HOUSE BILL REPORT
INITIATIVE 102
BYrequest of the Citizens of Washington State
Children's Initiative Act.
House Committe on Human Services
Majority Report: Do pass. (7)
Signed by Representatives Bristow, Chair; Scott, Vice Chair; Anderson, Brekke, Leonard, Raiter and Winsley.
Minority Report: Do not pass. (4)
Signed by Representatives Moyer, Ranking Republican Member; Tate, Assistant Ranking Republican Member; Hargrove and Padden.
House Staff:Jean Wessman (786-7132)
Rereferred House Committee on Appropriations
Majority Report: Do pass. (17)
Signed by Representatives Locke, Chair; H. Sommers, Vice Chair; Appelwick, Braddock, Bristow, Dorn, Ebersole, Ferguson, Hine, Peery, Rust, Sayan, Spanel, Sprenkle, Valle, Wang and Wineberry.
Minority Report: Do not pass. (8)
Signed by Representatives Silver, Ranking Republican Member; Youngsman, Bowman, Holland, May, McLean, Nealey and Padden.
House Staff: Sandi Gray (786-7136)
AS PASSED HOUSE FEBRUARY 20, 1989
BACKGROUND:
Over the past several years, there has been increasing concern by many that children's services in the state of Washington are not adequately funded. Several highly publicized child deaths, cost overruns in the foster care program, increasing caseloads for children's services workers, the impact of substance abuse on families and children, growing numbers of highly visible "street kids" in nearly all of our cities and towns, increasing classroom size, and the decline in availability of maternity care are just a few of the issues that have focused that concern.
As a result, a broad coalition of advocacy and provider groups, labor unions, non-profit and non-partisan organizations, including the Alliance for Children, Youth and Families, the League of Women Voters, the Washington Education Association, and the Washington State Labor Council developed and worked on the Children's Initiative. The Initiative received over two hundred seventeen thousand signatures. It has been validated by the Secretary of State and has been formally introduced in both the Senate and the House.
The Legislature may adopt, reject, or propose an alternative measure. If the Legislature adopts the Initiative, it becomes law. If the Initiative is rejected or an alternative proposed, then the Initiative would be placed on the November 1989 ballot along with any proposed alternative.
The intention of the Initiative is to increase the state's commitment to addressing the needs of children both in social and health services and education.
SUMMARY:
A Children's Initiative Fund is created in the state treasury. It consists of two accounts; the Children's Services and Support Account and the K-12 Education Account. Fifty percent of the funds deposited in the Children's Initiative Fund are to be deposited in each account. Expenditure of the funds may only be accomplished by legislative appropriation excluding the expenditure of unanticipated receipts. Any earnings generated by the Fund are to be reinvested in the Fund.
Legislative appropriations are limited to specifically named programs and purposes that are necessary to promote high quality education, and the health, protection, and welfare of children and their families including a variety of prevention and early intervention programs providing both social, health and educational services, increasing the grant payment for Aid to Families with Dependent Children (AFDC), reducing class sizes, and training for instructional staff.
Funds in the K-12 Account are not to be considered levy reduction funds.
For the fiscal year ending June 30, 1991, fifty million dollars is appropriated from the Children's Services and Support Account to the Department of Social and Health Services. Not more than twenty five million dollars of that appropriation is for increasing the Aid to Families with Dependent Children (AFDC) grant by eight percent over the July 1, 1988 level. The remaining available funds from this appropriation are to increase the availability of perinatal and health care by expanding Medicaid eligibility.
Moneys from the Children's Initiative Fund can only be used to fund support and services for programs specified in the Initiative above the fully funded level of those programs in the biennium ending June 30, 1989, as adjusted in the future by population changes and inflation.
The Children's Initiative Fund Oversight Committee is established to assist the Governor and the Legislature in determining which programs should be supported by completing needs assessments and program analyses. The Committee shall consist of fifteen members, eleven of which are appointed by the Governor and one each by the two major caucuses in each house of the Legislature.
The source of moneys for the Children's Initiative Fund shall be either new or increased taxes which were either in effect or not in effect on July 1, 1988. Funding from other sources than the Children's Initiative Fund shall not be reduced in order to fund the Children's Initiative Fund.
