NOTICE: Formatting and page numbering in this document may be different

from that in the original published version.

SIXTY-FIFTH DAY

------------

MORNING SESSION

------------

Senate Chamber, Olympia, Tuesday, March 14, 1995

The Senate was called to order at 9:00 a.m. by President Pritchard. The Secretary called the roll and announced to the President that all Senators were present except Senators Cal Anderson, Drew, Finkbeiner, Pelz, Rasmussen and Schow. On motion of Senator Ann Anderson, Senators Finkbeiner and Schow were excused. On motion of Senator Loveland, Senators Cal Anderson, Drew, Pelz and Rasmussen were excused.

The Sergeant at Arms Color Guard, consisting of Pages Jeff West and Rita Yates, presented the Colors. Reverend Paul Beeman, retired pastor of the United Methodist Church of Olympia, offered the prayer.

MOTION

On motion of Senator Spanel, the reading of the Journal of the previous day was dispensed with and it was approved.

MESSAGE FROM THE GOVERNOR

March 7, 1995

TO THE HONORABLE, THE SENATE OF THE STATE OF WASHINGTON

Ladies and Gentlemen:

I have the honor to submit the following reappointment, subject to your confirmation.

Tim Douglas, reappointed March 7, 1995, for a term ending July 5, 1998, as a member of the Puget Sound Water Quality Authority.

Sincerely,

MIKE LOWRY, Governor

Referred to Committee on Ecology and Parks.

MESSAGES FROM THE HOUSE

March 11, 1995

MR. PRESIDENT:

The House has passed:

ENGROSSED SUBSTITUTE HOUSE BILL NO. 1298,

ENGROSSED SUBSTITUTE HOUSE BILL NO. 1357,

ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 1557,

SUBSTITUTE HOUSE BILL NO. 1610,

ENGROSSED SUBSTITUTE HOUSE BILL NO. 1719,

ENGROSSED HOUSE BILL NO. 1729,

SUBSTITUTE HOUSE BILL NO. 1818,

ENGROSSED SUBSTITUTE HOUSE BILL NO. 1922, and the same are herewith transmitted.

TIMOTHY A. MARTIN, Chief Clerk

March 11, 1995

MR. PRESIDENT:

The House has passed:

ENGROSSED SUBSTITUTE HOUSE BILL NO. 1147, and the same is herewith transmitted.

TIMOTHY A. MARTIN, Chief Clerk

INTRODUCTION AND FIRST READING OF HOUSE BILLS

ESHB 1147 by House Committee on Education (originally sponsored by Representatives Quall, B. Thomas, Mastin, Carlson, Basich, Backlund, Dyer and Sheldon)

Authorizing charter schools.

Referred to Committee on Education.

ESHB 1298 by House Committee on Children and Family Services (originally sponsored by Representatives Cooke, Tokuda and Patterson) (by request of Department of Social and Health Services)

Enlarging the scope of the methadone treatment program to the opiate substitution treatment program.

Referred to Committee on Human Services and Corrections.

ESHB 1357 by House Committee on Corrections (originally sponsored by Representatives Ballasiotes, Sherstad, Cole, Costa, Blanton, Quall, Veloria, Radcliff, Campbell and Dickerson)

Authorizing counties to supervise misdemeanant offenders placed on probation.

Referred to Committee on Human Services and Corrections.

E2SHB 1557 by House Committee on Appropriations (originally sponsored by Representatives L. Thomas, Dellwo, Mielke, Wolfe, G. Fisher, Blanton and Poulsen) (by request of Insurance Commissioner Senn and Attorney General Gregoire)

Combatting insurance fraud.

Referred to Committee on Financial Institutions and Housing.

SHB 1610 by House Committee on Law and Justice (originally sponsored by Representatives Delvin, Costa, Ballasiotes, Padden, Tokuda, Kremen, Chappell, Morris, Campbell, Hatfield, Cody, Regala, Romero, Hickel, Sheldon, Robertson and Kessler)

Increasing involvement of victims in criminal prosecutions.

Referred to Committee on Law and Justice.

ESHB 1719 by House Committee on Children and Family Services (originally sponsored by Representatives Boldt, Koster, Cooke, Carlson, Stevens, Benton, Dyer, Padden and Thompson)

Creating the office of inspector general within the department of social and health services.

Referred to Committee on Human Services and Corrections.

EHB 1729 by Representatives Horn, Chandler, Van Luven, Hargrove, Schoesler and Elliot

Establishing procedures by which owners of single-family residences may use lake water for noncommercial landscape irrigation.

Referred to Committee on Ecology and Parks.

SHB 1818 by House Committee on Appropriations (originally sponsored by Representatives R. Fisher, Robertson, Scott, Costa, Mason, Ogden, Wolfe, Conway and Cody) (by request of Washington State Patrol)

Providing for criminal justice funding.

Referred to Committee on Ways and Means.

ESHB 1922 by House Committee on Transportation (originally sponsored by Representatives K. Schmidt and R. Fisher)

Regulating excursion vessels.

Referred to Committee on Transportation.

SECOND READING

SENATE BILL NO. 5882, by Senators Haugen, Moyer, Loveland and Deccio

Concerning the disposal of surplus property by a governmental entity.

The bill was read the second time.

MOTION

On motion of Senator Haugen, the rules were suspended, Senate Bill No. 5882 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

The President declared the question before the Senate to be the roll call on the final passage of Senate Bill No. 5882.

ROLL CALL

The Secretary called the roll on the final passage of Senate Bill No. 5882 and the bill passed the Senate by the following vote: Yeas, 43; Nays, 0; Absent, 0; Excused, 6.

Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Fairley, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Prentice, Prince, Quigley, Rinehart, Roach, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 43.

Excused: Senators Anderson, C., Drew, Finkbeiner, Pelz, Rasmussen and Schow - 6.

SENATE BILL NO. 5882, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.

SECOND READING

SENATE BILL NO. 5607, by Senators Gaspard, Cantu, Haugen, Prentice, Wood, Snyder, Long, A. Anderson, Deccio, Kohl, Wojahn, Oke, Rasmussen and Winsley (by request of State Auditor Sonntag)

Auditing state government.

MOTIONS

On motion of Senator Rinehart, Substitute Senate Bill No. 5607 was substituted for Senate Bill No. 5607 and the substitute bill was placed on second reading and read the second time.

On motion of Senator Gaspard, the following amendment by Senators Gaspard and West was adopted:

On page 4, line 18, strike "council" and insert "executive committee"

MOTIONS

On motion of Senator Gaspard, the following amendment by Senators Gaspard and West was adopted:

On page 8, line 30, after "audits" insert ", in consultation with the legislative systems administrative committee under RCW 44.68.030,"

On motion of Senator Gaspard, the following amendment by Senators Gaspard and West was adopted:

On page 27, beginning on line 20, strike "members, officers, and employees of the legislative council," and insert "((members, officers, and employees of the legislative council,)) the"

MOTIONS

On motion of Senator Gaspard, the following amendments by Senators Gaspard and West were considered simultaneously and were adopted:

On page 32, line 17, after "senate," strike "one to the chief clerk of the house, one to the secretary of the senate," and insert "((one to the chief clerk of the house, one to the secretary of the senate,))"

On page 39, line 9, after "audits" strike the comma and insert "((,)) or"

On page 39, beginning on line 10, strike ", the chief clerk of the house, or secretary of the senate" and insert "((, the chief clerk of the house, or secretary of the senate))"

MOTION

On motion of Senator Rinehart, the rules were suspended, Engrossed Substitute Senate Bill No. 5607 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

Debate ensued.

The President declared the question before the Senate to be the roll call on the final passage of Engrossed Substitute Senate Bill No. 5607.

ROLL CALL

The Secretary called the roll on the final passage of Engrossed Substitute Senate Bill No. 5607 and the bill passed the Senate by the following vote: Yeas, 46; Nays, 0; Absent, 0; Excused, 3.

Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 46.

Excused: Senators Anderson, C., Drew and Pelz - 3.

ENGROSSED SUBSTITUTE SENATE BILL NO. 5607, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.

MOTION

At 9:29 a.m., on motion of Senator Spanel, the Senate was declared to be at ease.

The Senate was called to order at 11:18 a.m. by President Pritchard.

SECOND READING

SENATE BILL NO. 5088, by Senator Smith

Revising the law relating to sexual predators.

MOTIONS

On motion of Senator Smith, Second Substitute Senate Bill No. 5088 was substituted for Senate Bill No. 5088 and the second substitute bill was placed on second reading and read the second time.

On motion of Senator Smith, the rules were suspended, Second Substitute Senate Bill No. 5088 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

The President declared the question before the Senate to be the roll call on the final passage of Second Substitute Senate Bill No. 5088.

ROLL CALL

The Secretary called the roll on the final passage of Second Substitute Senate Bill No. 5088 and the bill passed the Senate by the following vote: Yeas, 49; Nays, 0; Absent, 0; Excused, 0.

Voting yea: Senators Anderson, A., Anderson, C., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 49.

SECOND SUBSTITUTE SENATE BILL NO. 5088, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.

SECOND READING

SENATE BILL NO. 5070, by Senators Haugen, Winsley, Drew, Sheldon and Fraser

Requiring a study of the impact of the growth management act on property values.

The bill was read the second time.

MOTIONS

On motion of Senator Haugen, the following amendment by Senators Haugen and Winsley was adopted:

On page 1, line 6, after "development" insert "and the department of revenue"

On motion of Senator Haugen, the rules were suspended, Engrossed Senate Bill No. 5070 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

The President declared the question before the Senate to be the roll call on the final passage of Engrossed Senate Bill No. 5070.

ROLL CALL

The Secretary called the roll on the final passage of Engrossed Senate Bill No. 5070 and the bill passed the Senate by the following vote: Yeas, 46; Nays, 3; Absent, 0; Excused, 0.

Voting yea: Senators Anderson, C., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 46.

Voting nay: Senators Anderson, A., Johnson and Sellar - 3.

ENGROSSED SENATE BILL NO. 5070, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.

MOTION

On motion of Senator Spanel, the Senate resumed consideration of Substitute Senate Bill No. 5201, deferred on second reading March 13, 1995.

MOTION FOR RECONSIDERATION

Senator Owen, having served prior notice moved to reconsider the vote by which the amendment by Senator Hargrove on page 10, after line 14, and the title amendment were adopted.

The President declared the question before the Senate to be the motion by Senator Owen to reconsider the vote by which the amendment by Senator Hargrove on page 10, after line 14, and the title amendment were adopted to Substitute Senate Bill No. 5201.

The motion carried and the Senate will reconsider the amendment and title amendment by Senator Hargrove to Substitute Senate Bill No. 5201.

MOTION TO WITHDRAW AMENDMENTS

On motion of Senator Hargrove, and there being no objection, the amendment on page 10, after line 14, and the title amendment to Substitute Senate Bill No. 5201 were withdrawn.

MOTIONS

On motion of Senator Hargrove, the following amendment by Senators Hargrove, Rinehart, Gaspard, Snyder, Owen, Bauer, Quigley and Spanel was adopted:

On page 10, after line 14, strike the remainder of the bill and insert the following:

"Sec. 8. RCW 82.60.065 and 1994 1st sp.s. c 1 s 6 are each amended to read as follows:

Except as provided in RCW 82.60.070:

(1) Taxes deferred under this chapter on the sale or use of labor that is directly used in the construction of an investment project for which a deferral has been granted under this chapter after June 11, 1986, and prior to July 1, 1994, need not be repaid.

(2) Taxes deferred under this chapter on an investment project for which a deferral has been granted under this chapter after June 30, 1994, need not be repaid.

