BILL REQ. #:  H-5472.1 

READ FIRST TIME 03/01/10.   

     AN ACT Relating to creating efficiencies in the use of technology in state government; amending RCW 43.105.052, 43.105.190, 43.88.560, 43.105.041, 43.105.180, 43.105.160, and 43.105.080; adding new sections to chapter 43.105 RCW; adding a new section to chapter 43.88 RCW; creating new sections; repealing RCW 43.105.017; and providing expiration dates.

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

NEW SECTION.  Sec. 1   A new section is added to chapter 43.105 RCW to read as follows:
     (1) The legislature finds that the provision of information technology in state government lacks strategic coordination, transparency, and meaningful enterprise-wide direction and oversight. It is no longer economically sustainable or technically feasible for state agencies to obtain and provide large-scale, commonly utilized information technology products and services on an individual, agency-by-agency basis without coordination. Instead, the state needs a strong, enterprise-based information technology strategy to ensure the public's needs are being met and the state is receiving the highest quality information technology products and services at the best price from public or private providers. Developing a strong enterprise-wide strategy also includes establishing clear lines of authority and accountability within state agencies so that those services unique to individual agencies receive the support required to effectively and efficiently provide services to citizens. To accomplish these objectives, the state needs to develop an open, transparent process for determining the total cost of ownership for the information technology products and services it provides, and to provide such information in an easily accessible, public fashion. It is in the state's interest to ensure that the wide range of disparate networks, systems, services, and structures across state government become more closely coordinated, organized, and structured. This type of coordinating effort is already underway in the area of higher education through the efforts of the higher education technology transformation task force and informally within other areas. When more transparent technical and financial information is readily available, the state can make sound policy decisions about what information technology services should be provided centrally on a shared services basis, and what products and services may be best suited for either outsourcing or for maintenance at the agency level. Furthermore, if attractive pricing models and service level agreements are developed for enterprise-based information technology services, the legislative and judicial branches will have an incentive to participate in those services as well.
     (2) It is the intent of the legislature to organize, consolidate, and, where appropriate, contract with private providers for technology systems and resources in a strategic fashion that is based upon sound, objective, nonpolitical, and independent technical and financial criteria. The state needs to develop a clear, enterprise-based statewide strategy for information technology to ensure that there is transparency and accountability regarding how information technology resources are being allocated, how decisions are being made, and who is accountable for on-time, on-budget delivery.
     (3) The legislature also intends that the significant restructuring of state information technology will result in increased effectiveness and efficiency, and also result in significant savings.

