SSB 5921 -
By Senator Regala
NOT CONSIDERED 05/25/2011
Strike everything after the enacting clause and insert the following:
"NEW SECTION. Sec. 1 The legislature finds that stable and
sustainable employment is the key goal of the WorkFirst and temporary
assistance for needy families programs. Achieving stable and
sustainable employment is a developmental process that takes time,
effort, and engagement. In times of fiscal challenge, temporary
assistance for needy families and WorkFirst resources must be invested
in program elements that produce the best results for low-income
families and the state of Washington.
The legislature further finds that the core tenets that are the
foundation of Washington state's WorkFirst program are: (1) Achieving
stable and successful employment; (2) recognizing the critical role
that participants play in their children's development, healthy growth,
and promotion of family stability; (3) developing strategies founded on
the principle that WorkFirst is a transitional, not long-term, program
to assist families on the pathway to self-sufficiency while holding
them accountable; and (4) leveraging resources outside the funding for
temporary assistance for needy families is crucial to achieving
WorkFirst goals. It is the intent of the legislature, using evidence-based and research-based practices, to develop a road map to self-sufficiency for WorkFirst participants and temporary assistance for
needy families recipients.
Sec. 2 RCW 74.08A.260 and 2009 c 85 s 2 are each amended to read
as follows:
(1) Each recipient shall be assessed after determination of program
eligibility and before referral to job search. Assessments shall be
based upon factors that are critical to obtaining employment, including
but not limited to education, availability of child care, history of
family violence, history of substance abuse, and other factors that
affect the ability to obtain employment. Assessments may be performed
by the department or by a contracted entity. The assessment shall be
based on a uniform, consistent, transferable format that will be
accepted by all agencies and organizations serving the recipient.
(2) Based on the assessment, an individual responsibility plan
shall be prepared that: (a) Sets forth an employment goal and a plan
for maximizing the recipient's success at meeting the employment goal;
(b) considers WorkFirst educational and training programs from which
the recipient could benefit; (c) contains the obligation of the
recipient to participate in the program by complying with the plan; (d)
moves the recipient into full-time WorkFirst activities as quickly as
possible; and (e) describes the services available to the recipient
either during or after WorkFirst to enable the recipient to obtain and
keep employment and to advance in the workplace and increase the
recipient's wage earning potential over time.
(((2))) (3) Recipients who are not engaged in work and work
activities, and do not qualify for a good cause exemption under RCW
74.08A.270, shall engage in self-directed service as provided in RCW
74.08A.330.
(((3))) (4) If a recipient refuses to engage in work and work
activities required by the department, the family's grant shall be
reduced by the recipient's share, and may, if the department determines
it appropriate, be terminated.
(((4))) (5) The department may waive the penalties required under
subsection (((3))) (4) of this section, subject to a finding that the
recipient refused to engage in work for good cause provided in RCW
74.08A.270.
(((5) In implementing this section, the department shall assign the
highest priority to the most employable clients, including adults in
two-parent families and parents in single-parent families that include
older preschool or school-age children to be engaged in work
activities.))
(6) In consultation with the recipient, the department or
contractor shall place the recipient into a work activity that is
available in the local area where the recipient resides.
(7) Assessments conducted under this section shall include a
consideration of the potential benefit to the recipient of engaging in
financial literacy activities. The department shall consider the
options for financial literacy activities available in the community,
including information and resources available through the financial
((literacy)) education public-private partnership created under RCW
28A.300.450. The department may authorize up to ten hours of financial
literacy activities as a core activity or an optional activity under
WorkFirst.
(8) From July 1, 2011, through June 30, 2012, subsections (2)
through (6) of this section are suspended for a recipient who is a
parent or other relative personally providing care for a child under
the age of six years. This suspension applies to both one and two
parent families. Beginning July 1, 2012, the department shall phase in
the work activity requirements that were suspended, beginning with
those recipients closest to reaching the sixty-month limit of receiving
temporary assistance for needy families under RCW 74.08A.010(1). The
phase in shall be accomplished so that a fairly equal number of
recipients required to participate in work activities are returned to
those activities each month until the total number required to
participate is participating by June 30, 2013. Nothing in this
subsection shall prevent a recipient from participating in the
WorkFirst program on a voluntary basis.
(9)(a) A legislative task force overseeing the WorkFirst program is
established, with members as provided in this subsection.
(i) The president of the senate shall appoint one member from each
of the two largest caucuses of the senate.
(ii) The speaker of the house of representatives shall appoint one
member from each of the two largest caucuses of the house of
representatives.