Before June 1, 1990, if new or increased taxes have not been imposed sufficient to generate at least three hundred sixty million dollars for the fiscal year beginning July 1, 1990 and ending June 30, 1991, then as of June 1, 1990 there will be an additional nine-tenths of one percent levied on every retail sale or in calculating the use tax when paid in lieu of a sales tax.
The duties of the Director of the Department of Revenue are modified to require that any new or increased taxes imposed under the Children's Initiative are assessed and collected on the applicable effective date.
CHANGES PROPOSED BY COMMITTEE ON APPROPRIATIONS: None.
Revenue: The bill has a revenue impact.
Fiscal Note: Requested January 23, 1989.
Effective Date:The bill takes effect on June 1, 1990.
House Committee ‑ Testified For: (Human Services) Bob Watt, President of the Board on Alliance of Children and Families; Donna Hanson, Washington State Catholic Conference; Sister Monika Ellis, Olympia Association for the Education of Young Children; Patricia A. Kees, Saint Mikes Tikes; Evelyn Montaque; Karen Keiser, Washington State Labor Council; Maggie Kennedy, Child Haven; Rosalie McHale, Governor's Juvenile Justice Advisory Committee; Cheryl Sabin, Fair Budget Action Campaign; Jeff Larsen, Washington Assembly for Citizens with Disabilities; Samuel Martinez, Washington State Migrant Council; John LeVeque, Chair, Children's Initiative Campaign; Aubrey Davis, Committee of Affordable Health Care; Terry Burgason, Washington Education Association; Representative Clyde Ballard (neutral) and Sean Bleck, Evergreen Legal Services.
(Appropriations) Bob Watt, citizen; Joan Imhoff, Tacoma Shelter School; Dorothy Wilson, Olympia Schools; Jack Roberts, citizen; Patty Parr Norwood, citizen; Carolyn Blair Brown, citizen; Leona Langford, citizen; Dan Vanderkolk, citizen; Kikora Dorsey, Washington State Catholic Conference; Maggie Majors, Washington State Catholic Conference; Carol Heacock & Erick, citizen; Tom Morris, Renton Schools; Michael Prizer, Seattle Schools; Judy Drake, Spokane Schools; Jon Leveque, Children's Initiative; Sharon Brown, citizen; Dan Vandenkok, citizen; Patricia Frank, citizen; Pat Thibaudeaux, Washington Women United, Washington Community Mental Health, and Childhaven; Howard Kech, Olympia School District; Ruth Kagi, League of Women Voters; Dottie Nash, Washington Assembly for Citizens with Disabilities; Dwayne Slate, School Directors; Barbara Oswald, Washington Protection and Advocacy.
House Committee - Testified Against: (Human Services) Cathy Mickels, citizen; Gretchen Ostrom, citizen; Chris Shardelman, Citizens for Sensible Legislation and Robert Dowman.
(Appropriations) None Presented.
House Committee - Testimony For: (Human Services and Appropriations) For too long have we talked about children being our most important resource, yet failed to adequately provide the resources to meet their needs. Instead of paying for early intervention and prevention services, we end up paying the much more expensive costs of welfare dependency, foster care, correctional facility operations, mental health and developmental disabilities institutional care, and emergency room care. By spending more now on children, we will save more in the future by avoiding the long term results of neglecting our schools and children. The Children's Initiative is a sound investment opportunity. Healthy families and children are the Key to a sound and productive future for the state of Washington.
Current programs that work are badly underfunded and serve only a fraction of the eligible population. Overall services are underfunded and thus only serve the most severe cases at a more expensive cost per case basis. The Children's Initiative is a statement from over two hundred seventeen thousand citizens of Washington State that it is time to provide this critically needed funding.
House Committee - Testimony Against: (Human Services) The Children's Initiative will have a negative impact on many of the families it is attempting to help by increasing an already heavy tax burden on poor families. The Initiative is a thinly veiled attempt to increase the salaries of special interest groups, social workers, and teachers, and will not help meet the needs of children. Instead, any additional money should be spent to fight the war against drugs and force fathers to pay child support.
(Appropriations) None Presented.