Sec. 2   RCW 43.105.052 and 2000 c 180 s 1 are each amended to read as follows:
     The department shall:
     (1) Perform all duties and responsibilities the board delegates to the department, including but not limited to:
     (a) The review of agency information technology portfolios and related requests; and
     (b) Implementation of statewide and interagency policies, standards, and guidelines;
     (2) Make available information services to state agencies and local governments and public benefit nonprofit corporations on a ((full)) cost-recovery basis. For the purposes of this section "public benefit nonprofit corporation" means a public benefit nonprofit corporation as defined in RCW 24.03.005 that is receiving local, state, or federal funds either directly or through a public agency other than an Indian tribe or political subdivision of another state. These services may include, but are not limited to:
     (a) Telecommunications services for voice, data, and video;
     (b) ((Mainframe computing services)) Procurement and maintenance of mainframe and personal computers, servers, and virtualization services;
     (c) ((Support for departmental and microcomputer evaluation, installation, and use)) Data storage services;
     (d) Equipment acquisition assistance, including leasing, brokering, and establishing master contracts;
     (e) Facilities management services for information technology equipment, equipment repair, and maintenance service;
     (f) Negotiation with local cable companies and local governments to provide for connection to local cable services to allow for access to these public and educational channels in the state;
     (g) Office automation services;
     (h) System development services; and
     (i) Training.
     ((These services are for discretionary use by customers and customers may elect other alternatives for service if those alternatives are more cost-effective or provide better service.)) Agencies may be required to use the backbone network portions of the telecommunications services during an initial start-up period not to exceed three years;
     (3) Establish rates and fees for services provided by the department to assure that the services component of the department is self-supporting. A billing rate plan shall be developed for a two-year period to coincide with the budgeting process. The rate plan shall be subject to review at least annually by the customer advisory board. The rate plan shall show the proposed rates by each cost center and will show the components of the rate structure as mutually determined by the department and the customer advisory board. The same rate structure will apply to all user agencies of each cost center. The rate plan and any adjustments to rates shall be approved by the office of financial management. The services component shall not subsidize the operations of the strategic planning and policy component;
     (4) With the advice of the information services board and agencies, develop a state strategic information technology plan and performance reports as required under RCW 43.105.160;
     (5) Develop plans for the department's achievement of statewide goals and objectives set forth in the state strategic information technology plan required under RCW 43.105.160. These plans shall address such services as telecommunications, central and distributed computing, local area networks, office automation, and end user computing. The department shall seek the advice of the customer advisory board and the board in the development of these plans;
     (6) Under direction of the information services board and in collaboration with the department of personnel, and other agencies as may be appropriate, develop training plans and coordinate training programs that are responsive to the needs of agencies;
     (7) Identify opportunities for the effective use of information services and coordinate appropriate responses to those opportunities;
     (8) Assess agencies' projects, acquisitions, plans, information technology portfolios, or overall information processing performance as requested by the board, agencies, the director of financial management, or the legislature. Agencies may be required to reimburse the department for agency-requested reviews;
     (9) Develop planning, budgeting, and expenditure reporting requirements, in conjunction with the office of financial management, for agencies to follow;
     (10) Assist the office of financial management with budgetary and policy review of agency plans for information services;
     (11) Provide staff support from the strategic planning and policy component to the board for:
     (a) Meeting preparation, notices, and minutes;
     (b) Promulgation of policies, standards, and guidelines adopted by the board;
     (c) Supervision of studies and reports requested by the board;
     (d) Conducting reviews and assessments as directed by the board;
     (12) Be the lead agency in coordinating video telecommunications services for all state agencies and develop, pursuant to board policies, standards and common specifications for leased and purchased telecommunications equipment. The department shall not evaluate the merits of school curriculum, higher education course offerings, or other education and training programs proposed for transmission and/or reception using video telecommunications resources. Nothing in this section shall abrogate or abridge the legal responsibilities of licensees of telecommunications facilities as licensed by the federal communication commission on March 27, 1990; and
     (13) Perform all other matters and things necessary to carry out the purposes and provisions of this chapter.

NEW SECTION.  Sec. 3   A new section is added to chapter 43.105 RCW to read as follows:
     (1) Except as provided in subsection (2) of this section, no state agency is permitted to purchase wireless devices or services except through participation in the state master contract.
     (2) State agencies may purchase wireless devices or services outside of the state master contract if the agency secures a waiver in advance of the purchase from the office of financial management.
     (3) The office of financial management shall ensure that there is greater consistency among state agencies in pursuing efficient use policies for wireless devices.

NEW SECTION.  Sec. 4   A new section is added to chapter 43.105 RCW to read as follows:
     (1) The information services board shall develop a pilot project for providing telephony and electronic mail services centrally among piloted agencies, either through the department or through a private provider, whichever results in the lowest cost for the same level of service.
     (2) State agencies seeking to upgrade or maintain their telephony equipment are encouraged to purchase their telephony services through the department.

NEW SECTION.  Sec. 5   A new section is added to chapter 43.105 RCW to read as follows:
     (1) The department, with the approval of the board, may develop a personal computer replacement policy for all personal computers owned or leased by state agencies. The personal computer replacement policy must consist, at a minimum, of a replacement cycle of at least five years. In developing a replacement policy, the department shall review existing personal computer lease programs and may discontinue those programs that are not consistent with a five-year replacement cycle.
     (2) State agencies are encouraged to purchase or lease personal computers through participation in the state master contract.

NEW SECTION.  Sec. 6   A new section is added to chapter 43.105 RCW to read as follows:
     (1) State agencies shall develop data storage policies to achieve greater storage efficiency. In developing data storage policies, state agencies should review what information currently exists in digital format, where it is stored, how it is being used, and the business and legal requirements for retaining the information.
     (2) The board shall develop a data retention policy for state agencies in consultation with the secretary of state. In developing a data retention policy, the board must consult with affected state agencies to determine the business, legal, and storage management needs of the agencies.
     (3)(a) The department shall offer tiered data storage services as an optional service to state agencies. In developing its service offerings for tiered data storage, the department must consult with state agencies to determine the storage demands and needs of state agencies.
     (b) State agencies purchasing additional data storage are encouraged to purchase their storage through the department.

