FINAL BILL REPORT

                  HB 1112

                         C 137 L 95

                     Synopsis as Enacted

Brief Description:  Clarifying and streamlining the use of funds within the department of general administration.

Sponsors:  Representatives Silver, Sommers, Romero, Wolfe, Huff, Stevens, Johnson, Brumsickle and Mason; by request of Department of General Administration.

House Committee on Appropriations

Senate Committee on Government Operations

Background:    The Department of General Administration's (GA) Division of Risk Management coordinates commercial insurance purchases for state agencies.  Funds used to purchase insurance coverage are appropriated to agencies, then pass through GA's risk management account as non-appropriated funds before being paid to commercial insurers.  However, the risk management account is statutorily designated as an "appropriated" fund.

GA's Division of Commodity Redistribution is responsible for reutilizing state and federal surplus goods.  The division operates from five fund sources:  general fund-state, general fund-federal, the central stores revolving account, the surplus property purchase revolving account, and the donable foods revolving account.

Summary:  Two changes are made in the funding structure of the Department of General Administration.

First, a technical change designates pass-through funds associated with commercial insurance purchases in the risk management account as non-appropriated.

Second, the acquisition authority of the surplus property revolving fund is broadened to allow the acquisition of state or local surplus property in addition to federal surplus property.   This will allow the three surplus property funds to be consolidated into one fund.

Votes on Final Passage:

House     96 0

Senate    46 0

Effective:  July 23, 1995