Title: An act relating to providing the secretary of health with authority to administer grants on behalf of the department of health.

Brief Description: Providing the secretary of health with authority to administer grants.

Sponsors: Representatives Moeller, Hinkle, Cody, Morrell, Skinner, Campbell, Clibborn, Schual-Berke and Kenney; by request of Department of Health.

Brief History:

Health Care: 2/18/05, 2/24/05 [DPS].

HOUSE COMMITTEE ON HEALTH CARE

Majority Report: The substitute bill be substituted therefor and the substitute bill do pass. Signed by 14 members: Representatives Cody, Chair; Campbell, Vice Chair; Morrell, Vice Chair; Bailey, Ranking Minority Member; Curtis, Assistant Ranking Minority Member; Alexander, Appleton, Clibborn, Condotta, Green, Hinkle, Lantz, Moeller and Schual-Berke.

Staff: Molly Belozer (786-7104).

Background:

The purposes of the Department of Health (Department) include the preservation of public health, the monitoring of health care costs, the maintenance of minimal standards for quality in health care delivery, and the general oversight and planning for the state's activities as they relate to health. The Secretary of Health (Secretary) has the authority to:
   1.   appoint advisory committees;
   2.   undertake studies, research, and analysis;
   3.   delegate powers, duties, and functions to Department employees;
   4.   enter into contracts on behalf of the Department;
   5.   act for the state in the initiation of, or participation in, any intergovernmental program; and
   6.   solicit and accept gifts, grants, bequests, devises, or other funds from public and private sources.
            
The Office of Financial Management (OFM) has a policy of requiring open competition for all personal service contracts over $20,000 entered into by state agencies. The Department is involved with many contracts defined as personal service contracts over $20,000 that are subject to formal competition under the OFM guidelines.

Summary of Substitute Bill:

In addition to contracting authority, the Secretary is given the authority to enter into and distribute grants on behalf of the Department to carry out the purposes of the Department. The Department must report to the Legislature a summary of the grants distributed under this authority for each year of the first biennium that the Secretary has granting authority.

The Department is responsible for the efficient and accountable expenditure of public funds on health activities that further the mission of the agency via grants and contracts.

Substitute Bill Compared to Original Bill:

The substitute bill requires the Department to report annually to the Legislature a summary of grants distributed for the first two years.

Appropriation: None.

Fiscal Note: Not requested.

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

Testimony For: When the Department of Health was created out of the Department of Social and Health Services (DSHS), it was not granted the same granting authority as the DSHS due to a technical error. This bill would create that error and provide for a more efficient distribution of funds to community partners. It would allow the Department to grant monies that would not fit into Office of Financial Management definitions of client service or personal service contracts.

Testimony Against: None.

Persons Testifying: Representative Moeller, prime sponsor; and Bill White, Department of Health.

Persons Signed In To Testify But Not Testifying: None.