NEW SECTION.  Sec. 7   (1) The department of information services, in collaboration with the office of financial management, shall conduct a detailed inventory of all information technology assets owned or leased by state agencies.
     (2) The department of information services shall prepare a report to the governor and the legislature outlining the findings of the inventory by December 1, 2010.
     (3) This section expires July 1, 2011.

Sec. 8   RCW 43.105.190 and 2005 c 319 s 111 are each amended to read as follows:
     (1) The department, with the approval of the board, shall establish standards and policies governing the planning, implementation, and evaluation of major information technology projects, including those proposed by the superintendent of public instruction, in conjunction with educational service districts, or statewide or regional providers of K-12 education information technology services. The standards and policies shall:
     (a) Establish criteria to identify projects which are subject to this section. Such criteria shall include, but not be limited to, significant anticipated cost, complexity, or statewide significance of the project; and
     (b) Establish a model process and procedures which agencies shall follow in developing and implementing projects within their information technology portfolios. Agencies may propose, for approval by the department, a process and procedures unique to the agency. The department may accept or require modification of such agency proposals or the department may reject such agency proposals and require use of the model process and procedures established under this subsection. Any process and procedures developed under this subsection shall require (i) distinct and identifiable phases upon which funding may be based, (ii) user validation of products through system demonstrations and testing of prototypes and deliverables, and (iii) other elements identified by the board.
     The director may terminate a major project if the director determines that the project is not meeting or is not expected to meet anticipated performance standards.
     (2) The office of financial management shall establish policies and standards consistent with portfolio-based information technology management to govern the funding of projects developed under this section. The policies and standards shall provide for:
     (a) Funding of a project under terms and conditions mutually agreed to by the director, the director of financial management, and the head of the agency proposing the project. However, the office of financial management may require incremental funding of a project on a phase-by-phase basis whereby funds for a given phase of a project may be released only when the office of financial management determines, with the advice of the department, that the previous phase is satisfactorily completed;
     (b) Acceptance testing of products to assure that products perform satisfactorily before they are accepted and final payment is made; and
     (c) Other elements deemed necessary by the office of financial management.
     (3)(a) The department shall evaluate projects based on the demonstrated business needs and benefits; cost; technology scope and feasibility; impact on the agency's information technology portfolio and on the statewide infrastructure; and final project implementation plan based upon available funding.
     (b) Copies of project evaluations conducted under this subsection shall be submitted to the office of financial management and the chairs, ranking minority members, and staff coordinators of the appropriations committees of the senate and house of representatives.
     (c) If there are projects that receive funding from a transportation fund or account, copies of those projects' evaluations conducted under this subsection must be submitted to the chairs and ranking minority members of the transportation committees of the senate and the house of representatives.
     (4) For the 2009-2011 biennium, the following limitations are established upon information technology procurement:
     (a) State agencies are not permitted to purchase or implement new information technology projects without securing prior authorization from the office of financial management. The office of financial management may only approve information technology projects that contribute towards an enterprise strategy or meet a critical, localized need of the requesting agency.
     (b) State agencies are not permitted to purchase servers, virtualization software, data storage, or related software through their operational funds or through a separate information technology budget item without securing prior authorization from the office of financial management. The office of financial management shall grant approval only if the purchase is consistent with the state's overall migration strategy to the state data center and critical to the operation of the agency.
     (c) State agencies are not permitted to upgrade existing software without securing prior approval from the office of financial management. In reviewing requests from state agencies to upgrade software, the office of financial management shall grant approval only if the agency can demonstrate that upgrade of the software is critical to the operation of the agency.

