SENATE BILL REPORT

SB 5441

BYSenators DeJarnatt, Lee, Warnke, Smitherman, Newhouse, Tanner, McDonald and Rasmussen; by request of Joint Select Committee on Unemployment Compensation and Insurance

Authorizing establishment of local reemployment centers.

Senate Committee on Commerce & Labor

Senate Hearing Date(s):February 3, 1987; February 9, 1987

Majority Report:  That Substitute Senate Bill No. 5441 be substituted therefor, and the substitute bill do pass and be referred to Committee on Ways & Means.

      Signed by Senators Warnke, Chairman; Smitherman, Vice Chairman; Lee, Tanner, Vognild, Williams, Wojahn.

Senate Staff:Mark McDermott (786-7429)

                  February 9, 1987

Senate Committee on Ways & Means

Senate Hearing Date(s):March 2, 1987

Majority Report:  That Second Substitute Senate Bill No. 5441 be substituted therefor, and the second substitute bill do pass.

      Signed by Senators McDermott, Chairman; Gaspard, Vice Chairman; Bauer, Deccio, Kreidler, Rinehart, Saling, Talmadge, Vognild, Warnke, Wojahn, Zimmerman.

Senate Staff:Stephen Rose (786-7443)

                  March 12, 1987

AS REPORTED BY COMMITTEE ON WAYS & MEANS, MARCH 2, 1987

BACKGROUND:

The number of unemployment compensation exhaustees in the state more than doubled between 1979 and 1985.  Many of the long term unemployed have multiple emotional, medical, financial and family problems associated with their unemployment.  These problems seriously undermine the ability of many of the unemployed to conduct a vigorous sustained work search.

Many communities in the state have inadequate and poorly coordinated resources and services to aid the unemployed.  Many service programs address the immediate problems without attempting to assess the connection between an individual's unemployment and associated problems.

SUMMARY:

The Department of Community Development shall issue requests for proposals to nonprofit agencies and local government agencies to serve as local re-employment centers.  There shall be one re-employment center for each of seven areas in the state.

The local re-employment center shall provide direct and referral services to the unemployed.  These services may include re-employment assistance, medical services, social services including marital counseling, psychotherapy, mortgage foreclosure and utility problem counseling, drug and alcohol abuse, credit counseling and other services as deemed appropriate. These services are designed to supplement but not supplant the on-going efforts of the local job service centers run by the Employment Security Department.

The Employment Security Department and the Department of Social and Health Services shall locate worker(s) at each center.  The confidentiality of client-provider relations shall be maintained in all reports to the Department of Community Development.

Each re-employment center shall receive $30,000 per year for two years. Additional funding, if appropriated, shall include up to $5 for each unemployed person in the county in which the re-employment center is located.

A report which assesses the effectiveness of the re-employment center shall be presented to the Legislature and Governor prior to the start of the 1989 session.

EFFECT OF PROPOSED SUBSTITUTE:

Each re-employment center shall receive $60,000 per year for two years.  Language regarding additional funding is deleted.

Fiscal Note:      available

EFFECT OF PROPOSED SECOND SUBSTITUTE:

The number of centers is reduced to three and each one is funded at $90,000 a year.

Senate Committee - Testified: COMMERCE & LABOR:  Dr. Kathy Briar, UW School of Social Work; Tom Croft, Seattle Worker Center

Senate Committee - Testified: WAYS & MEANS:  No one