(iii) The governor shall appoint members representing the
department of social and health services, the department of early
learning, the department of commerce, the employment security
department, the office of financial management, and the state board for
community and technical colleges.
(iv) The task force shall choose cochairs, one from among the
legislative members and one from among the executive branch members.
The legislative members shall convene the initial meeting of the task
force.
(b) The task force shall:
(i) Oversee the redesign of the WorkFirst program and the
implementation of the statutes and budget provisions controlling the
temporary assistance for needy families program;
(ii) Determine evidence-based outcome measures for the WorkFirst
program;
(iii) Establish strategies most likely to result in the achievement
of the outcome measures and the recipient's progress towards
self-sufficiency;
(iv) Develop accountability measures for the WorkFirst recipients
and the state agencies responsible for their progress toward self-sufficiency;
(v) Develop and oversee, as part of the WorkFirst redesign, the
implementation of a comprehensive family assessment to be used at
program entry; the use of an evaluation after completion of the family
assessment which is designed to identify the appropriate work
preparation activities and service levels for the recipient; and the
use of a predictive modeling tool to be used to identify risk factors
relating to a recipient's participation in the temporary assistance for
needy families program and his or her employability, and especially
identifying those recipients most likely to experience long stays on
the program as well as those recipients likely to experience short
stays on the program;
(vi) Improve the responsiveness of the WorkFirst program in meeting
the employment needs of Washington businesses;
(vii) Improve individual level outcomes; and
(viii) Support families in developing skills that lead to a stable
family environment and reduce intergenerational poverty.
(c) Staff support for the task force must be provided by senate
committee services and the house of representatives office of program
research.
(d) Between July 1, 2011, and June 30, 2012, the task force shall
meet monthly to focus on the redesign of the WorkFirst program. The
task force shall report its initial findings and recommendations to the
governor and the legislature no later than July 30, 2012.
(e) From July 1, 2012, to June 30, 2014, the task force will meet
quarterly. During this time period the responsibilities of the task
force shall be to:
(i) Provide ongoing review of the implementation of the WorkFirst
redesign process and modify the program to ensure that it is achieving
results for its clients;
(ii) Jointly decide how the temporary assistance for needy families
state and federal dollars will be spent;
(iii) Make recommendations to the governor and the legislature
regarding necessary changes to the program;
(iv) Receive regular reports from the partner agencies on the
impact of program reductions;
(v) Receive regular reports on the characteristics of the families
who have been unsuccessful on the program and have lost their benefits
either through sanction or the sixty-month time limit;
(vi) Review and make recommendations on the implementation of
federal changes to the temporary assistance for needy families program;
and
(vii) Issue annual reports regarding its work.
(f) During its tenure, the task force will receive regular reports
on the partner agencies' progress toward the outcome goals and it will
advise the governor and the legislature on child care and temporary
assistance for needy families policies to improve the effectiveness of
the WorkFirst program over time.
(g) This subsection (9) expires June 30, 2014.
Sec. 3 RCW 74.08A.290 and 1997 c 58 s 316 are each amended to
read as follows:
(1) ((It is the intent of the legislature that)) On or before July
1, 2012, the department ((is authorized to)) shall engage in
competitive contracting using performance-based contracts to provide
all WorkFirst work activities ((authorized in chapter 58, Laws of 1997,
including the job search component authorized in section 312 of this
act)). All contracted services procured pursuant to this chapter are
expressly mandated in accordance with RCW 41.06.142(3) and shall not be
subject to the processes set forth in RCW 41.06.142 (1), (4), and (5).
(2) The department ((may)) shall use competitive performance-based
contracting to select ((which vendors will participate)) the public or
private vendors to provide services in the WorkFirst program.
WorkFirst services provided by partner agencies shall also be pursuant
to performance-based contracts. Performance-based contracts shall be
awarded based on factors that include but are not limited to the
criteria listed in RCW 74.08A.410, past performance of the contractor,
demonstrated ability to perform the contract effectively, financial
strength of the contractor, and merits of the proposal for services
submitted by the contractor. Contracts shall be made without regard to
whether the contractor is a public or private entity.
(3) The department ((may)) shall contract for an evaluation of the
competitive contracting practices and outcomes to be performed by ((an
independent entity with expertise in government privatization and
competitive strategies)) the Washington state institute for public
policy. The evaluation shall include ((quarterly)) annual progress
reports to the appropriate policy and fiscal committees of the
legislature and to the governor, starting ((at the first quarter after
the effective date of the first competitive contract and ending two
years after the effective date of the first competitive contract)) June
30, 2012.