NEW SECTION.  Sec. 9   A new section is added to chapter 43.88 RCW to read as follows:
     (1) The office of financial management's operating budget instructions to agencies must include comprehensive information in a standard format regarding the total cost of ownership of technology spending, projects, products, programs, personnel, and other services to provide a transparent analysis and understanding of technology in the state.
     (2) Agencies must submit the following information about specific projects in a standard format:
     (a) Estimated project implementation costs by staffing, contracted services, hardware purchase and maintenance, software license purchase and maintenance, hardware lease or finance, maintenance and operations, training, and travel;
     (b) Estimated project maintenance costs by staffing, contracted services, hardware purchase and maintenance, software license purchase and maintenance, hardware lease or finance, maintenance and operations, training, and travel;
     (c) All project expenditures in previous biennia;
     (d) Oversight level as determined by the information services board, if available;
     (e) Estimated project duration and start date;
     (f) Estimated ongoing operating savings or other benefits resulting from the project;
     (g) An explanation of the purpose and benefits of the project; and
     (h) An explanation of reengineering and streamlining of the underlying business process, if pursuing the development or purchase of new software. An explanation of efforts to gather business and technical requirements must also be provided.
     (3) The governor's budget must include an information technology plan that will include a list of all the proposed projects, their next biennium costs by funding source, projected costs over the two biennia succeeding the next biennium and through project completion by funding source, a statement of the purpose of the project, and measurable metrics upon which to assess the program. This information must also be submitted electronically, in a format to be determined by the office of financial management and the legislative evaluation and accountability program committee.
     (4) The office of financial management shall also institute a method of accounting for information technology-related expenditures, including creating common definitions for what constitutes an information technology investment. The director of financial management shall report total state expenditures on information technology by funding source and by object of expenditure to the chairs, ranking minority members, and staff coordinators of the appropriations committees of the senate and house of representatives for each biennium. The first report is due by January 15, 2013.

Sec. 10   RCW 43.88.560 and 1992 c 20 s 7 are each amended to read as follows:
     The director of financial management shall establish policies and standards governing the funding of major information technology projects as required under RCW 43.105.190(2). The director of financial management shall also direct the collection of additional information on information technology projects and submit an information technology plan as required under section 9 of this act.

Sec. 11   RCW 43.105.041 and 2009 c 486 s 13 are each amended to read as follows:
     (1) The board shall have the following powers and duties related to information services:
     (a) To develop standards and procedures governing the acquisition and disposition of equipment, proprietary software and purchased services, licensing of the radio spectrum by or on behalf of state agencies, and confidentiality of computerized data. The board shall coordinate with the office of financial management to develop contracting standards for information technology acquisition and purchased services and will work with state agencies to ensure deployment of standardized contracts;
     (b) To purchase, lease, rent, or otherwise acquire, dispose of, and maintain equipment, proprietary software, and purchased services, or to delegate to other agencies and institutions of state government, under appropriate standards, the authority to purchase, lease, rent, or otherwise acquire, dispose of, and maintain equipment, proprietary software, and purchased services: PROVIDED, That, agencies and institutions of state government are expressly prohibited from acquiring or disposing of equipment, proprietary software, and purchased services without such delegation of authority. The acquisition and disposition of equipment, proprietary software, and purchased services is exempt from RCW 43.19.1919 and, as provided in RCW 43.19.1901, from the provisions of RCW 43.19.190 through 43.19.200, except that the board, the department, and state agencies, as delegated, must post notices of technology procurement bids on the state's common vendor registration and bid notification system. This subsection (1)(b) does not apply to the legislative branch;
     (c) To develop statewide or interagency technical policies, standards, and procedures;
     (d) To review and approve standards and common specifications for new or expanded telecommunications networks proposed by agencies, public postsecondary education institutions, educational service districts, or statewide or regional providers of K-12 information technology services, and to assure the cost-effective development and incremental implementation of a statewide video telecommunications system to serve: Public schools; educational service districts; vocational-technical institutes; community colleges; colleges and universities; state and local government; and the general public through public affairs programming;
     (e) To provide direction concerning strategic planning goals and objectives for the state. The board shall seek input from the legislature and the judiciary;
     (f) To develop and implement a process for the resolution of appeals by:
     (i) Vendors concerning the conduct of an acquisition process by an agency or the department; or
     (ii) A customer agency concerning the provision of services by the department or by other state agency providers;
     (g) To establish policies for the periodic review by the department of agency performance which may include but are not limited to analysis of:
     (i) Planning, management, control, and use of information services;
     (ii) Training and education; and
     (iii) Project management;
     (h) To set its meeting schedules and convene at scheduled times, or meet at the request of a majority of its members, the chair, or the director;
     (i) To review and approve that portion of the ((department's)) budget ((requests)) that ((provides for)) may provide independent, technical staff support to the board; and
     (j) To develop procurement policies and procedures, such as unbundled contracting and subcontracting, that encourage and facilitate the purchase of products and services by state agencies and institutions from Washington small businesses to the maximum extent practicable and consistent with international trade agreement commitments.
     (2) Statewide technical standards to promote and facilitate electronic information sharing and access are an essential component of acceptable and reliable public access service and complement content-related standards designed to meet those goals. The board shall:
     (a) Establish technical standards to facilitate electronic access to government information and interoperability of information systems, including wireless communications systems. Local governments are strongly encouraged to follow the standards established by the board; and
     (b) Require agencies to consider electronic public access needs when planning new information systems or major upgrades of systems.
     In developing these standards, the board is encouraged to include the state library, state archives, and appropriate representatives of state and local government.
     (3)(a) The board, in consultation with the K-20 board, has the duty to govern, operate, and oversee the technical design, implementation, and operation of the K-20 network including, but not limited to, the following duties: Establishment and implementation of K-20 network technical policy, including technical standards and conditions of use; review and approval of network design; procurement of shared network services and equipment; and resolving user/provider disputes concerning technical matters. The board shall delegate general operational and technical oversight to the K-20 network technical steering committee as appropriate.
     (b) The board has the authority to adopt rules under chapter 34.05 RCW to implement the provisions regarding the technical operations and conditions of use of the K-20 network.
     (4) The board shall review all information technology efforts under its purview based on independent technical and financial information, regardless of whether the projects or services are being provided by public or private providers. This review shall be conducted by independent, technical staff support, subject to funds appropriated for this specific purpose.
     (5) In reviewing these efforts, the board, in consultation with the office of financial management, shall review state agency information technology budgets. The board may acquire project management assistance to assist in its efforts under this act.

