FINAL BILL REPORT

SHB 1737

PARTIAL VETO

                                  C 5 L 89 E1

BYHouse Committee on Appropriations (originally sponsored by Representatives H. Sommers, Locke and Appelwick; by request of Department of Labor and Industries)

Revising provisions for crime victims' compensation.

House Committe on Appropriations

Senate Committee on Ways & Means

SYNOPSIS AS ENACTED

BACKGROUND:

The Crime Victim's Compensation Program is administered by the Department of Labor and Industries.  It provides benefits to crime victims pursuant to standards set under the Worker's Compensation statute.  The program currently pays victims and/or their relatives for medical bills, time loss, counselor fees, therapy, and death benefits.  In 1985 the Legislature authorized victims of intrafamily violence and child victims of sexual and physical abuse to receive benefits from the Crime Victim's Compensation Program.  There has been a rapid increase in the caseload since this change was authorized.  There are also a small number of extremely high cost cases which are consuming a significant portion of the Crime Victim's appropriation.  The funding for this program comes from the Public Safety and Education Account (PSEA).  The PSEA funds the operation of several agencies and programs and is derived from fines assessed against persons convicted of crimes.  The retail sales tax rate is 6.5 percent on the sale of goods.  Most services are not subject to the retail sales tax.

SUMMARY:

Several changes are made to the Crime Victims Compensation Program.  A cap on medical expenses of $150,000 per victim is established. The director of Labor and Industries is authorized to set service levels and fees no lower than those established by the Department of Social and Health Services for comparable services and fees. The Office of Financial Management is required to study public safety and education account funded programs with special emphasis on the crime victim's compensation program.  Crime victims who are eligible for medical services provided through the Department of Social and Health Services must use those services before receiving assistance through the crime victim's compensation program.  A retail sales tax surcharge of 11.5 percent is imposed on adult entertainment materials.  A retail sales tax of 18 percent is imposed on adult entertainment services.  The proceeds of these two taxes are dedicated to the crime victims compensation fund established under Chapter 7.68 RCW.

VOTES ON FINAL PASSAGE:

      House 95   1

      Senate    27    20 (Senate amended)

First Special Session

      House 79   2

      Senate    35    10 (Senate amended)

      House 94   1 (House concurred)

EFFECTIVE:July 1, 1989

            May 14, 1989 (Sections 3 and 7)

Partial Veto Summary:  The Governor vetoed the retail sales tax surcharge on adult entertainment materials and the retail sales tax on adult entertainment services.  A study of the crime victims compensation program and other Public Safety and Education Account (PSEA) funded programs, was also vetoed.  (See VETO MESSAGE)