(3) Taxes deferred under this chapter need not be repaid on machinery and equipment for lumber and wood products industries, and sales of or charges made for labor and services, of the type which qualifies for exemption under section 2 or 3 of this act to the extent the taxes have not been repaid before the effective date of this act.

Sec. 9. RCW 82.60.070 and 1994 1st sp.s. c 1 s 5 are each amended to read as follows:

(1) Each recipient of a deferral granted under this chapter prior to July 1, 1994, shall submit a report to the department on December 31st of each year during the repayment period until the tax deferral is repaid. Each recipient of a deferral granted under this chapter after June 30, 1994, shall submit a report to the department on December 31st of the year in which the investment project is certified by the department as having been operationally completed, and on December 31st of each of the seven succeeding calendar years. The report shall contain information, as required by the department, from which the department may determine whether the recipient is meeting the requirements of this chapter. If the recipient fails to submit a report or submits an inadequate report, the department may declare the amount of deferred taxes outstanding to be immediately assessed and payable.

(2) If, on the basis of a report under this section or other information, the department finds that an investment project is not eligible for tax deferral under this chapter for reasons other than failure to create the required number of qualified employment positions, the amount of deferred taxes outstanding for the project shall be immediately due.

(3) If, on the basis of a report under this section or other information, the department finds that an investment project for which a deferral has been granted under this chapter prior to July 1, 1994, has been operationally complete for three years and has failed to create the required number of qualified employment positions, the department shall assess interest, but not penalties, on the deferred taxes for the project. The interest shall be assessed at the rate provided for delinquent excise taxes, shall be assessed retroactively to the date of deferral, and shall accrue until the deferred taxes are repaid.

(4) If, on the basis of a report under this section or other information, the department finds that an investment project for which a deferral has been granted under this chapter after June 30, 1994, has been operationally complete for three years and has failed to create the required number of qualified employment positions, the amount of taxes not eligible for deferral shall be immediately due. The department shall assess interest at the rate provided for delinquent excise taxes, but not penalties, retroactively to the date of deferral.

(5) If, on the basis of a report under this section or other information, the department finds that an investment project qualifying for deferral under RCW 82.60.040(1) (b) or (c) has failed to comply with any requirement of RCW 82.60.045 for any calendar year for which reports are required under subsection (1) of this section, twelve and one-half percent of the amount of deferred taxes shall be immediately due. The department shall assess interest at the rate provided for delinquent excise taxes, but not penalties, retroactively to the date of deferral.

(6) Notwithstanding any other subsection of this section, deferred taxes need not be repaid on machinery and equipment for lumber and wood products industries, and sales of or charges made for labor and services, of the type which qualifies for exemption under section 2 or 3 of this act to the extent the taxes have not been repaid before the effective date of this act.

(7) Notwithstanding any other subsection of this section, deferred taxes on the following need not be repaid:

(a) Machinery and equipment, and sales of or charges made for labor and services, which at the time of purchase would have qualified for exemption under section 2 of this act; and

(b) Machinery and equipment which at the time of first use would have qualified for exemption under section 3 of this act.

Sec. 10. RCW 82.61.010 and 1994 c 125 s 1 are each amended to read as follows:

Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.

(1) "Applicant" means a person applying for a tax deferral under this chapter.

(2) "Person" has the meaning given in RCW 82.04.030.

(3) "Department" means the department of revenue.

(4) "Eligible investment project" means:

(a) Construction of new buildings and the acquisition of new related machinery and equipment when the buildings, machinery, and equipment are to be used for either manufacturing or research and development activities, which construction is commenced prior to December 31, ((1998)) 1995; or

(b) Acquisition prior to December 31, ((1998)) 1995, of new machinery and equipment to be used for either manufacturing or research and development if the machinery and equipment is housed in a new leased structure. The lessor/owner of the structure is not eligible for a deferral unless the underlying ownership of the buildings, machinery, and equipment vests exclusively in the same person; or

(c) Acquisition of all new or used machinery, equipment, or other personal property for use in the production or casting of aluminum at an aluminum smelter or at facilities related to an aluminum smelter, if the plant was in operation prior to 1975 and has ceased operations or is in imminent danger of ceasing operations for economic reasons, as determined by the department, and if the person applying for a deferral (i) has consulted with any collective bargaining unit that represented employees of the plant pursuant to a collective bargaining agreement that was in effect either immediately prior to the time the plant ceased operations or during the period when the plant was in imminent danger of ceasing operations, on the proposed operation of the plant and on the terms and conditions of employment for wage and salaried employees and (ii) has obtained a written concurrence from the bargaining unit on the decision to apply for a deferral under this chapter; or

(d) Modernization projects involving construction, acquisition, or upgrading of equipment or machinery, including services and labor, which are commenced after May 19, 1987, and are intended to increase the operating efficiency of existing plants which are either aluminum smelters or aluminum rolling mills or of facilities related to such plants, if the plant was in operation prior to 1975, and if the person applying for a deferral (i) has consulted with any collective bargaining unit that represents employees of the plant on the proposed operation of the plant and the terms and conditions of employment for wage and salaried employees and (ii) has obtained a written concurrence from the bargaining unit on the decision to apply for a deferral under this chapter.

(5) "Manufacturing" means all activities of a commercial or industrial nature wherein labor or skill is applied, by hand or machinery, to materials so that as a result thereof a new, different, or useful substance or article of tangible personal property is produced for sale or commercial or industrial use and includes the production or fabrication of specially made or custom-made articles.

(6) "Research and development" means the development, refinement, testing, marketing, and commercialization of a product, service, or process before commercial sales have begun.

(7) "Buildings" means only those new structures used for either manufacturing or research and development activities, including plant offices and warehouses or other facilities for the storage of raw materials or finished goods if such facilities are an essential or an integral part of a factory, mill, plant, or laboratory used for manufacturing or research and development purposes. If a building is used partly for manufacturing or research and development and partly for other purposes, the applicable tax deferral shall be determined by apportionment of the costs of construction under rules adopted by the department.

(8) "Machinery and equipment" means all industrial and research fixtures, equipment, and support facilities that are an integral and necessary part of a manufacturing or research and development operation. "Qualified machinery and equipment" includes computers; software; data processing equipment; laboratory equipment; manufacturing components such as belts, pulleys, shafts, and moving parts; molds, tools, and dies; operating structures; and all equipment used to control or operate the machinery. For purposes of this chapter, new machinery and equipment means either new to the taxing jurisdiction of the state or new to the certificate holder. Used machinery and equipment may be treated as new equipment and machinery if the certificate holder either brings the machinery and equipment into Washington or makes a retail purchase of the machinery and equipment in Washington or elsewhere.

(9) "Qualified employment position" means a permanent full-time employee employed in the eligible investment project during the entire tax year.

(10) "Recipient" means a person receiving a tax deferral under this chapter.

(11) "Certificate holder" means an applicant to whom a tax deferral certificate has been issued.

(12) "Operationally complete" means constructed or improved to the point of being functionally useable for the intended purpose.

(13) "Initiation of construction" means that date upon which on-site construction commences.

NEW SECTION. Sec. 11. The following acts or parts of acts are each repealed:

(1) RCW 82.61.020 and 1987 c 497 s 2 & 1985 ex.s. c 2 s 2; and

(2) RCW 82.61.040 and 1993 sp.s. c 25 s 408, 1988 c 41 s 2, 1986 c 116 s 10, & 1985 ex.s. c 2 s 8.

Sec. 12. RCW 82.63.010 and 1994 sp.s. c 5 s 3 are each amended to read as follows:

Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.

(1) "Advanced computing" means technologies used in the designing and developing of computing hardware and software, including innovations in designing the full spectrum of hardware from hand-held calculators to super computers, and peripheral equipment.

(2) "Advanced materials" means materials with engineered properties created through the development of specialized processing and synthesis technology, including ceramics, high value-added metals, electronic materials, composites, polymers, and biomaterials.

(3) "Applicant" means a person applying for a tax deferral under this chapter.

(4) "Biotechnology" means the application of technologies, such as recombinant DNA techniques, biochemistry, molecular and cellular biology, genetics and genetic engineering, cell fusion techniques, and new bioprocesses, using living organisms, or parts of organisms, to produce or modify products, to improve plants or animals, to develop microorganisms for specific uses, to identify targets for small molecule pharmaceutical development, or to transform biological systems into useful processes and products or to develop microorganisms for specific uses.

(5) "Department" means the department of revenue.

(6) "Electronic device technology" means technologies involving microelectronics; semiconductors; electronic equipment and instrumentation; radio frequency, microwave, and millimeter electronics; optical and optic-electrical devices; and data and digital communications and imaging devices.

(7) "Eligible investment project" means ((that portion of)) an investment project which either initiates a new operation, or expands or diversifies a current operation by expanding, renovating, or equipping an existing facility ((with costs in excess of twenty-five percent of the true and fair value of the facility prior to improvement)). The lessor or owner of the qualified building is not eligible for a deferral unless the underlying ownership of the buildings, machinery, and equipment vests exclusively in the same person, or unless the lessor by written contract agrees to pass the economic benefit of the deferral to the lessee in the form of reduced rent payments.

(8) "Environmental technology" means assessment and prevention of threats or damage to human health or the environment, environmental cleanup, and the development of alternative energy sources.

(9) "Investment project" means an investment in qualified buildings or qualified machinery and equipment, including labor and services rendered in the planning, installation, and construction or improvement of the project.

(10) "Person" has the meaning given in RCW 82.04.030.

(11) "Pilot scale manufacturing" means design, construction, and testing of preproduction prototypes and models in the fields of biotechnology, advanced computing, electronic device technology, advanced materials, and environmental technology other than for commercial sale. As used in this subsection, "commercial sale" excludes sales of prototypes or sales for market testing if the total gross receipts from such sales of the product, service, or process do not exceed one million dollars.

(12) "Qualified buildings" means construction of new structures, and expansion or renovation of existing structures for the purpose of increasing floor space or production capacity used for pilot scale manufacturing or qualified research and development, including plant offices and other facilities that are an essential or an integral part of a structure used for pilot scale manufacturing or qualified research and development. If a building is used partly for pilot scale manufacturing or qualified research and development, and partly for other purposes, the applicable tax deferral shall be determined by apportionment of the costs of construction under rules adopted by the department.

(13) "Qualified machinery and equipment" means fixtures, equipment, and support facilities that are an integral and necessary part of a pilot scale manufacturing or qualified research and development operation. "Qualified machinery and equipment" includes: Computers; software; data processing equipment; laboratory equipment, instrumentation, and other devices used in a process of experimentation to develop a new or improved pilot model, plant process, product, formula, invention, or similar property; manufacturing components such as belts, pulleys, shafts, and moving parts; molds, tools, and dies; vats, tanks, and fermenters; operating structures; and all other equipment used to control, monitor, or operate the machinery. For purposes of this chapter, qualified machinery and equipment must be either new to the taxing jurisdiction of the state or new to the certificate holder, except that used machinery and equipment may be treated as qualified machinery and equipment if the certificate holder either brings the machinery and equipment into Washington or makes a retail purchase of the machinery and equipment in Washington or elsewhere.

(14) "Qualified research and development" means research and development performed within this state in the fields of advanced computing, advanced materials, biotechnology, electronic device technology, and environmental technology.

(15) "Recipient" means a person receiving a tax deferral under this chapter.

