HOUSE BILL REPORT
ESSB 6760


This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

As Reported by House Committee On:
Human Services

Title: An act relating to the developmental disabilities community trust account.

Brief Description: Concerning the developmental disabilities trust account.

Sponsors: Senate Committee on Ways & Means (originally sponsored by Senators Regala, Zarelli, Rasmussen, Roach and Fairley).

Brief History:

Human Services: 2/25/08, 2/26/08 [DP].

Brief Summary of Engrossed Substitute Bill
  • Adds Fircrest School, Yakima Valley School, and Francis Hadden Morgan Center as residential habilitation centers that can have proceeds from the use of its excess property deposited into the Developmental Disabilities Community Trust Account.


HOUSE COMMITTEE ON HUMAN SERVICES

Majority Report: Do pass. Signed by 8 members: Representatives Dickerson, Chair; Roberts, Vice Chair; Ahern, Ranking Minority Member; Walsh, Assistant Ranking Minority Member; Bailey, Darneille, McCoy and O'Brien.

Staff: Brian Considine (786-7290).

Background:

The Division of Developmental Disabilities (DDD), within the Department of Social and Health Services (DSHS), operates five residential habilitation centers (RHCs) for qualified developmentally disabled citizens. The RHCs provide 24-hour residential housing for individuals needing institutional care. In addition, RHCs provide respite care and other specialized services to eligible individuals living in the community. The RHCs in operation are: 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.

The Developmental Disabilities Community Trust Account (Account), known as the Dan Thompson Memorial Trust Account, was established in 2005. The Account is to receive all proceeds from the use of excess property identified in the 2002 Joint Legislative Audit and Review Committee capital study at Rainier School and Lakeland Village. Income may come from the lease of land, conservation easements, sale of timber, or other activities short of the sale of property. The disposal of excess property cannot impact current residential habilitation center operations.

The Account is authorized to retain its earnings from investments. Interest on the Account can be spent on community-based services for people with developmental disabilities. The Account should not be used to replace, supplant, or reduce existing appropriations. Lands at Fircrest School are partly owned by the DSHS and partly owned by the Charitable, Educational, Penal, Reformatory Institutions Trust managed by the Department of Natural Resources.


Summary of Bill:

Fircrest School, Yakima Valley School, and Francis Hadden Morgan Center are added to the current RHCs that can have proceeds from the use of its excess property deposited into the Account. Proceeds from lease payments for the use of excess property may also be spent on community-based services for people with developmental disabilities.
      
Clarifying and technical changes are made as to how proceeds are accounted for and expended in the Account. Reference to the 2006 DSHS report is deleted.


Appropriation: None.

Fiscal Note: Available. New fiscal note requested on February 25, 2008.

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

Staff Summary of Public Testimony:

(In support) A long-term source of funding for family support services is necessary, and the excess property funding source is necessary to help provide more family support services to clients with developmental disabilities. It is a simple bill, and this is a simple way to help fund important services. It expands resources, and helps to create a small funding stream for services. A master plan is currently going on with the Fircrest property, and that plan would run through the Account. The plan does not consider selling any of the Fircrest property, but commercial leasing is still available. The idea is to preserve land for long-term use. The proceeds from excess land will either go into the General Fund or the Account, and the hope is that the proceeds will go into the Account.

(In support with amendment) The engrossed bill is more acceptable than the substitute bill and it is good that the engrossed bill put back in the language "short of sale of property," but there should be a reporting mechanism within the bill to track the success and use of the Account.

(Opposed) None.

Persons Testifying: (In support) Stacey Gillett and Margaret Lee Thompson, The Arc of Washington; and Ed Holen, Developmental Disability Council.

(In support with amendment) Terri Anderson, Friends of Fircrest and Voice of the Retarded.

Persons Signed In To Testify But Not Testifying: None.