BILL REQ. #:  H-1972.1 

Read first time 03/09/13.   Referred to Committee on Government Operations & Elections.

     AN ACT Relating to state contracts for call center services; adding a new section to chapter 39.26 RCW; prescribing penalties; and providing an effective date.

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

NEW SECTION.  Sec. 1   A new section is added to chapter 39.26 RCW to read as follows:
     (1) Except as provided in subsection (2) of this section, call center services performed under a personal services contract with an agency, or under any subcontract for call center services awarded under the personal services contract, may not be performed at a location outside the United States.
     (2) Subsection (1) of this section does not apply if the director of the office of financial management determines that the only practicable location where the call center services may be performed is clearly and justifiably a location outside the United States.
     (3) A contractor or subcontractor performing call center services under a personal services contract with the state that relocates call center services under the contract outside the United States must notify the department at least one hundred twenty days before such relocation. In notifying the department, the contractor or subcontractor must report:
     (a) The percent of call center services under the contract or subcontract that will move from the state to a location outside the United States; and
     (b) Whether call center employees will have access to personal information about Washington state residents including, but not limited to, information such as a resident's name, address, social security number, birthdate, medical records, credit records, and if so, what types of employees will have access to this information.
     (4) A contractor or subcontractor that fails to notify the department under subsection (3) of this section is subject to a civil penalty not to exceed ten thousand dollars for each day of such violation except that the director may reduce the amount for just cause shown.
     (5) The department shall compile a semiannual list of all the contractors or subcontractors that have notified the department under subsection (3) of this section, including the information specified in subsection (3)(a) and (b) of this section, and post the list on the department web site. A contractor or subcontractor that notifies the department must remain on the list for four semiannual postings.
     (6) A contractor or subcontractor that notifies the department under subsection (3) of this section is not eligible for any tax preference as defined in RCW 43.136.021 for two years from the date of relocation and the department of revenue must declare the tax preferences the contractor or subcontractor received for the two calendar years previous to the date of relocation to be immediately due.
     (7) For purposes of this section, "call center" means a physical or electronic operation that uses telephonic or electronic communications in one or more of the following activities: (a) Providing customer services, including information about customer accounts; (b) soliciting sales; (c) reactivating dormant accounts; (d) conducting surveys or research; (e) collecting receivables or debts; (f) answering questions about or registering for benefits; (g) taking or receiving reservations; or (h) taking or receiving orders.
     (8) This section applies to contracts entered into or renewed after the effective date of this section.

NEW SECTION.  Sec. 2   This act takes effect January 1, 2014.