(16) "Research and development" means activities performed to discover technological information, and technical and nonroutine activities concerned with translating technological information into new or improved products, processes, techniques, formulas, inventions, or software. The term includes exploration of a new use for an existing drug, device, or biological product if the new use requires separate licensing by the federal food and drug administration under chapter 21, C.F.R., as amended. The term does not include adaptation or duplication of existing products where the products are not substantially improved by application of the technology, nor does the term include surveys and studies, social science and humanities research, market research or testing, quality control, sale promotion and service, computer software developed for internal use, and research in areas such as improved style, taste, and seasonal design.

NEW SECTION. Sec. 13. A new section is added to chapter 82.63 RCW to read as follows:

(1) Except as provided in subsection (2) of this section, taxes deferred under this chapter need not be repaid.

(2) If, on the basis of a report under RCW 82.63.020 or other information, the department finds that an investment project is used for purposes other than qualified research and development or pilot scale manufacturing at any time during the calendar year in which the investment project is certified by the department as having been operationally completed, or at any time during any of the seven succeeding calendar years, a portion of deferred taxes shall be immediately due according to the following schedule:

Year in which use occurs % of deferred taxes due

1 100%

2 87.5%

3 75%

4 62.5%

5 50%

6 37.5%

7 25%

8 12.5%

The department shall assess interest at the rate provided for delinquent taxes, but not penalties, retroactively to the date of deferral.

(3) Notwithstanding subsection (2) of this section, deferred taxes on the following need not be repaid:

(a) Machinery and equipment, and sales of or charges made for labor and services, which at the time of purchase would have qualified for exemption under section 2 of this act; and

(b) Machinery and equipment which at the time of first use would have qualified for exemption under section 3 of this act.

NEW SECTION. Sec. 14. The following acts or parts of acts are each repealed:

(1) RCW 82.63.040 and 1994 sp.s. c 5 s 6; and

(2) RCW 82.63.050 and 1994 sp.s. c 5 s 7.

NEW SECTION. Sec. 15. The legislative fiscal committees shall report to the legislature by December 1, 1999, on the economic impacts of the manufacturers' tax exemption. This report shall analyze employment and other relevant economic data from before and after the enactment of the tax exemptions authorized under this act and shall measure the effect on the creation or retention of family wage jobs and diversification of the state's economy. Analytic techniques may include, but not be limited to, comparisons of Washington to other states that did not enact business tax changes, comparisons across Washington counties based on usage of the tax exemptions, and comparisons across similar firms based on their use of the tax exemptions. In performing the analysis, the legislative fiscal committees shall consult with business and labor interests. The department or revenue, the employment security department, and other agencies shall provide to the legislative fiscal committees such data as the legislative fiscal committees may request in performing the analysis required under this section.

NEW SECTION. Sec. 16. This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect July 1, 1995.

On motion of Senator Rinehart, the following title amendment was adopted:

On page 1, line 4 of the title, before "82.60.070" insert "82.60.065,"

MOTION

On motion of Senator Rinehart, the rules were suspended, Engrossed Substitute Senate Bill No. 5201 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

Debate ensued.

POINT OF INQUIRY

Senator Cantu: "Senator Bauer, I had the honor of serving with you as a member of the Manufacturing Tax Study Committee last summer that resulted in the recommendation of this legislation. In determining the fiscal impact of this proposal, several assumptions were made regarding the scope of manufacturing and processing included in the recommendations. The scope of manufacturing and processing was described to include all business activities identified in two-digit Standard Industrial Codes 20 through 39 and those businesses' activities identified in the three digit Standard Industrial Code 737.

"Is it intended that Substitute Senate Bill No. 5201 apply to all business activities identified in two-digit Standard Industrial Codes 20 through 39 and those businesses' activities identified in the three digit Standard Industrial Code 737?"

Senator Bauer: "Yes, Substitute Senate Bill No. 5201 is intended to apply to all business activities identified in two-digit Standard Industrial Codes 20 through 39 and those businesses' activities identified in the three digit Standard Industrial Code 737,"

Senator Cantu: "Thank you."

Further debate ensued.

POINT OF INQUIRY

Senator Gaspard: "Senator Rinehart, for the purposes of this analysis, what does the term 'family wage jobs' mean?"

Senator Rinehart: "The term 'family wage jobs' must be flexible to take into account varying cost of living differences throughout the state. It must also recognize compensation as a package. Therefore, it should include pension and health benefits and it should recognize that a part-time job with a high hourly rate may provide less support for a family than a full-time job with a lower rate of salary.

"In addition, factors such as family size and type should be taken into consideration. Therefore, a larger family needs more income than a smaller one, and a single-parent family may have higher child care and other costs than a two-parent family."

Further debate ensued.

The President declared the question before the Senate to be the roll call on the final passage of Engrossed Substitute Senate Bill No. 5201.

ROLL CALL

The Secretary called the roll on the final passage of Engrossed Substitute Senate Bill No. 5201 and the bill passed the Senate by the following vote: Yeas, 45; Nays, 4; Absent, 0; Excused, 0.

Voting yea: Senators Anderson, A., Anderson, C., Bauer, Cantu, Deccio, Drew, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Prentice, Prince, Quigley, Rasmussen, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Swecker, West, Winsley, Wojahn and Wood - 45.

Voting nay: Senators Fairley, Pelz, Rinehart and Sutherland - 4.

ENGROSSED SUBSTITUTE SENATE BILL NO. 5201, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.

SECOND READING

SENATE BILL NO. 5503, by Senators Prentice, Deccio, Pelz, Sellar and Fraser

Streamlining temporary worker housing safety and health regulations.

MOTIONS

On motion of Senator Prentice, Substitute Senate Bill No. 5503 was substituted for Senate Bill No. 5503 and the substitute bill was placed on second reading and read the second time.

On motion of Senator Prentice, the following amendment by Senators Prentice and Deccio was adopted:

Strike everything after the enacting clause and insert the following:

"NEW SECTION. Sec. 1. The legislature finds that there is an inadequate supply of temporary and permanent housing for migrant and seasonal workers in this state. The legislature also finds that unclear, complex regulations related to the development, construction, and permitting of worker housing inhibit the development of this much needed housing. The legislature further finds that as a result, many workers are forced to obtain housing that is unsafe and unsanitary.

Therefore, it is the intent of the legislature to encourage the development of temporary and permanent housing for workers that is safe and sanitary by: Establishing a clear and concise set of regulations for temporary housing; establishing a streamlined permitting and administrative process that will be locally administered and encourage the development of such housing; and by providing technical assistance to organizations or individuals interested in the development of worker housing.

NEW SECTION. Sec. 2. The definitions in this section apply throughout this chapter.

(1) "Department" means the department of health.

(2) "Dwelling unit" means a shelter, building, or portion of a building, that may include cooking and eating facilities, that is:

(a) Provided and designated by the operator as either a sleeping area, living area, or both, for occupants; and

(b) Physically separated from other sleeping and common-use areas.

(3) "Facility" means a sleeping place, drinking water, toilet, sewage disposal, food handling installation, or other installations required for compliance with this chapter.

(4) "Occupant" means a temporary worker or a person who resides with a temporary worker at the housing site.

(5) "Operator" means a person holding legal title to the land on which temporary worker housing is located. However, if the legal title and the right to possession are in different persons, "operator" means a person having the lawful control or supervision over the temporary worker housing under a lease or other arrangement.

(6) "Temporary worker" means a person employed intermittently and not residing year-round at the same site.

(7) "Temporary worker housing" means a place, area, or piece of land where sleeping places or housing sites are provided by an employer for his or her employees or by another person, including a temporary worker housing operator, who is providing such accommodations for employees, for temporary, seasonal occupancy, and includes "labor camps" under RCW 70.54.110.

NEW SECTION. Sec. 3. This act applies to temporary worker housing that consists of five or more dwelling units, or any combination of dwelling units, dormitories, or spaces that house ten or more occupants.

NEW SECTION. Sec. 4. The department is designated the single state agency responsible for encouraging the development of additional temporary worker housing, and shall be responsible for coordinating the activities of the various state and local agencies to assure a seamless, nonduplicative system for the development and operation of temporary worker housing.

NEW SECTION. Sec. 5. Temporary worker housing located on a rural worksite, and used for workers employed on the worksite, shall be considered a permitted use at the rural worksite for the purposes of zoning or other land use review processes, subject only to height, setback, and road access requirements of the underlying zone.

NEW SECTION. Sec. 6. The secretary of the department or authorized representative may inspect housing covered by this act to enforce temporary worker housing rules adopted by the state board of health, or when the secretary or representative has reasonable cause to believe that a violation of temporary worker housing rules adopted by the state board of health is occurring or is being maintained. If the buildings or premises are occupied as a residence, a reasonable effort shall be made to obtain permission from the resident. If the premises or building is unoccupied, a reasonable effort shall be made to locate the owner or other person having charge or control of the building or premises and request entry. If consent for entry is not obtained, for whatever reason, the secretary or representative shall have recourse to every remedy provided by law to secure entry.

NEW SECTION. Sec. 7. The department of community, trade, and economic development shall contract with private, nonprofit corporations to provide technical assistance to any private individual or nonprofit organization wishing to construct temporary or permanent worker housing. The assistance may include information on state and local application and approval procedures, information or assistance in applying for federal, state, or local financial assistance, including tax incentives, information on cost-effective housing designs, or any other assistance the department of community, trade, and economic development may deem helpful in obtaining the active participation of private individuals or groups in constructing or operating temporary or permanent worker housing.

NEW SECTION. Sec. 8. By December 1, 1996, the state building code council shall develop a temporary worker housing code, in conformance with the temporary worker housing standards developed under the Washington industrial safety and health act, chapter 49.17 RCW, the rules adopted by the state board of health under RCW 70.54.110, and the following guidelines:

(1) The code shall provide construction standards for shelter and associated facilities that are safe, secure, and capable of withstanding the stresses and loads associated with their designated use, and to which they are likely to be subjected by the elements.

(2) The code shall permit and facilitate designs and formats that allow for maximum affordability, consistent with the provision of decent, safe, and sanitary housing.

(3) In developing the code the council shall consider: (a) The need for dormitory type housing for groups of unrelated individuals; and (b) the need for housing to accommodate families.

(4) The code shall include construction standards for a variety of formats, including, but not limited to: (a) Tents and tent platforms; and (b) hard-shell, single exterior wall structures.

(5) The code shall include standards for temporary worker housing that is to be used only during periods when no auxiliary heat is required.

In developing the temporary worker housing code, it is the intent of the legislature that the building code council make exceptions to the codes listed in RCW 19.27.031, and chapter 19.27A RCW, in keeping with the guidelines set forth in this section.

The building code council shall appoint a technical advisory committee to assist in the development of the temporary worker housing code, which shall include representatives of industries that most frequently supply temporary housing to their employees.

NEW SECTION. Sec. 9. The department shall submit a report to the legislature containing short-term and long-term recommendations for the development of an adequate supply and continuous improvement of temporary worker housing. The report shall include recommendations for optimum roles for state and local administration of temporary worker housing, including strategies for the development of a locally administered application, permitting, and compliance system. The report shall identify incentives for the development of temporary worker housing, including but not limited to:

(1) Facility design options that are economical and appropriate for the worksite and length of seasonal employment but do not compromise health and safety of workers;

(2) Streamlined, single-service-point permit application and review process;

(3) Utilization of manufactured shelter units;

(4) Appropriate building standards;

(5) Financial incentives for operators;

(6) Community-financed temporary worker housing; and

(7) Shared housing arrangements among operators.

The report shall include recommendations for appropriate compliance strategies.

A preliminary report shall be submitted by December 1, 1995, together with any recommendations for legislation necessary to implement the findings and recommendations of the department at that point.

A final report, including recommendations for legislation, shall be submitted by December 1, 1996.

