SENATE BILL REPORT

                   SB 5693

              As Reported By Senate Committee On:

            Health & Long-Term Care, March 3, 1999

                  Ways & Means, March 8, 1999

Title:  An act relating to establishing a public/private endowment for developmental disabilities services.

Brief Description:  Establishing the developmental disabilities endowment trust fund.

Sponsors:  Senators Wojahn, McDonald, Deccio, Thibaudeau, Roach, Winsley, Oke, Rasmussen, Prentice and Costa.

Brief History:

Committee Activity:  Health & Long‑Term Care:  2/22/99, 3/3/99 [DPS-WM].

Ways & Means:  3/5/99, 3/8/99 [DPS (HEA)].

SENATE COMMITTEE ON HEALTH & LONG-TERM CARE

Majority Report:  That Substitute Senate Bill No. 5693 be substituted therefor, and the substitute bill do pass and be referred to Committee on Ways & Means.

  Signed by Senators Thibaudeau, Chair; Wojahn, Vice Chair; Costa, Deccio, Franklin and Winsley.

Staff:  Rhoda Jones (786-7198)

SENATE COMMITTEE ON WAYS & MEANS

Majority Report:  That Substitute Senate Bill No. 5693 as recommended by Committee on Health & Long‑Term Care be substituted therefor, and the substitute bill do pass.

  Signed by Senators Loveland, Chair; Bauer, Vice Chair; Brown, Vice Chair; Fairley, Fraser, Honeyford, Kline, Kohl‑Welles, Long, McDonald, Rasmussen, Roach, Rossi, B. Sheldon, Snyder, Spanel, Thibaudeau, West, Winsley, Wojahn and Zarelli.

Staff:  Tim Yowell (786-7435)

Background:  Individuals with developmental disabilities have conditions related to mental retardation, cerebral palsy, autism or other neurological conditions which originated before their 18th birthday and are expected to continue indefinitely.

Most persons with developmental disabilities reside at home, some receiving an array of services through state and federal-funded programs.  Others reside in residential facilities in the community or institutions operated specifically for the developmentally disabled.

It is recognized that people with developmental disabilities need services throughout their lives and well beyond the point when their families can support them.  Providing for these on-going services as care givers age is important for these families.

Summary of Substitute Bill:  The developmental disabilities endowment trust fund is created.  The endowment is funded through private contributions and state appropriations and invested by the State Investment Board.

The operations of the endowment fund are to be directed by a seven-member governing board made up of people with experience in finance, business, developmental disabilities services or public policy. At least three members must be family members of people with developmental disabilities.

The governing board is to contract for the development of a proposed operating plan which is to include: actuarial and financial analysis of and recommendation on alternative service levels and cost, participation rates, contribution levels, eligibility criteria and administrative mechanism and costs.

Private contributions and the associated state match are reserved for use by the person on whose behalf they were contributed.

The governing board must submit the proposed operating plan to the Legislature by October 1, 2000, but further legislation is not required before the program is implemented.  The governing board can either administer the plan through the Department of Community, Trade, and Economic Development or contract for a private administrator.

Substitute Bill Compared to Original Bill:  Private contributions and the associated state match are reserved for use by the person on whose behalf they were contributed.

Appropriation:  None.

Fiscal Note:  Requested on March 5, 1999.

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

Testimony For (Health & Long-Term Care):  Parents and guardians of children with developmental disabilities need a place to set aside money for the future, and some assurances it will be spent on what their children will need as they age.

Testimony Against: (Health & Long-Term Care)  There are many philosophical and administrative problems with the goals of this bill.

Testified (Health & Long-Term Care):  PRO:  George Waller, DDC/Parent; Tracy Vandewall, DDC/Parent; John Therrian, Parent; Janet Adams, ARC; Jeff Larsen, VCP of King and Snohomish Parents; CON:  Tim Brown, DSHS.

Testimony For (Ways & Means):  This provides another option for expanding services for people with developmental disabilities by supplementing limited state resources with private contributions.

Testimony Against (Ways & Means):  None.

Testified (Ways & Means):  PRO:  Donna Patrick, Developmental Disabilities Council.