(4) The department shall work with the WorkFirst task force to
develop appropriate outcomes by which the contractors performance will
be measured. The outcomes shall be developed no later than November
30, 2011.
(5) The department shall seek independent assistance in developing
contracting strategies to implement this section. Assistance may
include but is not limited to development of contract language, design
of requests for proposal, developing full cost information on
government services, evaluation of bids, and providing for equal
competition between private and public entities.
NEW SECTION. Sec. 4 A new section is added to chapter 74.12 RCW
to read as follows:
The department may adopt rules establishing income eligibility for
temporary assistance for needy families benefits for a child, other
than a foster child, who lives with a caregiver other than his or her
parents. The department shall establish a sliding scale benefit
standard for a child when the income of the child's caregiver is above
two hundred percent but below three hundred percent of the federal
poverty level based on family size. A caregiver with an income above
three hundred percent of the federal poverty level shall not be
eligible for temporary assistance for needy families benefits for a
child, not a foster child, who is residing with that caregiver.
NEW SECTION. Sec. 5 A new section is added to chapter 74.08A RCW
to read as follows:
In determining the income eligibility of an applicant or recipient
for temporary assistance for needy families or WorkFirst, the
department shall not count the federal supplemental security income
received by a household member.
Sec. 6 RCW 74.08A.010 and 2004 c 54 s 4 are each amended to read
as follows:
(1) A family that includes an adult who has received temporary
assistance for needy families for sixty months after July 27, 1997,
shall be ineligible for further temporary assistance for needy families
assistance. For purposes of this section, "adult" includes
undocumented parents receiving temporary assistance for needy families
on behalf of their biological children who are United States citizens.
(2) For the purposes of applying the rules of this section, the
department shall count any month in which an adult family member
received a temporary assistance for needy families cash assistance
grant unless the assistance was provided when the family member was a
minor child and not the head of the household or married to the head of
the household.
(3) The department shall refer recipients who require specialized
assistance to appropriate department programs, crime victims' programs
through the department of ((community, trade, and economic
development)) commerce, or the crime victims' compensation program of
the department of labor and industries.
(4) The department may exempt a recipient and the recipient's
family from the application of subsection (1) of this section by reason
of hardship or if the recipient meets the family violence options of
section 402(A)(7) of Title IVA of the federal social security act as
amended by P.L. 104-193. ((The number of recipients and their families
exempted from subsection (1) of this section for a fiscal year shall
not exceed twenty percent of the average monthly number of recipients
and their families to which assistance is provided under the temporary
assistance for needy families program.))
(5) The department shall not exempt a recipient and his or her
family from the application of subsection (1) of this section until
after the recipient has received fifty-two months of assistance under
this chapter.
(6) Beginning on October 31, 2005, the department shall provide
transitional food stamp assistance for a period of five months to a
household that ceases to receive temporary assistance for needy
families assistance and is not in sanction status. If necessary, the
department shall extend the household's food stamp certification until
the end of the transition period.
Sec. 7 RCW 74.20.040 and 2007 c 143 s 5 are each amended to read
as follows:
(1) Whenever the department receives an application for public
assistance on behalf of a child, or the department receives an
application for subsidized child care services or working connections
child care services, the department or the department of early learning
shall take appropriate action under the provisions of this chapter,
chapter 74.20A RCW, or other appropriate statutes of this state to
establish or enforce support obligations against the parent or other
persons owing a duty to pay support moneys.
(2) The secretary may accept a request for support enforcement
services on behalf of persons who are not recipients of public
assistance and may take appropriate action to establish or enforce
support obligations against the parent or other persons owing a duty to
pay moneys. Requests accepted under this subsection may be conditioned
upon the payment of a fee as required by subsection (6) of this section
or through regulation issued by the secretary. The secretary may
establish by regulation, reasonable standards and qualifications for
support enforcement services under this subsection.
(3) The secretary may accept requests for support enforcement
services from child support enforcement agencies in other states
operating child support programs under Title IV-D of the social
security act or from foreign countries, and may take appropriate action
to establish and enforce support obligations, or to enforce subpoenas,
information requests, orders for genetic testing, and collection
actions issued by the other agency against the parent or other person
owing a duty to pay support moneys, the parent or other person's
employer, or any other person or entity properly subject to child
support collection or information-gathering processes. The request
shall contain and be accompanied by such information and documentation
as the secretary may by rule require, and be signed by an authorized
representative of the agency. The secretary may adopt rules setting
forth the duration and nature of services provided under this
subsection.
