Brief Description: Creating the developmental disabilities community trust account.

Sponsors: Senate Committee on Ways & Means (originally sponsored by Senators Zarelli, Prentice, Parlette, Regala, Hargrove, Hewitt, Winsley, B. Sheldon, Esser, Fraser, Eide, Hale, Kline, Brandland, Fairley, Schmidt, Stevens, Johnson, McCaslin, Carlson, Horn, Benton, Mulliken, Roach, McAuliffe, Murray, Rasmussen, Oke and Pflug).

Hearing Date: 2/18/04

Staff: Charlie Gavigan (786-7340).

Background:

Residential habilitation centers (RHCs) are state-operated institutions that

provide 24-hour residential services for qualified individuals with developmental disabilities

needing institutional care. Five RHCs are established in statute: Fircrest School, located in

Shoreline; Frances Haddon Morgan Center, located in Bremerton; Lakeland Village, located in

Medical Lake; Rainier School, located in Buckley; and Yakima Valley School, located in

Selah.

A December 2002 Joint Legislative Audit and Review Committee study of the possible

alternative uses of the land and facilities currently used by RHCs identified "excess" property

that was not needed for RHC operations. In 2003, the Legislature directed the State

Investment Board to contract with a real estate investment consultant to prepare options and

recommend investment strategies for excess property at the five state residential habilitation

centers.

The report identified that excess property could be disposed of at Lakeland Village and

Rainier School without impacting existing buildings. The disposal of property may include

either the lease or sale of land at fair market value.

Summary of Bill:

The developmental disabilities community trust account is established. If

excess property at Lakeland Village or Rainier School is sold or leased, all proceeds from the

disposal of the property is deposited into the trust account. Excess property includes the

property at Rainier School under the control of Washington State University. Only

investment income from the principal of the account may be spent. Expenditures are subject

to appropriation by the Legislature and are used exclusively to provide family support and/or

employment/day services to persons with developmental disabilities who were not served

prior to January 1, 2004. The disposal of excess property cannot impact current residential

habilitation center operations.

Appropriation: None.

Fiscal Note: Not requested.

Effective Date: The bill takes effect 90 days after adjournment of session in which bill is passed.