Sec. 10. RCW 70.54.110 and 1990 c 253 s 4 are each amended to read as follows:

The state board of health shall develop rules for labor camps, which shall ((include as a minimum)) not exceed the standards developed under the Washington industrial safety and health act in chapter 49.17 RCW as relates to ((sanitation and)) temporary labor camps.

All new housing and new construction together with the land areas appurtenant thereto which shall be started on and after May 3, 1969, and is to be provided by employers, growers, management, or any other persons, for occupancy by workers or by workers and their dependents, in agriculture, shall comply with the rules and regulations of the state board of health pertaining to labor camps. Within sixty days following the effective date of this act, the board shall review all rules it has adopted under this section and modify or repeal any rules that exceed the standards developed under chapter 49.17 RCW.

NEW SECTION. Sec. 11. The sum of forty-nine thousand dollars, or as much thereof as may be necessary, is appropriated for the biennium ending June 30, 1997, from the general fund to the department of community, trade, and economic development for the purposes of section 7 of this act.

NEW SECTION. Sec. 12. Sections 1 through 9 of this act shall constitute a new chapter in Title 70 RCW.

NEW SECTION. Sec. 13. If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected.

NEW SECTION. Sec. 14. This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect immediately."

MOTION

On motion of Senator Prentice, the rules were suspended, Engrossed Substitute Senate Bill No. 5503 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

Debate ensued.

The President declared the question before the Senate to be the roll call on the final passage of Engrossed Substitute Senate Bill No. 5503.

ROLL CALL

The Secretary called the roll on the final passage of Engrossed Substitute Senate Bill No. 5503 and the bill passed the Senate by the following vote: Yeas, 47; Nays, 0; Absent, 2; Excused, 0.

Voting yea: Senators Anderson, A., Anderson, C., Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 47.

Absent: Senators Bauer and Smith - 2.

ENGROSSED SUBSTITUTE SENATE BILL NO. 5503, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.

MOTION

At 12:06 p.m., on motion of Senator Spanel, the Senate recessed until 1:00 p.m.

The Senate was called to order at 1:07 p.m. by President Pritchard.

SECOND READING

SENATE BILL NO. 5676, by Senators Fraser and Kohl

Restricting residential time for abusive parents.

MOTIONS

On motion of Senator Smith, Substitute Senate Bill No. 5676 was substituted for Senate Bill No. 5676 and the substitute bill was placed on second reading and read the second time.

On motion of Senator Smith, the rules were suspended, Substitute Senate Bill No. 5676 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

MOTIONS

On motion of Senator Newhouse, Senator Ann Anderson was excused.

On motion of Senator Loveland, Senator Pelz was excused.

The President declared the question before the Senate to be the roll call on the final passage of Substitute Senate Bill No. 5676.

ROLL CALL

The Secretary called the roll on the final passage of Substitute Senate Bill No. 5676 and the bill passed the Senate by the following vote: Yeas, 43; Nays, 0; Absent, 4; Excused, 2.

Voting yea: Senators Anderson, C., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Newhouse, Owen, Palmer, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, West, Winsley, Wojahn and Wood - 43.

Absent: Senators Heavey, Moyer, Oke and Swecker - 4.

Excused: Senators Anderson, A. and Pelz - 2.

SUBSTITUTE SENATE BILL NO. 5676, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.

SECOND READING

SENATE BILL NO. 5780, by Senators Prentice, Deccio and C. Anderson

Regulating viatical settlements.

MOTIONS

On motion of Senator Prentice, Substitute Senate Bill No. 5780 was substituted for Senate Bill No. 5780 and the substitute bill was placed on second reading and read the second time.

On motion of Senator Prentice, the rules were suspended, Substitute Senate Bill No. 5780 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

MOTIONS

On motion of Senator Schow, Senator McCaslin was excused.

On motion of Senator Wood, Senators Moyer and Swecker were excused.

The President declared the question before the Senate to be the roll call on the final passage of Substitute Senate Bill No. 5780.

ROLL CALL

The Secretary called the roll on the final passage of Substitute Senate Bill No. 5780 and the bill passed the Senate by the following vote: Yeas, 44; Nays, 0; Absent, 1; Excused, 4.

Voting yea: Senators Anderson, C., Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McDonald, Morton, Newhouse, Oke, Owen, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, West, Winsley, Wojahn and Wood - 44.

Absent: Senator Bauer - 1.

Excused: Senators Anderson, A., McCaslin, Moyer and Swecker - 4.

SUBSTITUTE SENATE BILL NO. 5780, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.

SECOND READING

SENATE BILL NO. 5770, by Senators Pelz, Newhouse and Deccio (by request of Employment Security Department)

Providing for unemployment insurance claimant profiling.

The bill was read the second time.

MOTIONS

On motion of Senator Pelz, the following Committee on Labor, Commerce and Trade amendment was adopted:

On page 3, after line 10, insert the following:

"NEW SECTION. Sec. 3. This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect immediately."

On motion of Senator Pelz, the following title amendment was adopted:

On page 1, line 2 of the title, after "50.20.010;" strike the remainder of the title and insert "creating a new section; and declaring an emergency."

MOTION

On motion of Senator Pelz, the rules were suspended, Engrossed Senate Bill No. 5770 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

The President declared the question before the Senate to be the roll call on the final passage of Engrossed Senate Bill No. 5770.

ROLL CALL

The Secretary called the roll on the final passage of Engrossed Senate Bill No. 5770 and the bill passed the Senate by the following vote: Yeas, 44; Nays, 0; Absent, 2; Excused, 3.

Voting yea: Senators Anderson, C., Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Newhouse, Oke, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, West, Winsley, Wojahn and Wood - 44.

Absent: Senators Bauer and Owen - 2.

Excused: Senators Anderson, A., Moyer and Swecker - 3.

ENGROSSED SENATE BILL NO. 5770, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.

MOTION

On motion of Senator Loveland, Senators Cal Anderson, Bauer and Owen were excused.

SECOND READING

SENATE BILL NO. 5372, by Senators Sheldon and Wood (by request of Department of Community, Trade, and Economic Development and Public Works Board)

Appropriating funds for projects recommended by the public works board.

The bill was read the second time.

MOTION

On motion of Senator Sheldon, the rules were suspended, Senate Bill No. 5372 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

The President declared the question before the Senate to be the roll call on the final passage of Senate Bill No. 5372.

ROLL CALL

The Secretary called the roll on the final passage of Senate Bill No. 5372 and the bill passed the Senate by the following vote: Yeas, 45; Nays, 0; Absent, 0; Excused, 4.

Voting yea: Senators Anderson, A., Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Newhouse, Oke, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 45.

Excused: Senators Anderson, C., Bauer, Moyer and Owen - 4.

SENATE BILL NO. 5372, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.

SECOND READING

SENATE BILL NO. 5884, by Senators Prentice, Winsley, Fraser, Franklin and Snyder (by request of Washington State Housing Finance Commission)

Enforcing financing terms by the housing finance commission.

MOTIONS

On motion of Senator Prentice, Substitute Senate Bill No. 5884 was substituted for Senate Bill No. 5884 and the substitute bill was placed on second reading and read the second time.

On motion of Senator Prentice, the rules were suspended, Substitute Senate Bill No. 5884 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

MOTION

On motion of Senator Loveland, Senator Rinehart was excused.

The President declared the question before the Senate to be the roll call on the final passage of Substitute Senate Bill No. 5884.

ROLL CALL

The Secretary called the roll on the final passage of Substitute Senate Bill No. 5884 and the bill passed the Senate by the following vote: Yeas, 45; Nays, 0; Absent, 0; Excused, 4.

Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Newhouse, Oke, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 45.

Excused: Senators Anderson, C., Moyer, Owen and Rinehart - 4.

SUBSTITUTE SENATE BILL NO. 5884, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.

SECOND READING

SENATE BILL NO. 5632, by Senators Ann Anderson, Drew, Owen, Hargrove, Swecker, Morton, Hale, Haugen, Finkbeiner, Strannigan, Moyer, Palmer, Johnson, Quigley and Rasmussen

Providing for flood damage reduction.

MOTIONS

On motion of Senator Drew, Second Substitute Senate Bill No. 5632 was substituted for Senate Bill No. 5632 and the second substitute bill was placed on second reading and read the second time.

Senator Drew moved that the following amendments by Senators Drew, Hargrove, Ann Anderson, Owen and Fraser be considered simultaneously and be adopted:

On page 10, beginning on line 2, after "life." strike all material through "water." on line 9

On page 13, beginning on line 4, after "life." strike all material through "water." on line 12

Debate ensued.

The President declared the question before the Senate to be the adoption of the amendments by Senators Drew, Hargrove, Ann Anderson, Owen and Fraser on page 10, beginning on line 2, and page 13, beginning on line 4, to Second Substitute Senate Bill No. 5632.

The motion by Senator Drew carried and the amendments were adopted.

MOTION

Senator Quigley moved that the following amendment by Senators Drew, Haugen, Ann Anderson and Quigley be adopted:

On page 20, after line 19, insert the following:

"Sec. 14. RCW 85.38.200 and 1986 c 278 s 8 are each amended to read as follows:

(1) Territory that is ((contiguously located)) adjoining or in close proximity to a special district may be annexed by the special district as provided in this section under the petition and election, resolution and election, or direct petition method of annexation.

(2) An annexation under the election method may be initiated by the filing of a petition requesting the action that is signed by at least ten owners of property in the area proposed to be annexed or the adoption of a resolution requesting such action by the governing body of the special district. The petitions shall be filed with the governing body of the special district that is requested to annex the territory. An election to authorize an annexation initiated under the petition and election method may be held only if the governing body approves the annexation. An annexation under either election method shall be authorized if the voters of the area proposed to be annexed approve a ballot proposition favoring the annexation by a simple majority vote. The annexation shall be effective when results of an election so favoring the annexation are certified by the county auditor or auditors. The election, notice of the election, and eligibility to vote at the election shall be as provided for the creation of a special district.

(3) An annexation under the direct petition method of annexation may be accomplished if the owners of a majority of the acreage proposed to be annexed sign a petition requesting the annexation, and the governing body of the special district approves the annexation. The petition shall be filed with the governing body of the special district. The annexation shall be effective when the governing body approves the annexation.

(4) Whenever a special district annexes territory under this section, the exclusive method by which the special district measures and imposes special assessments upon real property within the entire enlarged area shall be as set forth in RCW 85.38.150 through 85.38.170."

Renumber the remaining sections consecutively and correct any internal references accordingly.

Debate ensued.

The President declared the question before the Senate to be the adoption of the amendment by Senators Drew, Haugen, Ann Anderson and Quigley on page 20, after line 19, to Second Substitute Senate Bill No. 5632.

The motion by Senator Quigley carried and the amendment was adopted.

MOTION

Senator Fraser moved that the following amendment be adopted:

On page 22, beginning on line 35, strike all of section 18

Renumber the remaining sections consecutively and correct internal references accordingly.

Debate ensued.

The President declared the question before the Senate to be the adoption of the amendment by Senator Fraser on page 22, beginning on line 35, to Second Substitute Senate Bill No. 5632.

The motion by Senator Fraser failed and the amendment was not adopted.