(4) The department may take action to establish, enforce, and
collect a support obligation, including performing related services,
under this chapter and chapter 74.20A RCW, or through the attorney
general or prosecuting attorney for action under chapter 26.09, 26.18,
26.20, 26.21A, or 26.26 RCW or other appropriate statutes or the common
law of this state.
(5) Whenever a support order is filed with the Washington state
support registry under chapter 26.23 RCW, the department may take
appropriate action under the provisions of this chapter, chapter 26.23
or 74.20A RCW, or other appropriate law of this state to establish or
enforce the support obligations contained in that order against the
responsible parent or other persons owing a duty to pay support moneys.
(6) The secretary, in the case of an individual who has never
received assistance under a state program funded under part A and for
whom the state has collected at least five hundred dollars of support,
shall impose an annual fee of twenty-five dollars for each case in
which services are furnished, which shall be retained by the state from
support collected on behalf of the individual, but not from the first
five hundred dollars of support. The secretary may, on showing of
necessity, waive or defer any such fee or cost.
(7) Fees, due and owing, may be retained from support payments
directly or collected as delinquent support moneys utilizing any of the
remedies in chapter 74.20 RCW, chapter 74.20A RCW, chapter 26.21A RCW,
or any other remedy at law or equity available to the department or any
agencies with whom it has a cooperative or contractual arrangement to
establish, enforce, or collect support moneys or support obligations.
(8) The secretary may waive the fee, or any portion thereof, as a
part of a compromise of disputed claims or may grant partial or total
charge off of said fee if the secretary finds there are no available,
practical, or lawful means by which said fee may be collected or to
facilitate payment of the amount of delinquent support moneys or fees
owed.
(9) The secretary shall adopt rules conforming to federal laws,
including but not limited to complying with section 7310 of the federal
deficit reduction act of 2005, 42 U.S.C. Sec. 654, and rules and
regulations required to be observed in maintaining the state child
support enforcement program required under Title IV-D of the federal
social security act. The adoption of these rules shall be calculated
to promote the cost-effective use of the agency's resources and not
otherwise cause the agency to divert its resources from its essential
functions.
Sec. 8 RCW 74.20.330 and 2007 c 143 s 6 are each amended to read
as follows:
(1) Whenever public assistance is paid under a state program funded
under Title IV-A of the federal social security act as amended by the
personal responsibility and work opportunity reconciliation act of
1996, and the federal deficit reduction act of 2005, each applicant or
recipient is deemed to have made assignment to the department of any
rights to a support obligation from any other person the applicant or
recipient may have in his or her own behalf or in behalf of any other
family member for whom the applicant or recipient is applying for or
receiving public assistance, including any unpaid support obligation or
support debt which has accrued at the time the assignment is made.
(2) Payment of public assistance under a state-funded program, or
a program funded under Title IV-A, IV-E, or XIX of the federal social
security act as amended by the personal responsibility and work
opportunity reconciliation act of 1996 shall:
(a) Operate as an assignment by operation of law; and
(b) Constitute an authorization to the department to provide the
assistance recipient with support enforcement services.
(3) Payment for subsidized child care services or working
connections child care services shall constitute an authorization to
the department to provide the recipient of the subsidy with support
enforcement services. The department is authorized to collect, but not
retain, child support payments under this subsection.
(4) Effective October 1, 2008, whenever public assistance is paid
under a state program funded under Title IV-A of the federal social
security act as amended by the personal responsibility and work
opportunity reconciliation act of 1996, and the federal deficit
reduction act of 2005, a member of the family is deemed to have made an
assignment to the state any right the family member may have, or on
behalf of the family member receiving such assistance, to support from
any other person, not exceeding the total amount of assistance paid to
the family, which accrues during the period that the family receives
assistance under the program.
Sec. 9 RCW 43.215.135 and 2010 c 273 s 2 are each amended to read
as follows:
(1) The department shall establish and implement policies in the
working connections child care program to promote stability and quality
of care for children from low-income households. Policies for the
expenditure of funds constituting the working connections child care
program must be consistent with the outcome measures defined in RCW
74.08A.410 and the standards established in this section intended to
promote continuity of care for children.
(2) As a condition of receiving a child care subsidy or a working
connections child care subsidy, the applicant or recipient must seek
child support enforcement services from the department of social and
health services, division of child support, unless the department finds
that the applicant or recipient has good cause not to cooperate.
(3) Except as provided in subsection (4) of this section, an
applicant or recipient of a child care subsidy or a working connections
child care subsidy is eligible to receive that subsidy for six months
before having to recertify his or her income eligibility. The six-month certification provision applies only if enrollments in the child
care subsidy or working connections child care program are capped.
