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TWENTY-NINTH DAY
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MORNING SESSION
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Senate Chamber, Olympia, Monday, February 5, 1996
The Senate was called to order at 9:00 a.m. by President Pro Tempore Wojahn. The Secretary called the roll and announced to the President Pro Tempore that all Senators were present except Senators Bauer, Cantu, Drew, Hargrove, Heavey, Kohl, McCaslin, McDonald, Moyer, Owen and Sutherland. On motion of Senator Thibaudeau, Senators Bauer, Drew, Hargrove, Heavey and Kohl were excused. On motion of Senator Anderson, Senators Cantu, McCaslin, McDonald and Moyer were excused.
The Sergeant at Arms Color Guard, consisting of Pages Brita Halverson and Carlyn Hagen, presented the Colors. Reverend Rich Leatherberry, pastor of the North Creek Presbyterian Church in Mill Creek, and a guest of Senator Gary Strannigan, 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.
MESSAGES FROM THE GOVERNOR
GUBERNATORIAL APPOINTMENTS
January 31, 1996
TO THE HONORABLE, THE SENATE OF THE STATE OF WASHINGTON
Ladies and Gentlemen:
I have the honor to submit the following appointment, subject to you confirmation.
Fred D. Bertrand, appointed January 31, 1996, for a term ending September 30, 2000, as a member of the Board of Trustees for Wenatchee Valley Community College District No. 15.
Sincerely,
MIKE LOWRY, Governor
Referred to Committee on Higher Education.
January 31, 1996
TO THE HONORABLE, THE SENATE OF THE STATE OF WASHINGTON
Ladies and Gentlemen:
I have the honor to submit the following reappointment, subject to you confirmation.
Senator Harriet A. Spanel, reappointed January 31, 1996, for a term ending June 12, 1999, as a member of the Pacific Marine Fisheries Commission.
Sincerely,
MIKE LOWRY, Governor
Referred to Committee on Natural Resources.
January 31, 1996
TO THE HONORABLE, THE SENATE OF THE STATE OF WASHINGTON
Ladies and Gentlemen:
I have the honor to submit the following reappointment, subject to you confirmation.
Senator Dean Sutherland, reappointed January 31, 1996, for a term ending June 12, 1999, as a member of the Pacific Marine Fisheries Commission.
Sincerely,
MIKE LOWRY, Governor
Referred to Committee on Natural Resources.
INTRODUCTION AND FIRST READING
SB 6766 by Senator Thibaudeau
AN ACT Relating to treatment of persons with mental illness; amending RCW 71.05.010, 71.05.050, 71.05.150, 71.05.200, 71.05.280, 71.05.320, and 71.05.340; and reenacting and amending RCW 71.05.020.
Referred to Committee on Human Services and Corrections.
SB 6767 by Senators Rinehart and West
AN ACT Relating to establishing procedures for compensation modifications for state employees under chapter 41.06 RCW; amending RCW 41.06.150, 41.06.070, and 41.06.500; and adding a new section to chapter 41.06 RCW.
Referred to Committee on Ways and Means.
SB 6768 by Senator Haugen
AN ACT Relating to services by a regional transit authority to adjacent counties; and amending RCW 81.112.080.
Referred to Committee on Transportation.
SECOND READING
CONFIRMATION OF GUBERNATORIAL APPOINTMENTS
MOTION
On motion of Senator Prentice, Gubernatorial Appointment No. 9181, Aubrey Davis, as a member of the Transportation Commission, was confirmed.
APPOINTMENT OF AUBREY DAVIS
The Secretary called the roll. The appointment was confirmed by the following vote: Yeas, 38; Nays, 0; Absent, 2; Excused, 9.
Voting yea: Senators Anderson, A., Deccio, Fairley, Finkbeiner, Franklin, Fraser, Goings, Hale, Haugen, Hochstatter, Johnson, Long, Loveland, McAuliffe, Morton, Newhouse, Oke, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Swecker, Thibaudeau, West, Winsley, Wojahn, Wood and Zarelli - 38.
