HOUSE BILL REPORT

                  HB 2882

        As Reported By The House Select Committee On:

                Vendor Contracting & Services

Title:  An act relating to providing technical assistance and training to agency personnel and state contractors.

Brief Description:  Providing technical assistance to agency personnel and state contractors.

Sponsors:  Representatives Clements, Dickerson, Backlund, Parlette, Gardner, Gombosky and Delvin.

Brief History:

  Committee Activity:

Vendor Contracting & Services:  1/27/98, 2/3/98 [DPS].

HOUSE SELECT COMMITTEE ON VENDOR CONTRACTING & SERVICES

Majority Report:  The substitute bill be substituted therefor and the substitute bill do pass.  Signed by 7 members:  Representatives Clements, Chairman; Backlund; Delvin; Dickerson; Gardner; Gombosky and Parlette.

Staff:  Josh Weiss (786-7292).

Background:  There are currently no funding sources dedicated to the provision of technical training for nonprofit entities who contract with state agencies for the provision of social services.

In addition, while state agency contract management training does currently occur through the Office of Financial Management, there are no statutory guidelines for this training. 

Summary of Substitute Bill:  A mentoring fund administered by the Secretary of State is created for the benefit of nonprofit entities who provide human services to state agencies.  The moneys are disbursed in the form of training grants which are paid to any state or private training entity for the benefit of the nonprofit entity.  In order to qualify for mentoring, the nonprofit entity must be recommended by a state agency, the state auditor, or another appropriate party.  Repeated disbursements are to be limited. 

The Secretary of State is required to convene a technical advisory committee which will make suggestions regarding agency grant recommendations and grant awards.  The advisory committee is also required to determine which categories of assistance shall be granted.  The advisory committee must include one representative of a nonprofit contractor, and may include legislative staff. 

The Secretary of State is required to report to the House of Representatives and the Senate after administering the mentoring grant program for one year.  The report must include a recommendation of whether the Secretary of State is the appropriate authority to administer the program, and if not, which state agency would be more appropriate. 

The bill additionally authorizes the Office of Financial Management to offer technical contract management assistance to state agencies.  Such costs are charged to the agency which receives assistance.

Substitute Bill Compared to Original Bill:  The term Asocial services@ has been replaced by Ahuman services@ throughout.  Section 1(3) is new and requires the Secretary of State to convene a technical advisory committee which will aid the secretary in making determinations on agency grant recommendations.  Membership on the committee must include a representative of a nonprofit entity that provides human services under contract to state agencies, and may include legislative staff. 

References to Atechnical training and technical assistance@ have been replaced with a general reference to Atechnical assistance.@  In addition, language referring to specific types of technical assistance have been omitted, and the technical committee is given the ability to decide which categories of assistance will be provided (Sec. 2(1)).  Section 2(1) has been clarified to indicate that the Secretary of State may use only funds specifically appropriated to him/her for the purpose of making mentoring grants. 

Section 2(2) has been added, providing that agencies and other public entities which already offer technical assistance using previously dedicated funds are not eligible for a grant.  This is to prevent agencies which already provide technical assistance from shifting all of their costs to this program.

A new section (3) requires the Secretary of State to report to the House of Representatives and Senate concerning the first year of administering the grant program.  The report must also include a recommendation on whether the Secretary of State is the appropriate entity to administer the program, and if not, which entity might be more appropriate.

New appropriations are added, allocating $194,030 to the Secretary of State and $14,700 to the Office of Financial Management.

Appropriation:  The sum of $194,000 is appropriated to the Office of the Secretary of State for the fiscal year ending June 30, 1998.  The sum of $14,700 is appropriated to the Office of Financial Management for the fiscal year ending June 30, 1998.

Fiscal Note:  Requested on January 20, 1998.

Effective Date of Substitute Bill:  Ninety days after adjournment of session in which bill is passed.

Testimony For:  The Secretary of State should be given the authority to have a technical advisory committee which will review grant applications and make recommendations.  The types of technical assistance to be provided should be left to the Secretary of State.  After administering the program for one year, the Secretary of State should report back to the Legislature, and recommend whether the mentoring grant program should remain with the secretary.   The term Asocial services@ should not be used, as some agencies may be precluded from recommending grants.  The grants should not be used to subsidize current services which are currently being offered by agencies.

Testimony Against:  None.

Testified:  Tracy Guerin, on behalf of the Secretary of State.