(4) Beginning in fiscal year 2011, for families with children
enrolled in an early childhood education and assistance program, a head
start program, or an early head start program, authorizations for the
working connections child care subsidy shall be effective for twelve
months unless a change in circumstances necessitates reauthorization
sooner than twelve months.
(((3))) (5) The department, in consultation with the department of
social and health services, shall report to the legislature by
September 1, 2011, with:
(a) An analysis of the impact of the twelve-month authorization
period on the stability of child care, program costs, and
administrative savings; and
(b) Recommendations for expanding the application of the twelve-month authorization period to additional populations of children in
care.
NEW SECTION. Sec. 10 A new section is added to chapter 43.215
RCW to read as follows:
The department and the department of social and health services
shall jointly explore different options to track subsidized child care
attendance, including methods using a land line or cellular telephone,
a computer, a point of sale system, or some combination of these
methods. The method that is chosen must interface smoothly with the
payment system for subsidized child care payments. No later than
December 31, 2011, both departments shall provide an update to the
legislature of implementation issues and timelines.
Sec. 11 RCW 74.08.580 and 2002 c 252 s 1 are each amended to read
as follows:
(1) Any person receiving public assistance is prohibited from using
electronic benefit cards or cash obtained with electronic benefit
cards:
(a) For the purpose of participating in any of the activities
authorized under chapter 9.46 RCW;
(b) For the purpose of parimutuel wagering authorized under chapter
67.16 RCW; ((or))
(c) To purchase lottery tickets or shares authorized under chapter
67.70 RCW;
(d) For the purpose of participating in or purchasing any
activities located in a tattoo, body piercing, or body art shop
licensed under chapter 18.300 RCW;
(e) To purchase cigarettes as defined in RCW 82.24.010 or tobacco
products as defined in RCW 82.26.010;
(f) To purchase any items regulated under Title 66 RCW; or
(g) For the purpose of purchasing or participating in any
activities in any location listed in subsection (2) of this section.
(2) On or before January 1, 2012, the businesses listed in this
subsection must disable the ability of ATM and point-of-sale machines
located on their business premises to accept the electronic benefit
card. The following businesses are required to comply with this
mandate:
(a) Taverns licensed under RCW 66.24.330;
(b) Beer/wine specialty stores licensed under RCW 66.24.371;
(c) Nightclubs licensed under RCW 66.24.600;
(d) Contract liquor stores defined under RCW 66.04.010;
(e) Bail bond agencies regulated under chapter 18.185 RCW;
(f) Gambling establishments licensed under chapter 9.46 RCW;
(g) Tattoo, body piercing, or body art shops regulated under
chapter 18.300 RCW;
(h) Adult entertainment venues with performances that contain
erotic material where minors under the age of eighteen are prohibited
under RCW 9.68A.150; and
(i) Any establishments where persons under the age of eighteen are
not permitted.
(3) The department must notify the licensing authority of any
business listed in subsection (2) of this section that such business
has continued to allow the use of the electronic benefit card in
violation of subsection (2) of this section.
(4) Only the recipient, an eligible member of the household, or the
recipient's authorized representative may use an electronic benefit
card or the benefit and such use shall only be for the respective
benefit program purposes. The recipient shall not sell, or attempt to
sell, exchange, or donate an electronic benefit card or any benefits to
any other person or entity.
(5) Violation of subsection (1) or (4) of this section constitutes
a gross misdemeanor.
(a) The department shall notify, in writing, all recipients of
electronic benefit cards that any violation of subsection (1) or (4) of
this section could result in civil or criminal legal proceedings and,
for recipients, the forfeiture of all cash public assistance.
(b) Whenever the department receives notice that a person has
violated subsection (1) or (4) of this section, the department shall
notify the person in writing that the violation could result in civil
or criminal legal proceedings and, for recipients, the forfeiture of
all cash public assistance.
(c) The department shall assign a protective payee to the person
receiving public assistance who violates subsection (1) or (4) of this
section.
NEW SECTION. Sec. 12 A new section is added to chapter 66.24 RCW
to read as follows:
The board shall immediately suspend the license of a business that
has been issued a license under RCW 66.24.330, 66.24.371, or 66.24.600
if the board receives information that the business has not complied
with RCW 74.08.580(2). If the licensee has remained otherwise eligible
to be licensed, the board may reinstate the suspended license when the
business has complied with RCW 74.08.580(2).