Absent: Senators Owen and Sutherland - 2.
Excused: Senators Bauer, Cantu, Drew, Hargrove, Heavey, Kohl, McCaslin, McDonald and Moyer - 9.
MOTION
On motion of Senator Spanel, Gubernatorial Appointment No. 9208, Art Runestrand, as a member of the Board of Trustees for Bellingham Technical College District No. 25, was confirmed.
MOTION
On motion of Senator Thibaudeau, Senators Owen and Sutherland were excused.
APPOINTMENT OF ART RUNESTRAND
The Secretary called the roll. The appointment was confirmed by the following vote: Yeas, 41; Nays, 0; Absent, 0; Excused, 8.
Voting yea: Senators Anderson, A., Bauer, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Goings, Hale, Haugen, Hochstatter, Johnson, Long, Loveland, McAuliffe, McDonald, Morton, Newhouse, Oke, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Swecker, Thibaudeau, West, Winsley, Wojahn, Wood and Zarelli - 41.
Excused: Senators Cantu, Hargrove, Heavey, Kohl, McCaslin, Moyer, Owen and Sutherland - 8.
MOTION
On motion of Senator Prentice, Gubernatorial Appointment No. 9203, Karen Keiser, as a member of the Board of Trustees for Highline Community College District No. 9, was confirmed.
APPOINTMENT OF KAREN KEISER
The Secretary called the roll. The appointment was confirmed by the following vote: Yeas, 41; Nays, 0; Absent, 0; Excused, 8.
Voting yea: Senators Anderson, A., Bauer, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Goings, Hale, Haugen, Hochstatter, Johnson, Long, Loveland, McAuliffe, McDonald, Morton, Newhouse, Oke, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Swecker, Thibaudeau, West, Winsley, Wojahn, Wood and Zarelli - 41.
Excused: Senators Cantu, Hargrove, Heavey, Kohl, McCaslin, Moyer, Owen and Sutherland - 8.
MOTION
At 9:24 a.m., on motion of Senator Spanel, the Senate was declared to be at ease.
The Senate was called to order at 10:37 a.m. by President Pro Tempore Wojahn.
SECOND READING
SENATE BILL NO. 6158, by Senators Hargrove, Long and Schow (by request of Department of Corrections)
Authorizing the department of corrections to intercept, record, and divulge electronically monitored inmate conversations.
MOTIONS
On motion of Senator Hargrove, Substitute Senate Bill No. 6158 was substituted for Senate Bill No. 6158 and the substitute bill was placed on second reading and read the second time.
On motion of Senator Hargrove, the rules were suspended, Substitute Senate Bill No. 6158 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. 6158.
ROLL CALL
The Secretary called the roll on the final passage of Substitute Senate Bill No. 6158 and the bill passed the Senate by the following vote: Yeas, 46; Nays, 1; Absent, 1; Excused, 1.
Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Finkbeiner, Franklin, Fraser, Goings, Hale, Hargrove, Haugen, Heavey, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Swecker, Thibaudeau, West, Winsley, Wojahn, Wood and Zarelli - 46.
Voting nay: Senator Fairley - 1.
Absent: Senator Hochstatter - 1.
Excused: Senator Sutherland - 1.
SUBSTITUTE SENATE BILL NO. 6158, 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 Morton, Senator Hochstatter was excused.
SECOND READING
ENGROSSED SENATE CONCURRENT RESOLUTION NO. 8404, by Senators Kohl, Gaspard, Pelz, Winsley, Franklin, Snyder, Sutherland, Haugen, Sheldon, Prentice, Deccio, C. Anderson and Bauer
Establishing a joint select committee on fire suppression.
MOTIONS
On motion of Senator Kohl, Substitute Senate Concurrent Resolution No. 8404 was substituted for Engrossed Senate Concurrent Resolution No. 8404 and the substitute concurrent resolution was placed on second reading and read the second time.
