SENATE BILL REPORT

SB 5278

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 Senate Committee On:

Labor, Commerce & Consumer Protection, February 7, 2011

Title: An act relating to information contained in rate notices under the industrial insurance laws.

Brief Description: Addressing information contained in rate notices under the industrial insurance laws.

Majority Report: Do pass.

Signed by Senators Kohl-Welles, Chair; Conway, Vice Chair; Holmquist Newbry, Ranking Minority Member; King, Assistant Ranking Minority Member; Hewitt, Keiser and Kline.

Background: Expenses relating to industrial safety and health services of the Department of Labor and Industries (L&I) that pertain to workers' compensation are paid by the L&I and financed by premiums and assessments collected from the state fund and self-insured employers. In addition to paying workers' compensation benefits and administrative costs, premiums are used to fund other programs and services, including L&I's Division of Occupational Safety and Health, the Department of Environmental and Occupational Health Sciences at the University of Washington, and specialty compliance services at L&I which include the apprenticeship and employment standards programs.

Summary of Bill: Rate notices must include an accounting that clearly identifies all programs and services that are financed in whole or in part by state fund premiums or self-insurers' administrative assessments.

Staff Summary of Public Testimony: PRO: This bill is about transparency and letting employers and workers know where their workers compensation taxes go. This is a great idea.