Sec. 12   RCW 43.105.180 and 1999 c 80 s 11 are each amended to read as follows:
     ((Upon request of the office of financial management,)) The department, in coordination with the information services board and the office of financial management, shall evaluate agency budget requests for major information technology projects identified under RCW 43.105.190, including those proposed by the superintendent of public instruction, in conjunction with educational service districts, or statewide or regional providers of K-12 education information technology services. The department shall submit recommendations for funding all or part of such requests to the office of financial management and to the chairs, ranking minority members, and staff coordinators of the appropriations committees of the senate and house of representatives. The department shall also submit recommendations regarding consolidation of similar proposals or other efficiencies it finds in reviewing proposals.
     The department, with the advice and approval of the office of financial management and the information services board, shall establish criteria, consistent with portfolio-based information technology management, for the evaluation of agency budget requests under this section. These budget requests shall be made in the context of an agency's information technology portfolio; technology initiatives underlying budget requests are subject to board review. Criteria shall include, but not be limited to: Feasibility of the proposed projects, consistency with the state strategic information technology plan, consistency with information technology portfolios, appropriate provision for public electronic access to information, evidence of business process streamlining and gathering of business and technical requirements, and services, costs, and benefits.

Sec. 13   RCW 43.105.160 and 2005 c 319 s 110 are each amended to read as follows:
     (1) The department shall prepare a state strategic information technology plan which shall establish a statewide mission, goals, and objectives for the use of information technology, including goals for electronic access to government records, information, and services. The plan shall be developed in accordance with the standards and policies established by the board and shall be submitted to the board for review, modification as necessary, and approval. The department shall seek the advice of the board in the development of this plan.
     The plan approved under this section shall be updated as necessary and submitted to the governor and the chairs and ranking minority members of the appropriations committees of the senate and the house of representatives.
     (2) The department shall prepare a biennial state performance report on information technology based on agency performance reports required under RCW 43.105.170 and other information deemed appropriate by the department. The report shall include, but not be limited to:
     (a) An analysis, based upon agency portfolios, of the state's information technology infrastructure, including its value, condition, and capacity;
     (b) An evaluation of performance relating to information technology;
     (c) An assessment of progress made toward implementing the state strategic information technology plan, including progress toward electronic access to public information and enabling citizens to have two-way access to public records, information, and services;
     (d) An analysis of the success or failure, feasibility, progress, costs, and timeliness of implementation of major information technology projects under RCW 43.105.190. At a minimum, the portion of the report regarding major technology projects must include:
     (i) Final total cost of ownership budget data, including capital and operational costs, broken down by staffing costs, contracted service, hardware purchase or lease, software purchase or lease, travel, and training. The original budget must also be shown for comparison;
     (ii) The original proposed project schedule and the final actual project schedule;
     (iii) Data regarding progress towards meeting the original goals and performance measures of the project, particularly as it relates to operating budget savings;
     (iv) Discussion of lessons learned on the project, performance of any contractors used, and reasons for project delays or cost increases; and
     (((e))) (v) Identification of benefits, cost avoidance, and cost savings generated by major information technology projects developed under RCW 43.105.190; and
     (((f))) (e) An inventory of state information services, equipment, and proprietary software.
     Copies of the report shall be distributed biennially to the governor and the chairs and ranking minority members of the appropriations committees of the senate and the house of representatives. The major technology section of the report must examine major information technology projects completed in the previous biennium to determine the performance of the implementing agency, cost and value effectiveness, and timeliness and other performance metrics necessary to assess the quality and value of the investment. The report must also examine projects two years after completion for progress toward meeting performance goals and operating budget savings. The first report is due December 15, 2011, and every two years thereafter.

