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SUBSTITUTE
SENATE BILL 6727
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Passed
Legislature - 1998 Regular Session
State of Washington 55th
Legislature 1998 Regular Session
By
Read first time 02/10/98.
Modifying
the savings incentive and education savings accounts.
AN
ACT Relating to investments in education; amending RCW 43.79.460 and
28A.305.235; adding a new section to chapter 43.79 RCW; creating a new section;
and recodifying RCW 28A.305.235.
BE IT ENACTED BY THE
LEGISLATURE OF THE STATE OF WASHINGTON:
Sec.
1. RCW
43.79.460 and 1997 c 261 s 1 are each amended to read as follows:
(1)
The savings incentive account is created in the custody of the state
treasurer. The account shall consist of all moneys appropriated to the account
by the legislature. The account is subject to the allotment procedures under
chapter 43.88 RCW, but no appropriation is required for expenditures from the
account.
(2)
Within the savings incentive account, the state treasurer may create
subaccounts to be credited with ((moneys)) incentive savings
attributable to individual state agencies, as determined by the office of
financial management in consultation with the legislative fiscal committees.
Moneys deposited in the subaccounts may be expended only on the authorization
of the agency's executive head or designee and only for the purpose of one-time
expenditures to improve the quality, efficiency, and effectiveness of services
to customers of the state, such as one-time expenditures for employee training,
employee incentives, technology improvements, new work processes, or
performance measurement. Funds may not be expended from the account to
establish new programs or services, expand existing programs or services, or
incur ongoing costs that would require future expenditures.
(3)
For purposes of this section, "incentive savings" means state general
fund appropriations that are unspent as of June 30th of a fiscal year,
excluding any amounts included in across-the-board reductions under RCW
43.88.110 and excluding unspent appropriations for:
(a)
Caseload and enrollment in entitlement programs, except to the extent
that an agency has clearly demonstrated that efficiencies have been achieved in
the administration of the entitlement program. "Entitlement
program," as used in this section, includes programs for which specific
sums of money are appropriated for pass-through to third parties or other
entities;
(b)
Enrollments in state institutions of higher education((,));
(c)
A specific amount contained in a condition or limitation to an appropriation
in the biennial appropriations act, if the agency did not achieve the specific
purpose or objective of the condition or limitation((,));
(d)
Debt service on state obligations((,)); and
(e)
State retirement system obligations.
(4)
The office of fiscal management, after consulting with the legislative fiscal
committees, shall report to the treasurer the amount of savings incentives
achieved. (((4))) By December 1, 1998, and each December 1st
thereafter, the office of financial management shall submit a report to the
fiscal committees of the legislature on the implementation of this section.
The report shall (a) evaluate the impact of this section on agency reversions
and end-of-biennium expenditure patterns, and (b) itemize agency expenditures
from the savings recovery account.
Sec.
2. RCW
28A.305.235 and 1997 c 261 s 2 are each amended to read as follows:
The
education savings account is created in ((the custody of)) the state ((treasurer))
treasury. The account shall consist of all moneys appropriated to the
account by the legislature. ((The account is subject to the allotment
procedures under chapter 43.88 RCW, but no appropriation is required for
expenditures from the account.
Expenditures
from the)) (1) Ten percent of legislative appropriations to
the education savings account shall be distributed as follows: (a) Fifty
percent to the distinguished professorship trust fund under RCW 28B.10.868; (b)
seventeen percent to the graduate fellowship trust fund under RCW 28B.10.882;
and (c) thirty-three percent to the college faculty awards trust fund under RCW
28B.50.837.
(2)
The remaining moneys in the education savings account may be ((authorized
solely by the state board of education and)) appropriated solely for
(((1))) (a) common school construction projects that are eligible
for funding from the common school construction account, and (((2))) (b)
technology improvements in the common schools.
NEW
SECTION. Sec. 3. RCW
28A.305.235, as amended by this act, is recodified as a section in chapter
43.79 RCW.
NEW SECTION. Sec. 4. On
the effective date of this act, the state treasurer shall transfer ten percent
of the unappropriated balance of the education savings account, to be
distributed as follows: (1) Fifty percent to the distinguished professorship
trust fund under RCW 28B.10.868; (2) seventeen percent to the graduate
fellowship trust fund under RCW 28B.10.882; and (3) thirty-three percent to the
college faculty awards trust fund under RCW 28B.50.837.