Sec. 13 RCW 66.16.041 and 2005 c 151 s 6 are each amended to read
as follows:
(1) The state liquor control board shall accept bank credit card
and debit cards for purchases in state liquor stores, under such rules
as the board may adopt. The board shall authorize contract liquor
stores appointed under RCW 66.08.050 to accept bank credit cards and
debit cards for liquor purchases under this title, under such rules as
the board may adopt.
(2) If a contract liquor store chooses to use credit or debit cards
for liquor purchases, the board shall provide equipment and
installation and maintenance of the equipment necessary to implement
the use of credit and debit cards. Any equipment provided by the board
to a contract liquor store for this purpose may be used only for the
purchase of liquor.
(3) It is the board's responsibility to ensure that the equipment
used by the contract liquor stores to accept debit or credit cards for
liquor purchases complies with the requirements of RCW 74.08.580(2)
with regard to point-of-sale machines.
(4) It is the contract liquor store's responsibility to comply with
the requirements of RCW 74.08.580(2) pertaining to the use of
electronic benefit transfer cards in ATM machines located on the
contract liquor store premises. The board shall immediately suspend
the contract it has with the contract liquor store if it receives
information that the store has not complied with RCW 74.08.580(2). The
board may reinstate the suspended contract when the contract liquor
store has complied with RCW 74.08.580(2).
NEW SECTION. Sec. 14 A new section is added to chapter 18.300
RCW to read as follows:
The department of licensing shall immediately suspend any license
under this chapter if the department receives information that the
license holder has not complied with RCW 74.08.580(2). If the license
holder has remained otherwise eligible to be licensed, the department
may reinstate the suspended license when the holder has complied with
RCW 74.08.580(2).
NEW SECTION. Sec. 15 A new section is added to chapter 18.185
RCW to read as follows:
The director shall immediately suspend any license issued under
this chapter if the director receives information that the license
holder has not complied with RCW 74.08.580(2). If the license holder
has otherwise remained eligible to be licensed, the director may
reinstate the suspended license when the holder has complied with RCW
74.08.580(2).
Sec. 16 RCW 9.46.410 and 2002 c 252 s 2 are each amended to read
as follows:
(1) Any licensee authorized under this chapter is prohibited from
allowing the use of public assistance electronic benefit cards for the
purpose of participating in any of the activities authorized under this
chapter.
(2) Any licensee authorized under this chapter shall report to the
department of social and health services any known violations of RCW
74.08.580.
(3) Any licensee authorized under this chapter is required to
comply with RCW 74.08.580(2). If the licensee fails to comply with RCW
74.08.580(2), its license shall be immediately suspended until it
complies with RCW 74.08.580(2). If the licensee remains otherwise
eligible to be licensed, the commission may reinstate the license once
the licensee has complied with RCW 74.08.580(2).
NEW SECTION. Sec. 17 The legislature finds that eliminating
waste, fraud, and abuse of public assistance benefits should be a top
priority of the department of social and health services, and this can
best be reflected in a newly organized, accountable, and proactive
fraud unit directly under the secretary's authority with the resources
necessary to combat fraud and to ensure the confidence of the public in
the critical social safety net programs it funds.
NEW SECTION. Sec. 18 A new section is added to chapter 74.04 RCW
to read as follows:
The definitions in this section apply throughout this chapter
unless the context clearly requires otherwise.
(1) "Abuse" means any use of public assistance resources that is
contrary to purposes specified in statute whether or not it is defined
as a criminal act.
(2) "Disclosable information" means public information that (a) is
not exempt from disclosure under chapter 42.56 RCW; and (b) does not
pertain to an ongoing investigation.
(3) "Fraud" means an intentional deception or misrepresentation
made by a person with the knowledge that the deception could result in
some unauthorized benefit to himself or herself or some other person.
(4) "Office" means the office of fraud and accountability.
(5) "Public assistance" or "public assistance programs" means
public aid to persons in need including assistance grants, food
assistance, work relief, disability lifeline benefits, temporary
assistance for needy families, and, for purposes of this section,
working connections child care subsidies. This definition excludes
medicaid and other medical programs as defined in chapter 74.09 RCW,
and fraud and abuse committed by medical providers and recipients of
medicaid and other medical program services.
Sec. 19 RCW 74.04.012 and 2008 c 74 s 3 are each amended to read
as follows:
(1) There is established ((a unit)) an office of fraud and
accountability within the department for the purpose of detection,
investigation, and prosecution of any act prohibited or declared to be
unlawful in the public assistance programs administered by the
department. The secretary will employ qualified supervisory, legal,
and investigative personnel for the program. Program staff must be
qualified by training and experience.