MOTIONS

On motion of Senator Drew, the following amendments by Senators Drew, Fraser and Ann Anderson were considered simultaneously and were adopted:

On page 25, line 27, after "identifying" insert "and considering"

On page 25, line 28, after "(d)" insert "the impact of in-stream flood control work on the state's in-stream resources; (e)"

On page 25, line 29, after "structures;" strike "((and)) (e)" and insert "((and (e))) (f)"

On page 25, line 31, after "channel;" strike "(f)" and insert "(g)"

On page 25, line 33, after "and" strike "(g)" and insert "(h)"

Senator Fraser moved that the following amendment be adopted:

On page 29, line 29, after "(ii)" strike all material through "86.26 RCW" on line 31, and insert "Repair or reconstruction of a dike or levee if the project is determined by the county to be consistent with a previously approved comprehensive flood control management plan and necessary to avoid flood damage during the next flood season"

Debate ensued.

The President declared the question before the Senate to be the adoption of the amendment by Senator Fraser on page 29, line 29, to Second Substitute Senate Bill No. 5632.

The motion by Senator Fraser failed and the amendment was not adopted.

MOTIONS

On motion of Senator Drew, the following title amendment was adopted:

On page 1, line 3 of the title, after "79.90.300," insert "85.38.200,"

On motion of Senator Drew, the rules were suspended, Engrossed Second Substitute Senate Bill No. 5632 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

Debate ensued.

The President declared the question before the Senate to be the roll call on the final passage of Engrossed Second Substitute Senate Bill No. 5632.

ROLL CALL

The Secretary called the roll on the final passage of Engrossed Second Substitute Senate Bill No. 5632 and the bill passed the Senate by the following vote: Yeas, 38; Nays, 10; Absent, 1; Excused, 0.

Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Finkbeiner, Gaspard, Hale, Haugen, Heavey, Hochstatter, Johnson, Long, Loveland, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Prentice, Prince, Quigley, Rasmussen, Roach, Schow, Sellar, Sheldon, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley and Wood - 38.

Voting nay: Senators Anderson, C., Fairley, Franklin, Fraser, Kohl, McAuliffe, Pelz, Rinehart, Smith and Wojahn - 10.

Absent: Senator Hargrove - 1.

ENGROSSED SECOND SUBSTITUTE SENATE BILL NO. 5632, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.

President Pro Tempore Wojahn assumed the Chair.

SECOND READING

SENATE BILL NO. 5544, by Senators Owen, Rinehart, Spanel, Haugen, C. Anderson and Fraser

Concerning the leasing of state shoreline for the exploration of oil or gas.

The bill was read the second time.

MOTION

Senator Swecker moved that the following amendment by Senators Swecker, Ann Anderson and Strannigan be adopted:

On page 1, beginning on line 13, after "production" strike all material through "1995))" on line 19 and insert "until at least July 1, ((1995)) 2000. During the ((1995)) 2000 legislative session, the legislature shall determine whether the moratorium on leasing should be extended past July 1, ((1995)) 2000. This determination shall be based on the information available at that time, including the analysis described in RCW 43.143.040. If the legislature does not extend the moratorium on leasing, the moratorium will end on July 1, ((1995)) 2000"

Debate ensued.

Senator Gaspard demanded a roll call and the demand was sustained.

The President Pro Tempore declared the question before the Senate to be the roll call on the adoption of the amendment by Senators Swecker, Ann Anderson and Strannigan on page 1, beginning on line 13, to Senate Bill No. 5544.

ROLL CALL

The Secretary called the roll and the amendment was not adopted by the following vote: Yeas, 22; Nays, 27; Absent, 0; Excused, 0.

Voting yea: Senators Anderson, A., Cantu, Deccio, Finkbeiner, Hale, Hochstatter, Johnson, Long, McCaslin, McDonald, Morton, Moyer, Newhouse, Palmer, Prince, Roach, Schow, Sellar, Strannigan, Swecker, West and Wood - 22.

Voting nay: Senators Anderson, C., Bauer, Drew, Fairley, Franklin, Fraser, Gaspard, Hargrove, Haugen, Heavey, Kohl, Loveland, McAuliffe, Oke, Owen, Pelz, Prentice, Quigley, Rasmussen, Rinehart, Sheldon, Smith, Snyder, Spanel, Sutherland, Winsley and Wojahn - 27.

MOTION

On motion of Senator Owen, the rules were suspended, Senate Bill No. 5544 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

Debate ensued.

MOTION

On motion of Senator Sellar, Senator West was excused.

The President Pro Tempore declared the question before the Senate to be the roll call on the final passage of Senate Bill No. 5544.

ROLL CALL

The Secretary called the roll on the final passage of Senate Bill No. 5544 and the bill passed the Senate by the following vote: Yeas, 48; Nays, 0; Absent, 0; Excused, 1.

Excused: Senator West - 1.

SENATE BILL NO. 5544, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.

SECOND READING

SENATE BILL NO. 5613, by Senators Pelz, Franklin, Hargrove, Snyder, Fraser, Bauer, McAuliffe, Smith, Prentice, Heavey and Rinehart

Revising the provision authorizing the department of labor and industries to hold industrial insurance orders in abeyance.

The bill was read the second time.

MOTION

Senator Newhouse moved that the following amendment by Senators Newhouse and Pelz be adopted:

On page 3, on line 11, after "cause." insert: "However, the department may not exercise the authority granted in this subsection (4)(b)(ii) with respect to the claim of a worker employed by a self-insurer unless the department has notified the self-insurer of the receipt of the application under RCW 51.32.160 and has forwarded a copy of the application, by certified mail, within ten working days of the department's receipt of the application. In such a case, the ninety-day period shall commence when the notice and application are received by the self-insurer. For the purposes of this subsection (4)(b)(ii), good cause includes delay that results from conduct of the claimant that is subject to sanction under RCW 51.32.110."

Debate ensued.

The President Pro Tempore declared the question before the Senate to be the adoption of the amendment by Senators Newhouse and Pelz on page 3, on line 11, to Senate Bill No. 5613.

The motion by Senator Newhouse carried and the amendment was adopted.

MOTION

On motion of Senator Pelz, the rules were suspended, Engrossed Senate Bill No. 5613 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

Debate ensued.

The President Pro Tempore declared the question before the Senate to be the roll call on the final passage of Senate Bill No. 5613.

ROLL CALL

The Secretary called the roll on the final passage of Engrossed Senate Bill No. 5613 and the bill passed the Senate by the following vote: Yeas, 48; Nays, 0; Absent, 0; Excused, 1.

Excused: Senator West - 1.

ENGROSSED SENATE BILL NO. 5613, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.

SECOND READING

SENATE BILL NO. 5614, by Senators Pelz, Franklin, Hargrove, Snyder, Fraser, Bauer, McAuliffe, Smith, Prentice, Heavey and Rinehart

Revising provisions relating to compensation during appeal of department of labor and industries industrial insurance orders.

The bill was read the second time.

MOTION

On motion of Senator Pelz, the rules were suspended, Senate Bill No. 5614 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

Debate ensued.

The President Pro Tempore declared the question before the Senate to be the roll call on the final passage of Senate Bill No. 5614.

ROLL CALL

The Secretary called the roll on the final passage of Senate Bill No. 5614 and the bill passed the Senate by the following vote: Yeas, 30; Nays, 19; Absent, 0; Excused, 0.

Voting yea: Senators Anderson, C., Bauer, Drew, Fairley, Franklin, Fraser, Gaspard, Hale, Hargrove, Heavey, Kohl, Long, Loveland, McAuliffe, Owen, Pelz, Prentice, Quigley, Rasmussen, Rinehart, Roach, Sheldon, Smith, Snyder, Spanel, Sutherland, Swecker, Winsley, Wojahn and Wood - 30.

Voting nay: Senators Anderson, A., Cantu, Deccio, Finkbeiner, Haugen, Hochstatter, Johnson, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Palmer, Prince, Schow, Sellar, Strannigan and West - 19.

SENATE BILL NO. 5614, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.

SECOND READING

SENATE BILL NO. 5615, by Senators Pelz, Franklin, Hargrove, Snyder, Bauer, Fraser, McAuliffe, Smith, Prentice, Heavey and Rinehart

Revising provisions relating to compensation during reconsideration of department of labor and industries industrial insurance orders.

The bill was read the second time.

MOTION

On motion of Senator Pelz, the rules were suspended, Senate Bill No. 5615 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

Debate ensued.

The President Pro Tempore declared the question before the Senate to be the roll call on the final passage of Senate Bill No. 5615.

ROLL CALL

The Secretary called the roll on the final passage of Senate Bill No. 5615 and the bill passed the Senate by the following vote:

Yeas, 28; Nays, 21; Absent, 0; Excused, 0.

Voting yea: Senators Anderson, C., Bauer, Drew, Fairley, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Kohl, Long, Loveland, McAuliffe, Owen, Pelz, Prentice, Quigley, Rasmussen, Rinehart, Sheldon, Smith, Snyder, Spanel, Sutherland, Winsley and Wojahn - 28.

Voting nay: Senators Anderson, A., Cantu, Deccio, Finkbeiner, Hochstatter, Johnson, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Palmer, Prince, Roach, Schow, Sellar, Strannigan, Swecker, West and Wood - 21.

SENATE BILL NO. 5615, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.

SECOND READING

SENATE BILL NO. 5155, by Senators Hargrove, Owen, Snyder, Hochstatter, A. Anderson and Rasmussen

Exempting from the shoreline management act certain projects that have been granted hydraulic permits.

MOTIONS

On motion of Senator Hargrove, Substitute Senate Bill No. 5155 was substituted for Senate Bill No. 5155 and the substitute bill was placed on second reading and read the second time.

On motion of Senator Fraser, the rules were suspended, Substitute Senate Bill No. 5155 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

The President Pro Tempore declared the question before the Senate to be the roll call on the final passage of Substitute Senate Bill No. 5155.

ROLL CALL

The Secretary called the roll on the final passage of Substitute Senate Bill No. 5155 and the bill passed the Senate by the following vote: Yeas, 49; Nays, 0; Absent, 0; Excused, 0.

SUBSTITUTE SENATE BILL NO. 5155, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.

SECOND READING

SENATE BILL NO. 6045, by Senators Bauer, Hochstatter, Gaspard, McAuliffe and Winsley

Allowing retired administrators to serve as replacement administrators without a reduction of pension benefits.

The bill was read the second time.

MOTION

Senator Johnson moved that the following amendments by Senators Johnson, McAuliffe, Gaspard and Hochstatter be considered simultaneously and be adopted:

On page 1, line 15, after "teacher" insert "or retired administrator"

On page 2, line 38, strike "the number of days remaining in the current school year" and insert "an additional fifteen days per school year"

Debate ensued.

The President Pro Tempore declared the question before the Senate to be the adoption of the amendments by Senators Johnson, McAuliffe, Gaspard and Hochstatter on page 1, line 15, and page 2, line 38, to Senate Bill No. 6045.

The motion by Senator Johnson carried and the amendments were adopted.

MOTION

On motion of Senator Bauer, the rules were suspended, Engrossed Senate Bill No. 6045 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

MOTION

On motion of Senator Loveland, Senator Rinehart was excused.

The President Pro Tempore declared the question before the Senate to be the roll call on the final passage of Engrossed Senate Bill No. 6045.

ROLL CALL

The Secretary called the roll on the final passage of Engrossed Senate Bill No. 6045 and the bill passed the Senate by the following vote: Yeas, 48; Nays, 0; Absent, 0; Excused, 1.

Voting yea: Senators Anderson, A., Anderson, C., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Gaspard, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Palmer, Pelz, Prentice, Prince, Quigley, Rasmussen, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Sutherland, Swecker, West, Winsley, Wojahn and Wood - 48.

Excused: Senator Rinehart - 1.

ENGROSSED SENATE BILL NO. 6045, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.

President Pritchard assumed the Chair.

SECOND READING

SENATE BILL NO. 5880, by Senators Haugen, Spanel and Winsley

Authorizing retirement to care for a disabled spouse.

