CERTIFICATION OF ENROLLMENT

              ENGROSSED SUBSTITUTE HOUSE BILL 1431

                        54th Legislature

                      1995 Regular Session

Passed by the House April 19, 1995   Yeas 97   Nays 0 Speaker of the        House of Representatives Passed by the Senate April 10, 1995   Yeas 43   Nays 0

CERTIFICATE I, Timothy A. Martin, Chief Clerk of the House of Representatives of the State of Washington, do hereby certify that the attached is ENGROSSED SUBSTITUTE HOUSE BILL 1431 as passed by the House of Representatives and the Senate on the dates hereon set forth.

President of the Senate

Chief Clerk

Approved Place Style On Codes above, and Style Off Codes below.

FILED

Governor of the State of Washington

Secretary of State                        State of Washington

                  _______________________________________________

                       ENGROSSED SUBSTITUTE HOUSE BILL 1431

                  _______________________________________________

                             AS AMENDED BY THE SENATE

                     Passed Legislature - 1995 Regular Session

State of Washington              54th Legislature             1995 Regular Session

By House Committee on Appropriations (originally sponsored by Representative Silver; by request of Department of Retirement Systems)

Read first time 02/28/95.

Paying for department of retirement system expenses.

     AN ACT Relating to department of retirement system expenses; amending RCW 41.50.255; providing an effective date; and declaring an emergency.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

     Sec. 1.  RCW 41.50.255 and 1993 sp.s. c 24 s 916 are each amended to read as follows:

     The director is authorized to pay from the interest earnings of the trust funds of the public employees' retirement system, the teachers' retirement system, the Washington state patrol retirement system, the Washington judicial retirement system, the judges' retirement system, or the law enforcement officers' and fire fighters' retirement system lawful obligations of the appropriate system for legal expenses and medical expenses which expenses are primarily incurred for the purpose of protecting the appropriate trust fund or are incurred in compliance with statutes governing such funds.

     The term "legal expense" includes, but is not limited to, legal services provided through the legal services revolving fund, fees for expert witnesses, travel expenses, fees for court reporters, cost of transcript preparation, and reproduction of documents.

     The term "medical costs" includes, but is not limited to, expenses for the medical examination or reexamination of members or retirees, the costs of preparation of medical reports, and fees charged by medical professionals for attendance at discovery proceedings or hearings.

     ((During the period from July 1, 1993, until June 30, 1995,)) The director may also pay from the interest earnings of the trust funds specified in this section costs incurred in investigating fraud and collecting overpayments, including expenses incurred to review and investigate cases of possible fraud against the trust funds and collection agency fees and other costs incurred in recovering overpayments.  Recovered funds must be returned to the appropriate trust funds.

NEW SECTION. Sec. 2.  This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect July 1, 1995.

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