(2) The director of the office of fraud and accountability is the
head of the office and is selected by the secretary and must
demonstrate suitable capacity and experience in law enforcement
management, public administration, and criminal investigations. The
director of the office of fraud and accountability shall:
(a) Report directly to the secretary; and
(b) Ensure that each citizen complaint, employee complaint, law
enforcement complaint, and agency referral is assessed and, when risk
of fraud or abuse is present, is fully investigated, and is referred
for prosecution or recovery when there is substantial evidence of
wrongdoing.
(3) The office shall:
(a) Conduct independent and objective investigations into
allegations of fraud and abuse, make appropriate referral to law
enforcement when there is substantial evidence of criminal activity,
and recover overpayment whenever possible and to the greatest possible
degree;
(b) Recommend policies, procedures, and best practices designed to
detect and prevent fraud and abuse, and to mitigate the risk for fraud
and abuse and assure that public assistance benefits are being used for
their statutorily stated goals;
(c) Analyze cost-effective, best practice alternatives to the
current cash benefit delivery system consistent with federal law to
ensure that benefits are being used for their intended purposes; and
(d) Use best practices to determine appropriate utilization and
deployment of investigative resources, ensure that resources are
deployed in a balanced and effective manner, and use all available
methods to gather evidence necessary for proper investigation and
successful prosecution.
(4) By December 31, 2011, the office shall report to the
legislature on the development of the office, identification of any
barriers to meeting the stated goals of the office, and recommendations
for improvements to the system and laws related to the prevention,
detection, and prosecution of fraud and abuse in public assistance
programs.
Sec. 20 RCW 43.20A.605 and 2009 c 549 s 5078 are each amended to
read as follows:
(1) The secretary or a designee shall have full authority to
administer oaths and take testimony thereunder, to issue subpoenas
requiring the attendance of witnesses before him or her together with
all books, memoranda, papers, and other documents, articles or
instruments, and to compel the disclosure by such witnesses of all
facts known to them relative to the matters under investigation.
(2) Subpoenas issued in adjudicative proceedings are governed by
RCW 34.05.588(1).
(3) Subpoenas issued in the conduct of investigations required or
authorized by other statutory provisions or necessary in the
enforcement of other statutory provisions shall be governed by RCW
34.05.588(2).
(4) When a judicially approved subpoena is required by law, the
secretary or designee may apply for and obtain a superior court order
approving and authorizing a subpoena in advance of its issuance. The
application may be made in the county where the subpoenaed person
resides or is found, or in the county where the subpoenaed documents,
records, or evidence are located, or in Thurston county. The
application must:
(a) State that an order is sought under this section;
(b) Adequately specify the documents, records, evidence, or
testimony; and
(c) Include a declaration made under oath that an investigation is
being conducted for a lawfully authorized purpose related to an
investigation within the department's authority and that the subpoenaed
documents, records, evidence, or testimony are reasonably related to an
investigation within the department's authority.
(5) When an application under subsection (4) of this section is
made to the satisfaction of the court, the court must issue an order
approving the subpoena. When a judicially approved subpoena is
required by law, an order under this subsection constitutes authority
of law for the agency to subpoena the documents, records, evidence, or
testimony.
(6) The secretary or designee may seek approval and a court may
issue an order under this section without prior notice to any person,
including the person to whom the subpoena is directed and the person
who is the subject of an investigation. An application for court
approval is subject to the fee and process set forth in RCW
36.18.012(3).
NEW SECTION. Sec. 21 A new section is added to chapter 74.04 RCW
to read as follows:
(1) In carrying out the provisions of this chapter, the office of
fraud and accountability shall have prompt access to all individuals,
records, electronic data, reports, audits, reviews, documents, and
other materials available to the department of revenue, department of
labor and industries, department of early learning, employment security
department, department of licensing, and any other government entity
that can be used to help facilitate investigations of fraud or abuse as
determined necessary by the director of the office of fraud and
accountability.
(2) Information gathered by the department, the office or the fraud
ombudsman shall remain confidential as required by state or federal
law. Whenever information or assistance requested under subsection (1)
of this section is, in the judgment of the director, unreasonably
refused or not provided, the director of the office of fraud and
accountability must report the circumstances to the secretary
immediately.
Sec. 22 RCW 49.60.210 and 1992 c 118 s 4 are each amended to read
as follows:
(1) It is an unfair practice for any employer, employment agency,
labor union, or other person to discharge, expel, or otherwise
discriminate against any person because he or she has opposed any
practices forbidden by this chapter, or because he or she has filed a
charge, testified, or assisted in any proceeding under this chapter.
