BILL REQ. #:  Z-0482.3 

Read first time 02/12/09.   Referred to Committee on Economic Development, Trade & Innovation.

     AN ACT Relating to quality management, accountability, and performance systems; and amending RCW 43.17.380, 43.17.385, and 43.17.390.

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

Sec. 1   RCW 43.17.380 and 2005 c 384 s 2 are each amended to read as follows:
     As used in RCW 43.17.385 and 43.17.390:
     (1) "State agency" or "agency" means a state agency, department, office, officer, board, commission, bureau, division, institution, or institution of higher education, and all offices of executive branch state government-elected officials, except agencies with less than one hundred full-time equivalent employees and agricultural commissions under Title 15 RCW.
     (2) "Quality management, accountability, and performance system" means a nationally recognized integrated, interdisciplinary system of measures, tools, and reports used to improve the performance of a work unit or organization.

Sec. 2   RCW 43.17.385 and 2005 c 384 s 3 are each amended to read as follows:
     (1) Each state agency shall, within available funds, develop and implement a quality management, accountability, and performance system to improve the public services it provides.
     (2) Each agency shall ensure that managers and staff at all levels, including those who directly deliver services, are engaged in the system and shall provide managers and staff with the training necessary for successful implementation.
     (3) Each agency shall, within available funds, ensure that its quality management, accountability, and performance system:
     (a) Uses strategic business planning to establish goals, objectives, and activities consistent with the priorities of government, as provided in statute;
     (b) Engages stakeholders and customers in establishing service requirements and improving service delivery systems;
     (c) Includes clear, relevant, and easy-to-understand measures for each activity;
     (d) Gathers, monitors, and analyzes activity data;
     (e) Uses the data to evaluate the effectiveness of programs to manage process performance, improve efficiency, and reduce costs;
     (f) Establishes performance goals and expectations for employees that reflect the organization's objectives; and provides for regular assessments of employee performance;
     (g) Uses activity measures to report progress toward agency objectives to the agency director at least quarterly;
     (h) Where performance is not meeting intended objectives, holds regular problem-solving sessions to develop and implement a plan for addressing gaps; and
     (i) Allocates resources based on strategies to improve performance.
     (4) Each agency shall conduct a yearly assessment of its quality management, accountability, and performance system.
     (5) State agencies whose chief executives are appointed by the governor shall report to the governor on agency performance at least quarterly. The reports shall be included on the agencies', the governor's, and the office of financial management's web sites.
     (6) The governor shall report annually to citizens on the performance of state agency programs. The governor's report shall include, but not be limited to:
     (a) Progress made toward the priorities of government as a result of agency activities; and
     (b) Improvements in agency quality management systems, fiscal efficiency, process efficiency, asset management, personnel management, statutory and regulatory compliance, and management of technology systems.
     (7) Each state agency shall integrate efforts made under this section with other management, accountability, and performance systems undertaken under executive order or other authority.

Sec. 3   RCW 43.17.390 and 2005 c 384 s 4 are each amended to read as follows:
     ((Starting no later than 2008, and at least once every three years thereafter,)) (1) Each agency ((shall)) may apply to the Washington state quality award, or similar organization, for an independent assessment of its quality management, accountability, and performance system. The assessment ((shall evaluate)) may include an evaluation of the effectiveness of all elements of ((its)) the agency's management, accountability, and performance system, including: Leadership, strategic planning, customer focus, analysis and information, employee performance management, and process improvement. The purpose of the assessment is to recognize best practice and identify improvement opportunities.
     (2) All agency assessments under this section shall be made available for public review on agency web sites or through other easily accessible formats.