HOUSE BILL REPORT
SHB 2669
As Passed House:
February 12, 1996
Title: An act relating to associations of local governments.
Brief Description: Revising associations of local governments.
Sponsors: By House Committee on Government Operations (originally sponsored by Representatives Hargrove, Boldt, Koster, Sherstad, Wolfe, Chappell, Goldsmith, Benton and Johnson).
Brief History:
Committee Activity:
Government Operations: 1/31/96, 2/2/96 [DPS].
Floor Activity:
Passed House: 2/12/96, 64-33.
HOUSE COMMITTEE ON GOVERNMENT OPERATIONS
Majority Report: The substitute bill be substituted therefor and the substitute bill do pass. Signed by 8 members: Representatives Reams, Chairman; Cairnes, Vice Chairman; Goldsmith, Vice Chairman; Hargrove; Hymes; Mulliken; D. Schmidt and Van Luven.
Minority Report: Do not pass. Signed by 7 members: Representatives Rust, Ranking Minority Member; Scott, Assistant Ranking Minority Member; Conway; R. Fisher; Honeyford; Scheuerman and Wolfe.
Staff: Steve Lundin (786-7127).
Background:
1.Associations of local governments and officials.
State law creates, authorizes, or recognizes in various ways associations of local governments or local officials. In one instance such an association is created by state law as a state agency. In all other instances these associations are private, nonprofit organizations that were created by actions of officials under general nonprofit incorporation statutes.
Legislation was enacted in 1947 creating the Washington State Association of School Directors as a state agency with a membership consisting of every local school board director in the state. The school directors' association is funded by membership dues established by the association, but the total of all dues shall not exceed 27 cents per $1,000 of the statewide total of general fund receipts received by all school districts. The association was established to (1) coordinate programs and procedures among school districts; (2) conduct studies and disseminate information to school boards; (3) provide advice and assistance to local school boards; (4) effect the coordination of policy‑making, control, and management of school districts; and (5) submit reports and recommendations to the Superintendent of Public Instruction on matters pertaining to increased efficiency of the common school system.
Education service districts are authorized to pay dues to a statewide association of education service district board members. School districts are authorized to pay membership fees in nonprofit organizations that promote school administration, operation, instruction, and finances.
Legislation was enacted in 1939 authorizing counties to designate the Washington State Association of Counties, which had been created years before, to (1) effect the coordination of their administrative programs; (2) prepare reports on county operations; and (3) submit recommendations to the Governor and Legislature on their joint recommendations on changes that increase their efficiency. Counties are authorized to reimburse this association from county current expense funds.
Legislation was enacted in 1959 authorizing various county elected officials to designate the Washington State Association of County Elected Officials as a coordinating agency for the coordination of programs and to submit recommendations to the Governor and Legislature. Counties are authorized to reimburse this association from county current expense funds.
County planning commissions may pay membership dues of their commissioners in organizations specializing in planning.
Various special districts have been authorized in statute to create associations to disseminate information and promote the economical operation of the special districts. The special districts may pay dues to the associations.
Several groups of local governments have created associations, and pay dues to the associations, without express statutory authorization. This includes the Association of Washington Cities and Washington Public Utility District Association.
2.Prohibition on use of public funds and facilities to support or oppose a ballot proposition or candidacy.
State voters approved Initiative Measure No. 276 in 1972. Initiative Measure No. 276 prohibits the use of public funds to finance political campaigns for state or local office. Initiative Measure No. 276 prohibits the direct or indirect use of public facilities to assist in the campaign for the election of any person to office or for the promotion or opposition to any ballot proposition, except
!Action taken in an open meeting by members of a governing body to express a collective decision, adopt a motion, or to support or oppose a ballot proposition, if notice is made for the meeting and members of the governing body or public are afforded an approximately equal opportunity for expression of an opposing view; or
!A statement by an elected official in support of or in opposition to any ballot proposition at an open press conference in response to a specific inquiry; or
!Activities that are part of the normal and regular conduct of the office or agency.
3.Public records.
Initiative Measure No. 276 also requires most public records to be available for public inspection and copying. Certain exceptions are provided, including personal information in files the disclosure of which would violate the right to privacy, certain taxpayer information, preliminary drafts or notes, library records, and valuable formulae or designs.
4.Open public meetings.
The Open Public Meetings Act was enacted in 1971. Under this act, a governing body, board, or other policy-making body of any government entity, other than the Legislature or the courts, may take official action only at an open public meeting. The body may provide general notice of its normal meeting times and hold public meetings at those times without providing special notice. Separate notice must be made for special meetings. Executive sessions, that are not open to the public, are permitted for various matters, including (1) reviewing negotiations on contract bids, if public knowledge would likely increase costs; (2) receiving complaints brought against a public officer or employee; (3) evaluating qualifications for public employment; and (4) discussing litigation or potential litigation with legal counsel.
5.Audit by State Auditor.
Every state agency and local unit of government is subject to periodic financial audit by the State Auditor.
Summary of Bill: No local government may pay membership dues or provide compensation to a private entity for local government association purposes if the total amount of the dues or compensation paid by local governments constitutes two-thirds or more of the gross receipts of the private entity, including interest earnings on such dues or contributions, unless the private entity
!submits to periodic audit by the State Auditor;
!makes its records available to the public for inspection and copying as if its records were public records;
!meetings of the board of directors or any committee are open to the public, as if the private entity were a public entity subject to the Open Public Meetings Act; and
!the funds of the private entity may not be used to support or oppose a candidacy or ballot proposition, as if the private entity were a public entity.
"Association purposes" is defined to be the coordination of administrative programs, preparation of annual reports, furnishing of information to the Legislature and Governor, acting as a coordinating agency, promoting the efficient operations of local governments, submitting reports and recommendations, and communicating with the Legislature and state agencies on positions of and requests by members, whether the members are units of local government or elected or appointed officials of units of local government.
Appropriation: None.
Fiscal Note: Not requested.
Effective Date: Ninety days after adjournment of session in which bill is passed.
Testimony For: No tax dollars should be used to purchase tickets to caucus fund raisers or to oppose or support ballot propositions.
Testimony Against: We supply a valuable service. Public funds are not used for such purposes.
Testified: Representative Hargrove, prime sponsor; Alan Eichler, citizen; Gary Lowe, Washington State Association of Counties; Bob Edwards, Renton council member; Paul Telford, United We Stand; and Yvonne Conway, United We Stand.