"NEW SECTION.  Sec. 1   A new section is added to chapter 43.185C RCW to read as follows:
     (1) The transitional housing operating and rent program is created in the department to assist homeless individuals and families secure and retain safe, decent, and affordable housing. The department shall provide grants to eligible organizations, as described in RCW 43.185.060, to provide assistance to program participants. The eligible organizations must use grant moneys for:
     (a) Rental assistance, which includes security or utility deposits, first and last month's rent assistance, and eligible moving expenses to be determined by the department;
     (b) Case management services designed to assist program participants to secure and retain immediate housing and to transition into permanent housing and greater levels of self-sufficiency;
     (c) Operating expenses of transitional housing facilities that serve homeless families with children; and
     (d) Administrative costs of the eligible organization, which must not exceed limits prescribed by the department.
     (2) Eligible to receive assistance through the transitional housing operating and rent program are:
     (a) Families with children who are homeless or who are at risk of becoming homeless and who have household incomes at or below fifty percent of the median household income for their county;
     (b) Individuals or families without children who are homeless or at risk of becoming homeless and who have household incomes at or below thirty percent of the median household income for their county;
     (c) Individuals or families who are homeless or who are at risk of becoming homeless and who have a household with an adult member who has a mental health or chemical dependency disorder; and
     (d) Individuals or families who are homeless or who are at risk of becoming homeless and who have a household with an adult member who is an offender released from confinement within the past eighteen months.
     (3) All program participants must be willing to create and actively participate in a housing stability plan for achieving permanent housing and greater levels of self-sufficiency.
     (4) Data on all program participants must be entered into and tracked through the Washington homeless client management information system as described in RCW 43.185C.180.
     (5) The department encourages eligible organizations funded through the program to have a quality management system and to submit an application to the Washington state quality award program to evaluate that system.
     (6) The department may develop rules, requirements, procedures, and guidelines as necessary to implement and operate the transitional housing operating and rent program.
     (7) The department shall produce an annual transitional housing operating and rent program report that must be included in the department's homeless housing strategic plan as described in 43.185C.040. The report must include performance measures to be determined by the department that address, at a minimum, the following issue areas:
     (a) The success of the program in helping program participants transition into permanent housing and increase their levels of self-sufficiency;
     (b) The financial performance of the program related to efficient program administration by the department and program operation by selected eligible organizations, including an analysis of the costs per program participant served;
     (c) The quality, completeness, and timeliness of the information on program participants provided to the Washington homeless client management information system database; and
     (d) The satisfaction of program participants in the assistance provided through the program.

NEW SECTION.  Sec. 2   A new section is added to chapter 43.185C RCW to read as follows:
     The transitional housing operating and rent account is created in the custody of the state treasurer. All receipts from sources directed to the transitional housing operating and rent program must be deposited into the account. Expenditures from the account may be used solely for the purpose of the transitional housing operating and rent program as described in section 1 of this act. Only the director of the department or the director's designee may authorize expenditures from the account. The account is subject to allotment procedures under chapter 43.88 RCW, but an appropriation is not required for expenditures.

NEW SECTION.  Sec. 3   RCW 59.18.600 (Rental to offenders--Limitation on liability) and 2007 c 483 s 602 are each repealed."