MOTIONS

On motion of Senator Haugen, Substitute Senate Bill No. 5880 was substituted for Senate Bill No. 5880 and the substitute bill was placed on second reading and read the second time.

On motion of Senator Spanel, the following amendment by Senators Spanel, Haugen and Rinehart was adopted:

On page 1, line 5, strike "five" and insert "twenty"

MOTION

On motion of Senator Haugen, the rules were suspended, Engrossed Substitute Senate Bill No. 5880 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

The President declared the question before the Senate to be the roll call on the final passage of Engrossed Substitute Senate Bill No. 5880.

ROLL CALL

The Secretary called the roll on the final passage of Engrossed Substitute Senate Bill No. 5880 and the bill passed the Senate by the following vote: Yeas, 48; Nays, 0; Absent, 1; Excused, 0.

Absent: Senator Wojahn - 1.

ENGROSSED SUBSTITUTE SENATE BILL NO. 5880, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.

SECOND READING

SENATE BILL NO. 5397, by Senators Franklin and Pelz (by request of Department of Labor and Industries)

Revising provisions regulating asbestos certification.

The bill was read the second time.

MOTION

Senator Pelz moved that the following Committee on Labor, Commerce and Trade amendments not be adopted:

On page 7, line 31, after "(3)" insert "The department shall not require notification or prenotification of any asbestos or asbestos abatement project at a threshold different from that which is required by the federal environmental protection agency as of February 1, 1995.

(4)"

On page 8, beginning on line 3, after "((forty-eight" strike all material through "feet" on line 6, and insert "square feet of surface area, or less than ten linear feet of pipe unless the surface area of the pipe is greater than forty-eight square feet)) one hundred sixty square feet of asbestos containing material on components, or less than two hundred sixty linear feet of asbestos containing material on pipes, or removal of less than thirty-five cubic feet of asbestos containing material off facility components where the length or area could not be measured previously, as defined by 40 C.F.R. 61.145 as of February 1, 1995"

On page 9, line 5, after "((forty-eight" strike ")) three square feet" and insert "square feet)) the federal threshold established under 40 C.F.R. 61.145 as of February 1, 1995"

The President declared the question before the Senate to be the motion by Senator Pelz that the Committee on Labor, Commerce and Trade amendments on pages 7, 8, and 9, to Senate Bill No. 5397 not be adopted.

The motion by Senator Pelz carried and the committee amendments were not adopted.

MOTION

Senator Heavey moved that the following amendment by Senators Heavey, Deccio, Franklin, Hale and Pelz be adopted:

Strike everything after the enacting clause and insert the following:

"Sec. 1. RCW 49.26.013 and 1989 c 154 s 2 are each amended to read as follows:

(1) Any owner or owner's agent who allows or authorizes any construction, renovation, remodeling, maintenance, repair, or demolition project which has a reasonable possibility, as defined by the department, of disturbing or releasing asbestos into the air, shall perform or cause to be performed, using practices approved by the department, a good faith inspection to determine whether the proposed project will disturb or release any material containing asbestos into the air.

Such inspections shall be conducted by persons meeting the accreditation requirements of the federal toxics substances control act, section 206(a) (1) and (3) (15 U.S.C. 2646(a) (1) and (3)).

An inspection under this section is not required if the owner or owner's agent is reasonably certain that asbestos will not be disturbed or assumes that asbestos will be disturbed by a project which involves construction, renovation, remodeling, maintenance, repair, or demolition and takes the maximum precautions as specified by all applicable federal and state requirements.

(2) Except as provided in RCW 49.26.125, the owner or owner's agent shall prepare and maintain a written report describing each inspection, or a statement of assumption of the presence or reasonable certainty of the absence of asbestos, and shall ((make)) provide a copy of the written report or statement ((available)) to all contractors before they apply or bid on work. In addition, upon written or oral request, the owner or owner's agent shall make a copy of the written report available to: (1) The department of labor and industries; (2) contractors; and (3) the collective bargaining representatives or employee representatives, if any, of employees who may be exposed to any asbestos or material containing asbestos. A copy shall be posted as prescribed by the department in a place that is easily accessible to such employees.

Sec. 2. RCW 49.26.016 and 1989 c 154 s 3 are each amended to read as follows:

(1) Any owner or owner's agent who allows the start of any construction, renovation, remodeling, maintenance, repair, or demolition without first (a) conducting the inspection and preparing and maintaining the report of the inspection, or preparing and maintaining a statement of assumption of the presence or reasonable certainty of the absence of asbestos, as required under RCW 49.26.013; and (b) preparing and maintaining the additional written description of the project as required under RCW 49.26.120 shall be subject to a mandatory fine of not less than two hundred fifty dollars for each violation. Each day the violation continues shall be considered a separate violation. In addition, any construction, renovation, remodeling, maintenance, repair, or demolition which was started without meeting the requirements of RCW 49.26.013 and 49.26.120 shall be halted immediately and cannot be resumed before meeting such requirements.

(2) ((It is the responsibility of any contractor registered under chapter 18.27 RCW to request a copy of the written report or statement required under RCW 49.26.013 from the owner or the owner's agent.)) No contractor may commence any construction, renovation, remodeling, maintenance, repair or demolition project without receiving the copy of the written report or statement from the owner or the owner's agent. Any contractor who begins any project without the copy of the written report or statement shall be subject to a mandatory fine of not less than two hundred and fifty dollars per day. Each day the violation continues shall be considered a separate violation.

(3) ((Any partnership, firm, corporation or sole proprietorship that begins any construction, renovation, remodeling, maintenance, repair, or demolition without meeting the requirements of RCW 49.26.013 and the notification requirement under RCW 49.26.120 shall lose the exemptions provided in RCW 49.26.110 and 49.26.120 for a period of not less than six months.

(4))) The certificate of any asbestos contractor who knowingly violates any provision of this chapter or any rule adopted under this chapter shall be revoked for a period of not less than six months.

(((5))) (4) The penalties imposed in this section are in addition to any penalties under RCW 49.26.140.

Sec. 3. RCW 49.26.100 and 1989 c 154 s 4 are each amended to read as follows:

Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.

(1) "Asbestos abatement project" means an asbestos project involving three square feet or three linear feet, or more, of asbestos-containing material.

(2) "Asbestos project" means the construction, demolition, repair, maintenance, remodeling, or renovation of any public or private building or mechanical piping equipment or systems involving the demolition, removal, encapsulation, salvage, or disposal of material, or outdoor activity, releasing or likely to release asbestos fibers into the air.

(((2))) (3) "Department" means the department of labor and industries.

(((3))) (4) "Director" means the director of the department of labor and industries or the director's designee.

(((4))) (5) "Person" means any individual, partnership, firm, association, corporation, sole proprietorship, or the state of Washington or its political subdivisions.

(((5))) (6) "Certified asbestos supervisor" means an individual who is certified by the department to supervise an asbestos project. A certified asbestos supervisor is not required for projects involving less than three square feet or three linear feet of asbestos-containing material.

(((6))) (7) "Certified asbestos worker" means an individual who is certified by the department to work on an asbestos project.

(((7))) (8) "Certified asbestos contractor" means any partnership, firm, association, corporation or sole proprietorship registered under chapter 18.27 RCW that submits a bid or contracts to remove or encapsulate asbestos for another and is certified by the department to remove or encapsulate asbestos.

(((8))) (9) "Owner" means the owner of any public or private building, structure, facility or mechanical system, or the agent of such owner, but does not include individuals who work on asbestos projects on their own single-family residences no part of which is used for any commercial purpose.

Sec. 4. RCW 49.26.110 and 1989 c 154 s 5 are each amended to read as follows:

(1) No employee or other individual is eligible to do work governed by this chapter unless issued a certificate by the department ((except, in the case of an asbestos project undertaken by any partnership, firm, corporation or sole proprietorship which has not lost this exemption under RCW 49.26.016(3), and conducted in its own facility and by its own employees. In cases excepted under this section:

(a) Direct, on-site supervision by a certified asbestos supervisor shall be required for asbestos projects performed at one project location by workers who are not certified.

(b) If a project is conducted using only certified workers or if a certified worker functions as a foreman or lead person, supervision can be performed in the regular course of a supervisor's duties and need not be direct and on-site.

(2) To qualify for a certificate:

(a) Certified asbestos workers ((and supervisors)) must have successfully completed a four-day training course ((of at least thirty hours,)). Certified asbestos supervisors must have completed a five-day training course. Training courses shall be provided or approved by the department((, on the)); shall cover such topics as the health and safety aspects of the removal and encapsulation of asbestos, including but not limited to the federal and state standards regarding protective clothing, respirator use, disposal, air monitoring, cleaning, and decontamination((,)); and shall meet such additional qualifications as may be established by the department by rule for the type of certification sought; and

(b) All applicants for certification as asbestos workers or supervisors must pass an examination in the type of certification sought which shall be provided or approved by the department.

These requirements are intended to represent the minimum requirements for certification and shall not preclude contractors or employers from providing additional education or training. The department may require the successful completion of annual refresher courses provided or approved by the department for continued certification as an asbestos worker or supervisor.

(3) The department shall provide for the reciprocal certification of any individual trained to engage in asbestos projects in another state when the prior training is shown to be substantially similar to the training required by the department. Nothing shall prevent the department from requiring such individuals to take an examination or refresher course before certification.

(4) The department may deny, suspend, or revoke a certificate, as provided under RCW 49.26.140, for failure of the holder to comply with any requirement of this chapter or chapter 49.17 RCW, or any rule adopted under those chapters, or applicable health and safety standards and regulations. In addition to any penalty imposed under RCW 49.26.016, the department may suspend or revoke any certificate issued under this chapter for a period of not less than six months upon the following grounds:

(a) The certificate was obtained through error or fraud; or

(b) The holder thereof is judged to be incompetent to carry out the work for which the certificate was issued.

Before any certificate may be denied, suspended, or revoked, the holder thereof shall be given written notice of the department's intention to do so, mailed by registered mail, return receipt requested, to the holder's last known address. The notice shall enumerate the allegations against such holder, and shall give him or her the opportunity to request a hearing before the department. At such hearing, the department and the holder shall have opportunity to produce witnesses and give testimony.

(5) A denial, suspension, or revocation order may be appealed to the board of industrial insurance appeals within fifteen working days after the denial, suspension, or revocation order is entered. The notice of appeal may be filed with the department or the board of industrial insurance appeals. The board of industrial insurance appeals shall hold the hearing in accordance with procedures established in RCW 49.17.140. Any party aggrieved by an order of the board of industrial insurance appeals may obtain superior court review in the manner provided in RCW 49.17.150.

(6) Each person certified under this chapter shall display, upon the request of an authorized representative of the department, valid identification issued by the department.

Sec. 5. RCW 49.26.115 and 1989 c 154 s 6 are each amended to read as follows:

Before working on an asbestos abatement project, a contractor shall obtain an asbestos contractor's certificate from the department and shall have in its employ at least one certified asbestos supervisor who is responsible for supervising all asbestos abatement projects undertaken by the contractor and for assuring compliance with all state laws and regulations regarding asbestos. The contractor shall apply for certification renewal every year. The department shall ensure that the expiration of the contractor's registration and the expiration of his or her asbestos contractor's certificate coincide.