NEW SECTION.  Sec. 14   (1) The department of information services, in conjunction with the office of financial management, shall direct and coordinate pilot projects for four state agencies to demonstrate the value of application managed services. These four pilot agencies are the department of transportation, the department of social and health services, the legislative service center, and the office of financial management.
     (2) The pilot projects will entail, but not be limited to:
     (a) An assessment of each agency's information technology application portfolio;      
     (b) Identification of opportunities in the use of best practices and tools; and
     (c) An assessment of each agency's decision to proceed with application managed services based on the results of the assessment.
     (3) Pilot projects that continue past the assessment phase will transition to application managed services methods, tools, and resources, and operation of managed services.
     (4) The department of information services and the office of financial management shall prepare a report of the findings of the pilot assessments by September 1, 2010, and a final report of the pilot results by June 30, 2011. The final report must include the following: Identification of short and long-term costs, risks, benefits, and other organizational impacts of implementing application managed services within the pilot agencies. The final report must also identify opportunities for other state agencies to benefit from application managed services. The results of the pilot projects shall be provided to the information services board, the governor, the senate committee on ways and means, and the house of representatives committee on ways and means.

NEW SECTION.  Sec. 15   (1) The information services board, with the assistance of the department of information services and the office of financial management, must identify the most reasonable strategies that will, consistent with this act and without affecting direct program activities, achieve the savings identified in the omnibus appropriations act. The analysis shall identify savings by agency and fund that will result from the implementation of these strategies. The results of this analysis shall then be provided to the director of financial management by July 1, 2010, so the director may use it as the basis to achieve the savings identified in subsection (2) of this section.
     (2) The office of financial management shall work with the appropriate state agencies to generate savings that arise pursuant to this act from the improved acquisition and delivery of information technology products and services. The savings must be at least equal to those specified in the omnibus appropriations act. The office of financial management shall reduce agency allotments by the amounts specified in the omnibus appropriations act to reflect these savings. The allotment reductions shall be placed in unallotted status and remain unexpended.
     (3) This section expires June 30, 2011.

NEW SECTION.  Sec. 16   The department of information services shall, by November 1, 2010, report on the efforts to develop a centralized information project management office pursuant to chapter 522, Laws of 2007. The report shall address the current status of the effort, lessons learned, and recommended changes to the program.

Sec. 17   RCW 43.105.080 and 1999 c 80 s 8 are each amended to read as follows:
     There is created a revolving fund to be known as the data processing revolving fund in the ((custody of the)) state ((treasurer)) treasury. Moneys in the fund may be spent only after appropriation. The revolving fund shall be used for the acquisition of equipment, software, supplies, and services and the payment of salaries, wages, and other costs incidental to the acquisition, development, operation, and administration of information services, telecommunications, systems, software, supplies and equipment, including the payment of principal and interest on bonds issued for capital projects, by the department, Washington State University's computer services center, the department of personnel's personnel information systems division, the office of financial management's financial systems management group, and other users as jointly determined by the department and the office of financial management. The revolving fund is subject to the allotment procedure provided under chapter 43.88 RCW. ((Disbursements from the revolving fund for the services component of the department are not subject to appropriation. Disbursements for the strategic planning and policy component of the department are subject to appropriation. All disbursements from the fund are subject to the allotment procedures provided under chapter 43.88 RCW.)) The department shall establish and implement a billing structure to assure all agencies pay an equitable share of the costs.
     As used in this section, the word "supplies" shall not be interpreted to delegate or abrogate the division of purchasing's responsibilities and authority to purchase supplies as described in RCW 43.19.190 and 43.19.200.

NEW SECTION.  Sec. 18   RCW 43.105.017 (Legislative intent) and 1992 c 20 s 6, 1990 c 208 s 2, & 1987 c 504 s 2 are each repealed.