BILL REQ. #:  S-0821.1 

Read first time 01/31/2005.   Referred to Committee on Government Operations & Elections.

     AN ACT Relating to ambulance and emergency medical service funding; amending RCW 35.21.766; and creating a new section.

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

NEW SECTION.  Sec. 1   The legislature finds that ambulance and emergency medical services are essential services and the availability of these services is vital to preserving and promoting the health, safety, and welfare of people in local communities throughout the state. All persons, businesses, and industries benefit from the availability of ambulance and emergency medical services, and survival rates can be increased when these services are adequately funded and appropriately regulated. It is thus the public's expectation that ambulance and emergency medical service systems will be comprehensive in nature and properly funded to address the needs of a given community.
     It is the legislature's intent to explicitly recognize local jurisdictions' ability and authority to collect utility service charges to fund ambulance and emergency medical service systems that are based, at least in some part, upon a charge for the availability of these services. In fact, notwithstanding some of the discussion in the Washington State Supreme Court's Arborwood Idaho LLC vs. City of Kennewick decision, the legislature finds that reliance on a funding policy which is based only on actual use of these services would be inequitable, would lead to disproportionate impacts on sick and injured persons, and could impede the likelihood that persons would seek ambulance or emergency medical service assistance in their time of need. The legislature further finds that without a funding mechanism, local governments would no longer be able to operate or contract for ambulance and emergency medical services, thereby threatening the health, safety, and welfare of the people. The legislature therefore intends to ensure and promote the health, safety, and welfare of the people by clarifying cities' and towns' authority to operate ambulance and emergency medical services as a public utility, to contract for these services, and to fix rates and charges for both the availability and the actual use of ambulance and emergency medical services.

Sec. 2   RCW 35.21.766 and 2004 c 129 s 34 are each amended to read as follows:
     (1) Whenever a regional fire protection service authority or the legislative authority of any city or town determines that the fire protection jurisdictions that are members of the authority or the city or town or a substantial portion of the city or town is not adequately served by existing private ambulance service, the governing board of the authority may by resolution, or the legislative authority of the city or town may by appropriate legislation, provide for the establishment of a system of ambulance service to be operated by the authority as a public utility of the city or town, or operated by contract after a call for bids.
     (2) In determining the adequacy of existing ambulance service, the legislative authority of the city or town shall determine if the service is meeting relevant performance standards. Before making any adequacy determination, performance standards shall be established by the city or town through adoption of a resolution or ordinance by its legislative body, which shall first hold one or more public hearings on the subject of proposed performance standards, or any amendment thereto, after giving at least fourteen days' notice of the time and place by publication in a newspaper of general circulation in the city and individual written notice to any private ambulance company registered with the jurisdiction as operating an ambulance service in the city or town, and to the department of health. Performance standards adopted by any city or town shall be no less stringent than existing standards adopted by the department of health or any other agency with applicable jurisdiction, and may include, but not be limited to, standards regarding response times, equipment, personnel, training, communication, dispatch, reporting, and other relevant requirements and expectations.
     (3) The city or town legislative authority is authorized to set and collect rates and charges for the availability of an ambulance and emergency medical service system, and actual utilization of this service, which rates and charges combined shall not exceed the total cost of the maintenance, operation, and capital improvements of the utility. Rates and charges shall be set based upon (a) the benefit conferred on ratepayers through the availability of the ambulance and emergency medical service; and (b) the burden produced to the utility by the ratepayer, which considerations can include the frequency of calls made, distance to hospitals, individual demands for service, or other factors identified in studies conducted to assess benefits conferred and burdens imposed on the utility. Rates may reflect a reduction or exemption for designated classes consistent with Article VIII, section 7 of the state Constitution. Revenues generated by these rates and charges must be deposited in a separate fund or funds and be used only for the purpose of paying all or any part of the cost and expense of regulating, maintaining, and operating ambulance and emergency medical service system facilities, and all or any part of the cost and expense of planning, designing, establishing, acquiring, developing, constructing, supporting, and improving any of these facilities. Refunds for charges collected under authority of this section shall not be required for any period before the time a written appeal is filed by a party claiming a refund from a city or town under appeal procedures established by the city or town.
     (4) Ambulance and emergency medical rates charged pursuant to this section do not constitute taxes or charges under RCW 82.02.050 through 82.02.090, 35.21.768, or charges otherwise prohibited by law.