SENATE BILL REPORT

SB 6348

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:

Governmental Operations, February 3, 2014

Title: An act relating to personal financial affairs reporting by public hospital district officials.

Brief Description: Concerning personal financial affairs reporting by public hospital district officials.

Sponsors: Senators Roach, Hasegawa, Benton, Tom, Braun, Bailey, Chase, Keiser and Mullet.

Brief History:

Committee Activity: Governmental Operations: 2/03/14 [DP].

SENATE COMMITTEE ON GOVERNMENTAL OPERATIONS

Majority Report: Do pass.

Signed by Senators Roach, Chair; Hasegawa, Ranking Member; Conway, Dansel and McCoy.

Staff: Samuel Brown (786-7470)

Background: The Public Disclosure Commission (PDC) is the state's campaign finance regulatory agency. It is empowered to provide timely public access to information about the financing of political campaigns, lobbyist expenditures, and the financial affairs of public officials and candidates; and to ensure compliance with contribution limits and other campaign finance restrictions.

Every elected official and executive state officer must file a statement of financial affairs for the preceding calendar year with the PDC between January 1 and April 15. Executive state officers include administrative law judges, state cabinet-level officials and agency directors, legislative and gubernatorial professional staff members, trustees, and commissioners.

Summary of Bill: The chief executive officer, general counsel, vice presidents, and board of trustees of any public hospital district with a population over 150,000 must file annual personal financial affairs statements with the PDC.

Appropriation: None.

Fiscal Note: Not requested.

Committee/Commission/Task Force Created: No.

Effective Date: Ninety days after adjournment of session in which bill is passed.

Staff Summary of Public Testimony: PRO: Just about everybody submits an F-1 report. Even staff are required to file, because they are viewed as essential to government. Somehow, the public hospital district staff are not required to file.

CON: None of the positions mentioned in this bill are executive or elected officers. No other local government or municipal corporation officials are in this section of the bill. Under current law, the five top paid officials in a public hospital district must report base compensation, bonus and other incentive compensation, deferred and retirement compensation, and other reportable benefits to the Department of Health. We are doing all filing that is required by law. There are concerns about recruiting and hiring for key positions, as the filing requirement may be intrusive. The F-1 report can be cumbersome to fill out.

Persons Testifying: PRO: Senator Roach, prime sponsor.

CON: Lisa Thatcher, Assn. of WA Public Hospitals; Carl Zapora, Snohomish County Public Hospital District #2.