S-3131.1  _______________________________________________

                         SENATE BILL 6757

          _______________________________________________

State of Washington   57th Legislature        2002 Regular Session

By Senators Rossi, T. Sheldon, Hewitt, Finkbeiner, Stevens, Honeyford, Horn, Roach, McCaslin, Zarelli, Hochstatter, Johnson, Oke, Benton, Hale, Parlette and Long

Read first time 02/01/2002.  Referred to Committee on State & Local Government.

Requiring fiscal notes for legislation that impacts business income.

    AN ACT Relating to the inclusion of an economic impact analysis in legislative fiscal notes; and amending RCW 43.88A.020.

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

    Sec. 1.  RCW 43.88A.020 and 1994 c 219 s 3 are each amended to read as follows:

(1) The office of financial management shall, in cooperation with appropriate legislative committees and legislative staff, establish a procedure for the provision of fiscal notes ((on)) which analyze:

(a) The expected impact of bills and resolutions ((which)) that increase or decrease or tend to increase or decrease state government revenues or expenditures.  ((Such)) These fiscal notes shall indicate by fiscal year the impact for the remainder of the biennium in which the bill or resolution will first take effect as well as a cumulative forecast of the fiscal impact for the succeeding four fiscal years.  Fiscal notes shall separately identify the fiscal impacts on the operating and capital budgets.  Estimates of fiscal impacts shall be calculated using the procedures contained in the fiscal note instructions issued by the office of financial management; and

(b) The expected impact of bills and resolutions that increase or decrease or tend to increase or decrease Washington business revenues or expenditures.  "Washington business" means a sole proprietorship or business organization doing business in Washington, regardless of where it is domiciled.  The competitive impact analysis shall include the following:

(i) The office's determination of whether the bill or resolution may have an economic impact on Washington business;

(ii) To the extent practicable, the office's determination of whether, and to what amount, the bill or resolution may increase or decrease the revenues or expenditures of Washington business in general, including a narrative identifying the source of the effect;

(iii) To the extent practicable, the office's determination of which segments of Washington business may be affected in particular; and

(iv) Any other information the office considers relevant to fully explaining the economic impact the bill or resolution may have on Washington business.

(2) In establishing the fiscal impact called for pursuant to this chapter, the office of financial management shall coordinate the development of fiscal notes with all state agencies affected.

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