HOUSE BILL REPORT

HB 2687

BYRepresentatives Rayburn, Ferguson and Haugen

Authorizing municipal utilities to reimburse the city or town for management services.

House Committe on Local Government

Majority Report:  Do pass.  (12)

      Signed by Representatives Haugen, Chair; Cooper, Vice Chair; Ferguson, Ranking Republican Member; Horn, Kirby, Nealey, Nelson, Nutley, Phillips, Raiter, Rayburn and Zellinsky.

House Staff:Steve Lundin (786-7127)

AS PASSED HOUSE FEBRUARY 9, 1990

BACKGROUND:

Cities and towns are authorized to have a variety of forms of government, including a mayor/council, council/manager, or commission form of government.  Cities and towns are authorized to hire staff.

Cities and towns are authorized to adopt annual or biennial budgets providing for their expenditures and to allocate moneys for each expenditure item.

SUMMARY:

The utility budget of a city or town may identify and reimburse the city's or town's current expense fund for the value of administrative, oversight, or supervision provided to the utility, or services that are provided to the utility, by management or supervisory personnel, if the city or town apportions a percentage of the time of such personnel for such duties.  Such management or supervisory personnel include the city or town manager or supervisor.

Fiscal Note:      Not Requested.

House Committee ‑ Testified For:    Stan Finkelstein, Association of Washington Cities.

House Committee - Testified Against:      No one.

House Committee - Testimony For:    A comment was made in a recent audit of Grandview that it may not be legal for the city administrator's salary to be apportioned among different divisions of city government.  This bill clarifies existing practices.

House Committee - Testimony Against:      None.