENATE BILL REPORT

                            SB 6107

  AS REPORTED BY COMMITTEE ON WAYS & MEANS, FEBRUARY 8, 1994

Brief Description:  Allowing fees for services for the department of community, trade, and economic development.

SPONSORS: Senators Skratek, Sheldon and M. Rasmussen

SENATE COMMITTEE ON TRADE, TECHNOLOGY & ECONOMIC DEVELOPMENT

Majority Report:  That Substitute Senate Bill No. 6107 be substituted therefor, and the substitute bill do pass. 

     Signed by Senators Skratek, Chairman; Sheldon, Vice Chairman; Bluechel, Erwin and M. Rasmussen.

Minority Report:  Do not pass. 

     Signed by Senator Williams.

Staff:  Jack Brummel (786‑7428)

Hearing Dates: January 14, 1994; February 3, 1994

SENATE COMMITTEE ON WAYS & MEANS

Majority Report:  That Second Substitute Senate Bill No. 6107 be substituted therefor, and the second substitute bill do pass. 

     Signed by Senators Rinehart, Chairman; Quigley, Vice Chairman; Bauer, Bluechel, Gaspard, Hargrove, Hochstatter, Ludwig, McDonald, Moyer, Niemi, Pelz, Roach, L. Smith, Snyder, Spanel, Sutherland, Talmadge, West and Wojahn.

Staff:  Martin Chaw (786-7711)

Hearing Dates: February 7, 1994; February 8, 1994

BACKGROUND:

Without specific statutory authorization to keep fees collected for services and products provided by an agency, the agency must turn the funds over to the Treasurer's office for deposit in the general fund.  By collecting fees for services or products and keeping the proceeds, an agency may expand the availability of such services or products.

SUMMARY:

The Department of Community, Trade and Economic Development and the Clean Washington Center are authorized to charge reasonable fees for services and products provided and expend the fees for the purposes for which they were collected.

The community and economic development fee account and the Clean Washington Center fee account are created as nonappropriated accounts in the Treasurer's office. 

EFFECT OF PROPOSED SUBSTITUTE:

Fees for conferences, workshops, and training programs are authorized.  Fees may also be charged for services and products provided in the areas of financial assistance, housing, international trade, community assistance and economic development.  The Office of Financial Management must approve a schedule of fees and the approved schedule of fees must be submitted to legislative committees.

The Pacific Northwest Export Assistance Project (PNEAP) may charge fees.  The requirement that receipts from PNEAP be deposited in the general fund or the small business export finance assistance fund is removed.

EFFECT OF PROPOSED SECOND SUBSTITUTE:

The community and economic development fee account and the Clean Washington Center fee account are established as appropriated accounts.  The fees are established subject to the Administrative Procedure Act.

Appropriation:  none

Revenue:  yes

Fiscal Note:  available

TESTIMONY FOR (Trade, Technology & Economic Development):

The bill will allow expanded services.  Changes to the Pacific Northwest Export Assistance Project statute consistent with the intent of this bill would be helpful.  Language that ties fees directly to the service provided would be good.

TESTIMONY AGAINST (Trade, Technology & Economic Development):  None

TESTIFIED (Trade, Technology & Economic Development):   Tom Campbell, DTED (pro); Ken Keach, Export Assistance Center (pro); Jim Teague, Building Industry Assn. of WA

TESTIMONY FOR (Ways & Means):

This measure would allow the DCTED to collect and use fee revenues for its programs.  This measure is consistent with the proposals as presented in the DCD/DTED merger discussion.

TESTIMONY AGAINST (Ways & Means):  None

TESTIFIED (Ways & Means):  Jean Ameluxen, Legislative Liaison, Dept. of Community, Trade and Economic Development (pro)