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                                           ENGROSSED HOUSE BILL NO. 1703

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                                                                            C 030 L 90

State of Washington                               51st Legislature                              1989 Regular Session

By Representatives R. Fisher, McLean and Anderson; by request of Office of Financial Management

Read first time 2/3/89 and referred to Committee on State Government. Referred 3/1/89 to Committee on Appropriations.

AN ACT Relating to subsistence and travel expenses; and amending RCW 43.03.050 and 43.03.060.

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

        Sec. 1.  Section 43.03.050, chapter 8, Laws of 1965 as last amended by section 1, chapter 29, Laws of 1983 1st ex. sess. and RCW 43.03.050 are each amended to read as follows:

          (1) The director of financial management shall prescribe reasonable allowances to cover reasonable and necessary subsistence and lodging expenses for elective and appointive officials and state employees while engaged on official business away from their designated posts of duty.  The director of financial management may prescribe and regulate the allowances provided in lieu of subsistence and lodging expenses and may prescribe the conditions under which reimbursement for subsistence and lodging may be allowed.  The schedule of allowances adopted by the office of financial management may include special allowances for foreign travel and other travel involving higher than usual costs for subsistence and lodging.  The allowances established by the director shall not exceed the rates set by the federal government for federal employees.

          (2) Those persons appointed to serve without compensation on any state board, commission, or committee, if entitled to  payment of travel expenses, shall be  paid pursuant to special per diem rates prescribed in accordance with subsection (1) of this section by the office of financial management.

          (3) The director of financial management may prescribe reasonable allowances to cover reasonable expenses for meals, coffee, and light refreshment served to elective and appointive officials and state employees regardless of travel status at a meeting where:  (a) The purpose of the meeting is to conduct official state business or to provide formal training to state employees or state officials; (b) the meals, coffee, or light refreshment are an integral part of the meeting or training session; (c) the meeting or training session takes place away from the employee's or official's regular workplace; and (d) the agency head or authorized designee approves payments in advance for the meals, coffee, or light refreshment.  In order to prevent abuse, the director may regulate such allowances and prescribe additional conditions for claiming the allowances.

(4) Upon approval of the agency head or authorized designee, an agency may serve coffee or light refreshments at a meeting where:  (a) The purpose of the meeting is to conduct state business or to provide formal training that benefits the state; and (b) the coffee or light refreshment is an integral part of the meeting or training session.  The director of financial management shall adopt requirements necessary to prohibit abuse of the authority authorized in this subsection.

(5) The ((initial)) schedule of allowances prescribed by the director under the terms of this section and any subsequent increases in any maximum allowance or special allowances for areas of higher than usual costs shall be reported to the ways and means committees of the house of representatives and the senate at each regular session of the legislature.

        Sec. 2.  Section 43.03.060, chapter 8, Laws of 1965 as last amended by section 2, chapter 29, Laws of 1983 1st ex. sess. and RCW 43.03.060 are each amended to read as follows:

          (1) Whenever it becomes necessary for ((an)) elective or appointive officials or employees of the state to travel away from ((his)) their designated posts of duty while engaged on official business, and it is found to be more advantageous ((and)) or economical to the state that travel be by a privately-owned vehicle rather than a common carrier or a state-owned or operated vehicle, a mileage rate ((not to exceed the rate)) established by the director of financial management shall be allowed.  The mileage rate established by the director shall not exceed ((the rates set by the federal government for federal employees)) any rate set by the United States treasury department above which the substantiation requirements specified in Treasury Department Regulations section 1.274-5T(a)(1), as now law or hereafter amended, will apply.

          (2) The director of financial management may prescribe and regulate the specific mileage rate or other allowance for the use of privately-owned vehicles or common carriers on official business and the conditions under which reimbursement of transportation costs may be allowed((:  PROVIDED, That)).  The reimbursement or other payment for transportation expenses of any employee or appointive official of the state shall be based on the method deemed most advantageous ((and)) or economical to the state.

          (3) The ((initial maximum)) mileage rate established by the director of financial management pursuant to this section and any subsequent changes thereto shall be reported to the ways and means committees of the house of representatives and the senate at each regular session of the legislature.

                                                                                                                       Passed the House January 19, 1990.

                                                                                                                                         Speaker of the House.

                                                                                                                      Passed the Senate February 26, 1990.

                                                                                                                                       President of the Senate.