SENATE BILL REPORT

SB 6867

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.

Background: The Public Printer, also known as the Department of Printing (Department), was established in 1854. Under RCW Chapter 43.78 the Department is required to provide all printing and binding for the Legislature and state agencies, with certain exceptions.

The Department may subcontract a printing job to a private vendor under some circumstances. The Department may also apply a 5 percent markup to these print jobs, unless filling an order from a higher education institution.

Summary of Bill: Effective July 1, 2010, the Department is eliminated as a state agency. In coordination with the Department of General Administration (GA), they will sell or surplus all equipment. GA will develop a plan for disposing of or leasing the state plant building and that plan is due to the Legislature by December 15, 2010.

Staff Summary of Public Testimony: PRO: This legislation is a leap of faith and the private sector printers are willing to take the leap with the Legislature. The state is struggling with the biggest economic challenge in the state's history and the Legislature is trying to focus the state's tax revenues on core relationships. Printing doesn't fit into the core services of the state. The private sector needs to be able to meet the state's needs for timely service and cost-effective services. In particular, it is important that in-state printers receive preference to help generate tax dollars and jobs in Washington. There will need to be an efficient way to purchase printing from the private sector. The Department of Information Systems should handle the bidding process. The state can get faster and cheaper service from the private sector. Small businesses proposed transferring the Department into GA but prefer this bill because it doesn't expand the role of the State Printer.

CON: The state has had the best of both worlds, using both in-house printing and contracting out. This bill eliminates the option of doing work in-house and makes the state subject to private sector prices, no matter what the cost. The Teamsters oppose this bill because it will throw many of their members out of work. House Bill 2969 is a better option because it meets the state's need to be more efficient without adding to the state's unemployment rate by laying off workers.

Persons Testifying: PRO: Jim King, Independent Business Association; Bill Stauffacher, Pacific Printing and Imaging Assocation; Joyce Willms, Washington Media Service.

CON: Owen Linch, Joint Council of Teamsters; Gail Love, Communications Workers Association State Council.