(2) It is an unfair practice for a government agency or government
manager or supervisor to retaliate against a whistleblower as defined
in chapter 42.40 RCW.
(3) It is an unfair practice for any employer, employment agency,
labor union, government agency, government manager, or government
supervisor to discharge, expel, discriminate, or otherwise retaliate
against an individual assisting with an office of fraud and
accountability investigation under RCW 74.04.012, unless the individual
has willfully disregarded the truth in providing information to the
office.
NEW SECTION. Sec. 23 A new section is added to chapter 43.09 RCW
to read as follows:
(1) The auditor shall appoint a fraud ombudsman to audit the work
of the office of fraud and accountability within the department of
social and health services. The ombudsman shall review the fraud
investigative work done by the office including cases filed with local
prosecuting authorities. The ombudsman shall also have authority to
investigate citizen complaints made to the auditor's office related to
fraud or abuse in any public assistance program. The department of
social and health services shall provide the ombudsman with access to
any relevant records it has in its possession related to a fraud or
abuse investigation as determined by the fraud ombudsman, including
access to electronic benefit transfer card transaction data.
(2) The fraud ombudsman shall have access to persons within the
office of fraud and accountability for purposes of interviews and
evaluation.
(3) The fraud ombudsman must submit a report summarizing its
auditing activities of the office of fraud and accountability to the
appropriate committees of the legislature by November 30, 2012, and
biennially thereafter. The office of fraud and accountability shall
assist the ombudsman to the fullest extent practicable in producing
this report. The report shall contain only information consistent with
the requirements of chapter 42.56 RCW and any other applicable state or
federal laws, including:
(a) A description of significant fraud or abuse, and of
vulnerabilities or deficiencies relating to the prevention and
detection of fraud or abuse in public assistance programs, discovered
as a result of investigations completed during the reporting period;
(b) Recommendations for improving the activities of the office of
fraud and accountability with respect to the vulnerabilities or
deficiencies identified under (a) of this subsection;
(c) An identification of each significant recommendation described
in the previous reports on which corrective action has, or has not,
been completed;
(d) The response from the office of fraud and accountability to any
of the report findings, recommendations, or information provided in the
report;
(e) A summary of matters referred to prosecuting authorities during
the reporting period and the charges filed and convictions entered
during the reporting period that have resulted from referrals by the
office of fraud and accountability; and
(f) A description of the ease of access allowed by the office of
fraud and accountability to all necessary data and personnel for
purposes of conducting the audit.
(4) Information gathered by department staff, the office of fraud
and accountability, and the fraud ombudsman shall be safeguarded and
remain confidential as required by applicable state and federal law.
NEW SECTION. Sec. 24 A new section is added to chapter 43.20A
RCW to read as follows:
No later than January 1, 2012, the department shall establish an
employee incentive program pilot for those employees who work directly
with participants in the WorkFirst program. The pilot shall provide
for eight hours of paid annual leave per year, in addition to the
annual leave the employee normally accrues, for those employees who
assist participants in meeting certain outcomes to be established by
the department. The outcomes established must be of significance for
the participant and can include achieving unsubsidized employment or
the removal of a significant barrier to unsubsidized employment. The
department shall report to the legislature by January 1, 2013, on the
implementation of the pilot project, including how many employees
received paid annual leave, what outcomes were achieved, and the
savings associated with the achievement of the outcomes.
NEW SECTION. Sec. 25 This act is necessary for the immediate
preservation of the public peace, health, or safety, or support of the
state government and its existing public institutions, and takes effect
July 1, 2011."
SSB 5921 -
By Senator Regala
NOT CONSIDERED 05/25/2011
On page 1, line 1 of the title, after "services;" strike the remainder of the title and insert "amending RCW 74.08A.260, 74.08A.290, 74.08A.010, 74.20.040, 74.20.330, 43.215.135, 74.08.580, 66.16.041, 9.46.410, 74.04.012, 43.20A.605, and 49.60.210; adding a new section to chapter 74.12 RCW; adding a new section to chapter 74.08A RCW; adding a new section to chapter 43.215 RCW; adding a new section to chapter 66.24 RCW; adding a new section to chapter 18.300 RCW; adding a new section to chapter 18.185 RCW; adding new sections to chapter 74.04 RCW; adding a new section to chapter 43.09 RCW; adding a new section to chapter 43.20A RCW; creating new sections; prescribing penalties; providing an effective date; providing an expiration date; and declaring an emergency."
EFFECT: Makes several technical amendments. Requires DSHS to notify the licensing agency for the business that is violating the provision requiring the business to disable its point of sale and ATM machines from accepting EBT cards.