Sec. 6. RCW 49.26.120 and 1989 c 154 s 7 are each amended to read as follows:

(1) No person may assign any employee, contract with, or permit any individual or person to remove or encapsulate asbestos in any facility unless performed by a certified asbestos worker and under the direct, on-site supervision of a certified asbestos supervisor ((except, in the case of an asbestos project undertaken by any partnership, firm, corporation or sole proprietorship which has not lost this exemption under RCW 49.26.016(3), and conducted in its own facility and by its own employees. In cases excepted under this section:

(a) Direct, on-site supervision by a certified asbestos supervisor shall be required for asbestos projects performed at one project location by workers who are not certified.

(c) The partnership, firm, corporation or sole proprietorship shall submit a written description to the department of the kinds of asbestos projects expected to be undertaken and the procedures to be used in undertaking asbestos projects, which description shall demonstrate competence in performing the work in compliance with the requirements of this chapter, rules adopted under this chapter, and any other requirements of law for the safe demolition, removal, encapsulation, salvage, and disposal of asbestos)). In cases in which an employer conducts an asbestos abatement project in its own facility and by its own employees, supervision can be performed in the regular course of a certified asbestos supervisor's duties. Asbestos workers must have access to certified asbestos supervisors throughout the duration of the project.

(2) The department shall require persons undertaking asbestos projects to provide written notice to the department before the commencement of the project except as provided in RCW 49.26.125. The notice shall include a written description containing such information as the department requires by rule. The department may by rule allow a person to report multiple projects at one site in one report. The department shall by rule establish the procedure and criteria by which a person will be considered to have attempted to meet the prenotification requirement.

(3) The department shall consult with the state fire protection policy board, and may establish any additional policies and procedures for municipal fire department and fire district personnel who clean up sites after fires which have rendered it likely that asbestos has been or will be disturbed or released into the air."

POINT OF INQUIRY

Senator Deccio: "Senator Heavey, it is my understanding now that we are at forty-eight feet, not three feet, not two hundred and sixty feet. Is that correct?"

Senator Heavey: "Yes, it is at forty-eight feet and it is not at two hundred and sixty feet."

POINT OF INQUIRY

Senator Morton: "Senator Heavey, I was going to challenge that last comment based on the amendment on page 3, lines 7, 8, and 9, which says, 'three square feet.' "

Senator Heavey: "The asbestos is measured in lineal feet, squares and cubes. Three square feet is obviously a lot bigger than a certain number of lineal feet, so yes, it still is three square feet, but the forty-eight feet is the lineal feet."

Senator Morton: "Thank you for the clarification, Senator Heavey."

Further debate ensued.

The President declared the question before the Senate to be the adoption of the striking amendment by Senators Heavey, Deccio, Franklin, Hale and Pelz to Senate Bill No. 5397.

The motion by Senator Heavey carried and the striking amendment was adopted on a rising vote.

MOTIONS

On motion of Senator Pelz, the following title amendment was adopted:

On page 1, line 1 of the title, after "certification;" strike the remainder of the title and insert "and amending RCW 49.26.013, 49.26.016, 49.26.100, 49.26.110, 49.26.115, and 49.26.120."

On motion of Senator Pelz, the rules were suspended, Engrossed Senate Bill No. 5397 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

Debate ensued.

The President declared the question before the Senate to be the roll call on the final passage of Engrossed Senate Bill No. 5397.

ROLL CALL

The Secretary called the roll on the final passage of Engrossed Senate Bill No. 5397 and the bill passed the Senate by the following vote: Yeas, 30; Nays, 19; Absent, 0; Excused, 0.

Voting yea: Senators Anderson, C., Bauer, Drew, Fairley, Franklin, Fraser, Gaspard, Hargrove, Haugen, Heavey, Kohl, Long, Loveland, McAuliffe, Moyer, Newhouse, Owen, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Sheldon, Smith, Snyder, Spanel, Sutherland, Winsley and Wojahn - 30.

Voting nay: Senators Anderson, A., Cantu, Deccio, Finkbeiner, Hale, Hochstatter, Johnson, McCaslin, McDonald, Morton, Oke, Palmer, Roach, Schow, Sellar, Strannigan, Swecker, West and Wood - 19.

ENGROSSED SENATE BILL NO. 5397, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.

SECOND READING

SENATE BILL NO. 5576, by Senator Drew (by request of Governor Lowry)

Making changes to the campaign practices law.

MOTIONS

On motion of Senator Smith, Second Substitute Senate Bill No. 5576 was substituted for Senate Bill No. 5576 and the second substitute bill was placed on second reading and read the second time.

Senator Drew moved that the following amendments by Senators Drew and Smith be considered simultaneously and be adopted:

On page 10, beginning on line 19, after "preceding the" strike all material through "in" on line 20, and insert "((expiration of a state legislator's term in)) last day for certification of the election results for a state legislator's election to"

On page 10, beginning on line 27, after "permitted." strike all material through "office." on line 30

On page 10, after line 35, insert the following:

"Sec. 19. RCW 42.17.160 and 1982 c 147 s 12 are each amended to read as follows:

REGISTRATION AND REPORTING. The following persons and activities shall be exempt from registration and reporting under RCW 42.17.150, 42.17.170, and 42.17.200:

(1) Persons who limit their lobbying activities to appearing before public sessions of committees of the legislature, or public hearings of state agencies;

(2) Activities by lobbyists or other persons whose participation has been solicited by an agency under RCW 34.05.310(2);

(3) News or feature reporting activities and editorial comment by working members of the press, radio, or television and the publication or dissemination thereof by a newspaper, book publisher, regularly published periodical, radio station, or television station;

(((3))) (4) Persons who lobby without compensation or other consideration for acting as a lobbyist: PROVIDED, Such person makes no expenditure for or on behalf of any member of the legislature or elected official or public officer or employee of the state of Washington in connection with such lobbying. The exemption contained in this subsection is intended to permit and encourage citizens of this state to lobby any legislator, public official, or state agency without incurring any registration or reporting obligation provided they do not exceed the limits stated above. Any person exempt under this subsection (((3))) (4) may at his or her option register and report under this chapter;

(((4))) (5) Persons who restrict their lobbying activities to no more than four days or parts thereof during any three-month period and whose total expenditures during such three-month period for or on behalf of any one or more members of the legislature or state elected officials or public officers or employees of the state of Washington in connection with such lobbying do not exceed twenty-five (([dollars])) dollars: PROVIDED, That the commission shall promulgate regulations to require disclosure by persons exempt under this subsection or their employers or entities which sponsor or coordinate the lobbying activities of such persons if it determines that such regulations are necessary to prevent frustration of the purposes of this chapter. Any person exempt under this subsection (((4))) (5) may at his or her option register and report under this chapter;

(((5))) (6) The governor;

(((6))) (7) The lieutenant governor;

(((7))) (8) Except as provided by RCW 42.17.190(1), members of the legislature;

(((8))) (9) Except as provided by RCW 42.17.190(1), persons employed by the legislature for the purpose of aiding in the preparation or enactment of legislation or the performance of legislative duties;

(((9))) (10) Elected officials, and officers and employees of any agency reporting under RCW 42.17.190(4) as now or hereafter amended.

Sec. 20. RCW 42.17.170 and 1991 sp.s. c 18 s 2 are each amended to read as follows:

MONTHLY PERIODIC REPORT. (1) Any lobbyist registered under RCW 42.17.150 and any person who lobbies shall file with the commission periodic reports of his or her activities signed by the lobbyist. The reports shall be made in the form and manner prescribed by the commission. They shall be due monthly and shall be filed within fifteen days after the last day of the calendar month covered by the report.

(2) Each such monthly periodic report shall contain:

(a) The totals of all expenditures for lobbying activities made or incurred by such lobbyist or on behalf of such lobbyist by the lobbyist's employer during the period covered by the report. Such totals for lobbying activities shall be segregated according to financial category, including compensation; food and refreshments; living accommodations; advertising; travel; contributions; and other expenses or services. Each individual expenditure of more than twenty-five dollars for entertainment shall be identified by date, place, amount, and the names of all persons in the group partaking in or of such entertainment including any portion thereof attributable to the lobbyist's participation therein, ((without)) and shall include amounts actually expended on each person where calculable, or allocating any portion of ((such)) the expenditure to individual participants. ((However, if the expenditure for a single hosted reception is more than one hundred dollars per person partaking therein, the report shall specify the per person amount, which shall be determined by dividing the total amount of the expenditure by the total number of persons partaking in the reception.))

Notwithstanding the foregoing, lobbyists are not required to report the following:

(i) Unreimbursed personal living and travel expenses not incurred directly for lobbying;

(ii) Any expenses incurred for his or her own living accommodations;

(iii) Any expenses incurred for his or her own travel to and from hearings of the legislature;

(iv) Any expenses incurred for telephone, and any office expenses, including rent and salaries and wages paid for staff and secretarial assistance.

(b) In the case of a lobbyist employed by more than one employer, the proportionate amount of such expenditures in each category incurred on behalf of each of his employers.

(c) An itemized listing of each such expenditure, whether contributed by the lobbyist personally or delivered or transmitted by the lobbyist, in the nature of a contribution of money or of tangible or intangible personal property to any candidate, elected official, or officer or employee of any agency, or any political committee supporting or opposing any ballot proposition, or for or on behalf of any candidate, elected official, or officer or employee of any agency, or any political committee supporting or opposing any ballot proposition. All contributions made to, or for the benefit of, any candidate, elected official, or officer or employee of any agency, or any political committee supporting or opposing any ballot proposition shall be identified by date, amount, and the name of the candidate, elected official, or officer or employee of any agency, or any political committee supporting or opposing any ballot proposition receiving, or to be benefited by each such contribution.

(d) The subject matter of proposed legislation or other legislative activity or rule-making under chapter 34.05 RCW, the state Administrative Procedure Act, and the state agency considering the same, which the lobbyist has been engaged in supporting or opposing during the reporting period, unless exempt under RCW 42.17.160(2).

(e) Such other information relevant to lobbying activities as the commission shall by rule prescribe. Information supporting such activities as are required to be reported is subject to audit by the commission.

(f) ((A listing of each gift, as defined in RCW 42.17.020, made to a state elected official or executive state officer or to a member of the immediate family of such an official or officer. Such a gift shall be separately identified by the date it was given, the approximate value of the gift, and the name of the recipient. However, for a hosted reception where the average per person amount is reported under (a) of this subsection, the approximate value for the gift of partaking in the event is such average per person amount. The commission shall adopt forms to be used for reporting the giving of gifts under this subsection (2)(f). The forms shall be designed to permit a lobbyist to report on a separate form for each recipient the reportable gifts given to that recipient during the reporting period or, alternatively, to report on one form all reportable gifts given by the lobbyist during the reporting period)) A listing of each payment for an item specified in RCW 42.52.150(5) in excess of fifty dollars made to a state elected official, state officer, or state employee. Each item shall be identified by recipient, date, and approximate value of the item.

(g) The total expenditures made during the reporting period by the lobbyist for lobbying purposes, whether through or on behalf of a lobbyist or otherwise. As used in this subsection, "expenditures" includes amounts paid or incurred during the reporting period for (i) political advertising as defined in RCW 42.17.020; and (ii) public relations, telemarketing, polling, or similar activities if such activities, directly or indirectly, are intended, designed, or calculated to influence legislation or the adoption or rejection of a rule, standard, or rate by an agency under the administrative procedure act. The report shall specify the amount, the person to whom the amount was paid, and a brief description of the activity.

(3) If a state elected official or a member of such an official's immediate family is identified by a lobbyist in such a report as having received from the lobbyist ((a gift, as defined in RCW 42.17.020)) an item specified in RCW 42.52.150(5), the lobbyist shall transmit to the official a copy of the completed form used to identify the ((gift)) item in the report at the same time the report is filed with the commission.

(4) The commission may adopt rules to vary the content of lobbyist reports to address specific circumstances, consistent with this section."

Renumber the remaining sections consecutively.

Debate ensued.

The President declared the question before the Senate to be the adoption of the amendments by Senators Drew and Smith on page 10, beginning on line 19; page 10, beginning on line 27; and page 10, after line 35, to Second Substitute Senate Bill No. 5576.

The motion by Senator Drew carried and the amendments were adopted.

MOTION

Senator West moved that the following amendment be adopted:

On page 2, after line 30, strike all of section 2.

Debate ensued.

Senator Roach demanded a roll call and the demand was sustained.

The President declared the question before the Senate to be the roll call on the adoption of the amendment by Senator West on page 2, after line 30, to Second Substitute Senate Bill No. 5576,

ROLL CALL

The Secretary called the roll and the amendment was not adopted by the following vote: Yeas, 24; Nays, 25; Absent, 0; Excused, 0.

Voting yea: Senators Anderson, A., Cantu, Deccio, Finkbeiner, Hale, Hochstatter, Johnson, Long, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Palmer, Prince, Roach, Schow, Sellar, Strannigan, Swecker, West, Winsley and Wood - 24.

Voting nay: Senators Anderson, C., Bauer, Drew, Fairley, Franklin, Fraser, Gaspard, Hargrove, Haugen, Heavey, Kohl, Loveland, McAuliffe, Owen, Pelz, Prentice, Quigley, Rasmussen, Rinehart, Sheldon, Smith, Snyder, Spanel, Sutherland and Wojahn - 25.

MOTION

Senator Haugen moved that the following amendment by Senator Haugen and Winsley be adopted:

On page 4, at the beginning of line 20, strike all material through "June" and insert "second Monday in July"

Debate ensued.

The President declared the question before the Senate to be the adoption of the amendment by Senators Haugen and Winsley on page 4, at the beginning of line 20, to Second Substitute Senate Bill No. 5576.

The motion by Senator Haugen carried and the amendment was adopted.

MOTIONS

On motion of Senator Haugen, the following amendment by Senators Haugen and Winsley was adopted:

On page 8, beginning on line 6, strike all of section 14 and insert the following:

"Sec. 14. RCW 29.81A.010 and 1984 c 106 s 3 are each amended to read as follows:

At least ninety days before any primary or general election, or at least ((forty)) forty-five days before any special election held under RCW 29.13.010 or 29.13.020, the legislative authority of any county or first-class or code city may adopt an ordinance authorizing the publication, in printed or electronic format or both, and distribution of a local voters' pamphlet. The pamphlet shall provide information on all measures ((within)) that will be on the ballot in that jurisdiction and may, if specified in the ordinance, include information on candidates ((within)) whose names will be on the ballot in that jurisdiction. If both a county and a first-class or code city within that county authorize a local voters' pamphlet for the same election, the pamphlet shall be produced jointly by the county and the first-class or code city. If no agreement can be reached between the county and first-class or code city, the county and first-class or code city may each produce a pamphlet. Any ordinance adopted authorizing a local voters' pamphlet may be for a specific primary, special election, or

general election or for any future primaries or elections. The format of any local voters' pamphlet shall, whenever applicable, comply with the provisions of chapters 29.80 and 29.81 RCW regarding the publication of the state candidates' and voters' pamphlets.

Sec. 15. RCW 29.81A.020 and 1994 c 191 s 1 are each amended to read as follows:

(1) Not later than ((ninety days)) May 1st for a primary or general election or ninety days before a special election not scheduled at the same time as a primary or general election, before the publication and distribution of a local voters' pamphlet by a county, the county auditor shall notify each city, town, or special taxing district located ((wholly)) within that county that a pamphlet will be produced. (2) If a voters' pamphlet is published by the county for a primary or general election, the pamphlet shall be published for the elective offices and ballot measures of the county and for the elective offices and ballot measures of each unit of local government located ((entirely)) within the county which will appear on the ballot at that primary or election. However, the offices and measures of a first class or code city shall not be included in the pamphlet if the city publishes and distributes its own voters' pamphlet for the primary or election for its offices and measures. The offices and measures of any other town or city are not required to appear in the county's pamphlet if the town or city is obligated by ordinance or charter to publish and distribute a voters' pamphlet for the primary or election for its offices and measures and it does so.

If the required appearance in a county's voters' pamphlet of the offices or measures of a unit of local government would create ((undo [undue])) undue financial hardship for the unit of government, the legislative authority of the unit may petition the legislative authority of the county to waive this requirement. The legislative authority of the county may provide such a waiver if it does so not later than ((sixty days before the publication of the pamphlet and)) June 15th for a primary or general election or sixty days before a special election not occurring at the same time as a primary or general election where a pamphlet will be published if it finds that the requirement would create such hardship.

(3) If a city, town, or district is located within more than one county, the respective county auditors may enter into an interlocal agreement to permit the distribution of each county's local voters' pamphlet into those parts of the city, town, or district located outside of that county.

(4) If a first-class or code city authorizes the production and distribution of a local voters' pamphlet, the city clerk of that city shall notify any special taxing district located ((wholly)) within that city that a pamphlet will be produced. Notification shall be provided in the manner required or provided for in subsection (1) of this section.

(5) A unit of local government located within a county and the county may enter into an interlocal agreement for the publication of a voters' pamphlet for offices or measures not required by subsection (2) of this section to appear in a county's pamphlet.

Sec. 16. RCW 29.81A.040 and 1984 c 106 s 6 are each amended to read as follows:

The local voters' pamphlet shall include but not be limited to the following:

(1) Appearing on the cover, the words "official local voters' pamphlet," the name of the jurisdiction producing the pamphlet, the jurisdictions that have measures or candidates in the pamphlet, and the date of the election or primary;

(2) Information on how a person may register to vote and obtain an absentee ballot;

(3) The ((text)) ballot title of each measure accompanied by an explanatory statement prepared by the prosecuting attorney for any county measure or by the attorney for the jurisdiction submitting the measure if other than a county measure. The explanatory statement shall not intentionally be an argument likely to create prejudice either for, or against, the measure. All explanatory statements for city, town, or district measures ((not approved by the attorney for the jurisdiction submitting the measure)) shall be reviewed and approved by the county prosecuting attorney ((or city attorney, when applicable,)) before inclusion in the pamphlet. The full text of the measure may be either included in the pamphlet or made available upon request at the discretion of the jurisdiction publishing the pamphlet;

(4) The arguments for and against each measure submitted by committees selected pursuant to RCW 29.81A.080.

Sec. 17. RCW 29.81A.080 and 1994 c 191 s 2 are each amended to read as follows:

For each measure from a unit of local government that is included in a local voters' pamphlet, the legislative authority of that jurisdiction shall, not later than forty-five days before the publication of the pamphlet, formally appoint a committee to prepare arguments advocating voters' approval of the measure and shall formally appoint a committee to prepare arguments advocating voters' rejection of the measure. The authority shall appoint persons known to favor the measure to serve on the committee advocating approval and shall, whenever possible, appoint persons known to oppose the measure to serve on the committee advocating rejection. Each committee shall have not more than three members, however, a committee may seek the advice of any person or persons. If the legislative authority of a unit of local government fails to make such appointments by the prescribed deadline, the county auditor shall whenever possible make the appointments. The county auditor shall notify press, radio, and television in the county of the need to make such appointments."

Renumber the remaining sections consecutively and correct any internal references accordingly.

On motion of Senator Smith, the following title amendments were considered simultaneously and were adopted:

On page 1, line 3 of the title, after "29.81A.010," insert "29.81A.020, 29.81A.040, 29.81A.080,"

On page 1, line 4 of the title, after "29.80.090," strike "and 42.17.132" and insert "42.17.132, 42.17.160, and 42.17.170"

MOTION

On motion of Senator Smith, the rules were suspended, Engrossed Second Substitute Senate Bill No. 5576 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

Debate ensued.

The President declared the question before the Senate to be the roll call on the final passage of Engrossed Second Substitute Senate Bill No. 5576.

ROLL CALL

The Secretary called the roll on the final passage of Engrossed Second Substitute Senate Bill No. 5576 and the bill passed the Senate by the following vote: Yeas, 32; Nays, 17; Absent, 0; Excused, 0.

Voting yea: Senators Anderson, A., Anderson, C., Bauer, Cantu, Drew, Fairley, Franklin, Fraser, Gaspard, Hargrove, Haugen, Heavey, Kohl, Loveland, McAuliffe, McCaslin, Oke, Owen, Palmer, Pelz, Prentice, Quigley, Rasmussen, Rinehart, Sheldon, Smith, Snyder, Spanel, Sutherland, Swecker, Winsley and Wojahn - 32.

Voting nay: Senators Deccio, Finkbeiner, Hale, Hochstatter, Johnson, Long, McDonald, Morton, Moyer, Newhouse, Prince, Roach, Schow, Sellar, Strannigan, West and Wood - 17.

ENGROSSED SECOND SUBSTITUTE SENATE BILL NO. 5576, having received the constitutional majority, was declared passed. There being no objection, the title of the bill will stand as the title of the act.

SECOND READING

SENATE BILL NO. 5684, by Senators Smith, Winsley, Gaspard, Oke, Wood and Hale (by request of Public Disclosure Commission)

Consolidating and revising public disclosure laws.

MOTIONS

On motion of Senator Smith, Substitute Senate Bill No. 5684 was substituted for Senate Bill No. 5684 and the substitute bill was placed on second reading and read the second time.

On motion of Senator Drew, the following amendments by Senators Drew and Smith were considered simultaneously and were adopted:

On page 17, after line 39, insert the following:

"Sec. 5. RCW 42.17.132 and 1993 c 2 s 25 are each amended to read as follows:

During the twelve-month period preceding the ((expiration of a state legislator's term in)) last day for certification of the election results for a state legislator's election to office, no incumbent to that office may mail to a constituent at public expense a letter, newsletter, brochure, or other piece of literature that is not in direct response to that constituent's request for a response or for information. However, one mailing mailed within thirty days after the start of a regular legislative session and one mailing mailed within sixty days after the end of a regular legislative session of identical newsletters to constituents are permitted. A violation of this section constitutes use of the facilities of a public office for the purpose of assisting a campaign under RCW ((42.17.130)) 42.52.180.

The house of representatives and senate shall specifically limit expenditures per member for the total cost of mailings, including but not limited to production costs, printing costs, and postage."

Renumber remaining sections consecutively and correct internal references.

On page 44, after line 12, insert the following:

"Sec. 27. RCW 42.17.160 and 1982 c 147 s 12 are each amended to read as follows:

The following persons and activities shall be exempt from registration and reporting under RCW 42.17.150, 42.17.170, and 42.17.200:

(1) Persons who limit their lobbying activities to appearing before public sessions of committees of the legislature, or public hearings of state agencies;

(2) Activities by lobbyists or other persons whose participation has been solicited by an agency under RCW 34.05.310(2);

(((5))) (6) The governor;

(((6))) (7) The lieutenant governor;

(((7))) (8) Except as provided by RCW 42.17.190(1), members of the legislature;

(((9))) (10) Elected officials, and officers and employees of any agency reporting under RCW 42.17.190(4) as now or hereafter amended.

Sec. 28. RCW 42.17.170 and 1991 sp.s. c 18 s 2 are each amended to read as follows:

(1) Any lobbyist registered under RCW 42.17.150 and any person who lobbies shall file with the commission periodic reports of his or her activities signed by the lobbyist. The reports shall be made in the form and manner prescribed by the commission. They shall be due monthly and shall be filed within fifteen days after the last day of the calendar month covered by the report.