On motion of Senator Kohl, the rules were suspended, Substitute Senate Concurrent Resolution No. 8404 was advanced to third reading, the second reading considered the third and the concurrent resolution 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 Concurrent Resolution No. 8404.
ROLL CALL
The Secretary called the roll on the final passage of Substitute Senate Concurrent Resolution No. 8404 and the concurrent resolution passed the Senate by the following vote: Yeas, 42; Nays, 5; Absent, 0; Excused, 2.
Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Franklin, Fraser, Goings, Hale, Hargrove, Haugen, Heavey, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Moyer, Newhouse, Oke, Owen, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Swecker, Thibaudeau, West, Winsley, Wojahn and Wood - 42.
Voting nay: Senators Finkbeiner, Johnson, Morton, Schow and Zarelli - 5.
Excused: Senators Hochstatter and Sutherland - 2.
SUBSTITUTE SENATE CONCURRENT RESOLUTION NO. 8404, having received the constitutional majority, was declared passed.
SECOND READING
SENATE BILL NO. 6217, by Senators Johnson and McAuliffe (by request of Board of Education)
Changing requirements for admission to teacher preparation programs.
The bill was read the second time.
MOTION
On motion of Senator Johnson, the rules were suspended, Senate Bill No. 6217 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 Senate Bill No. 6217.
ROLL CALL
The Secretary called the roll on the final passage of Senate Bill No. 6217 and the bill passed the Senate by the following vote: Yeas, 47; Nays, 0; Absent, 0; Excused, 2.
Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Goings, Hale, Hargrove, Haugen, Heavey, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Swecker, Thibaudeau, West, Winsley, Wojahn, Wood and Zarelli - 47.
Excused: Senators Hochstatter and Sutherland - 2.
SENATE BILL NO. 6217, 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. 6172, by Senators Haugen, Morton, Drew and Oke
Establishing a ten dollar fee for all duplicate licenses, rebates, permits, tags, and stamps issued at one time.
MOTIONS
On motion of Senator Drew, Substitute Senate Bill No. 6172 was substituted for Senate Bill No. 6172 and the substitute bill was placed on second reading and read the second time.
On motion of Senator Drew, the rules were suspended, Substitute Senate Bill No. 6172 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. 6172.
ROLL CALL
The Secretary called the roll on the final passage of Substitute Senate Bill No. 6172 and the bill passed the Senate by the following vote: Yeas, 47; Nays, 0; Absent, 0; Excused, 2.
Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Goings, Hale, Hargrove, Haugen, Heavey, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Swecker, Thibaudeau, West, Winsley, Wojahn, Wood and Zarelli - 47.
Excused: Senators Hochstatter and Sutherland - 2.
SUBSTITUTE SENATE BILL NO. 6172, 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. 6171, by Senators Oke, Haugen, McCaslin and Winsley
Eliminating primary elections for certain special purpose district commissioners.
The bill was read the second time.
MOTION
On motion of Senator Haugen, the rules were suspended, Senate Bill No. 6171 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. 6171.
ROLL CALL
The Secretary called the roll on the final passage of Senate Bill No. 6171 and the bill passed the Senate by the following vote: Yeas, 47; Nays, 0; Absent, 0; Excused, 2.
Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Goings, Hale, Hargrove, Haugen, Heavey, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Swecker, Thibaudeau, West, Winsley, Wojahn, Wood and Zarelli - 47.
Excused: Senators Hochstatter and Sutherland - 2.
SENATE BILL NO. 6171, 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. 6182, by Senators Owen, Prentice, Smith, Goings, Winsley, Schow and Oke
Increasing penalties for crimes involving methamphetamine.
MOTIONS
On motion of Senator Smith, Substitute Senate Bill No. 6182 was substituted for Senate Bill No. 6182 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. 6182 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 Substitute Senate Bill No. 6182.
ROLL CALL
The Secretary called the roll on the final passage of Substitute Senate Bill No. 6182 and the bill passed the Senate by the following vote: Yeas, 48; Nays, 0; Absent, 0; Excused, 1.
Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Goings, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Swecker, Thibaudeau, West, Winsley, Wojahn, Wood and Zarelli - 48.
Excused: Senator Sutherland - 1.
SUBSTITUTE SENATE BILL NO. 6182, 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. 6154, by Senators Bauer, Long, Fraser, Winsley and Roach (by request of Joint Committee on Pension Policy)
Creating a retirement option for certain fire fighters.
MOTIONS
On motion of Senator Bauer, Substitute Senate Bill No. 6154 was substituted for Senate Bill No. 6154 and the substitute bill was placed on second reading and read the second time.
On motion of Senator Bauer, the rules were suspended, Substitute Senate Bill No. 6154 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. 6154.
ROLL CALL
The Secretary called the roll on the final passage of Substitute Senate Bill No. 6154 and the bill passed the Senate by the following vote: Yeas, 48; Nays, 0; Absent, 0; Excused, 1.
Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Goings, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Swecker, Thibaudeau, West, Winsley, Wojahn, Wood and Zarelli - 48.
Excused: Senator Sutherland - 1.
SUBSTITUTE SENATE BILL NO. 6154, 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. 6110, by Senators Haugen, Loveland, Owen, Smith, Thibaudeau and Bauer
Providing moneys for the death investigations account.
The bill was read the second time.
MOTION
On motion of Senator Rinehart, the rules were suspended, Senate Bill No. 6110 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 Senate Bill No. 6110.
ROLL CALL
The Secretary called the roll on the final passage of Senate Bill No. 6110 and the bill passed the Senate by the following vote: Yeas, 42; Nays, 6; Absent, 0; Excused, 1.
Voting yea: Senators Anderson, A., Bauer, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Goings, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Oke, Owen, Prentice, Prince, Quigley, Rasmussen, Rinehart, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Swecker, Thibaudeau, West, Winsley, Wojahn and Wood - 42.
Voting nay: Senators Cantu, Newhouse, Pelz, Roach, Schow and Zarelli - 6.
Excused: Senator Sutherland - 1.
SENATE BILL NO. 6110, 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. 6233, by Senators Long and Oke (by request of Department of Retirement Systems)
Determining retirement system service credit for military service.
The bill was read the second time.
MOTION
On motion of Senator Loveland, the rules were suspended, Senate Bill No. 6233 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 Senate Bill No. 6233.
ROLL CALL
The Secretary called the roll on the final passage of Senate Bill No. 6233 and the bill passed the Senate by the following vote: Yeas, 46; Nays, 0; Absent, 2; Excused, 1.
Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Franklin, Fraser, Goings, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, Morton, Moyer, Newhouse, Oke, Owen, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Swecker, Thibaudeau, West, Winsley, Wojahn, Wood and Zarelli - 46.
Absent: Senators Finkbeiner and McDonald - 2.
Excused: Senator Sutherland - 1.
SENATE BILL NO. 6233, 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. 6237, by Senators Prince, Owen, Wood and Prentice
Permitting the use of certain wireless communications and computer equipment in vehicles.
MOTIONS
On motion of Senator Owen, Substitute Senate Bill No. 6237 was substituted for Senate Bill No. 6237 and the substitute bill was placed on second reading and read the second time.
On motion of Senator Owen, the rules were suspended, Substitute Senate Bill No. 6237 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 Anderson, Senator Moyer was excused.
The President Pro Tempore declared the question before the Senate to be the roll call on the final passage of Substitute Senate Bill No. 6237.
ROLL CALL
The Secretary called the roll on the final passage of Substitute Senate Bill No. 6237 and the bill passed the Senate by the following vote: Yeas, 47; Nays, 0; Absent, 0; Excused, 2.
Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Goings, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Newhouse, Oke, Owen, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Swecker, Thibaudeau, West, Winsley, Wojahn, Wood and Zarelli - 47.
Excused: Senators Moyer and Sutherland - 2.
SUBSTITUTE SENATE BILL NO. 6237, 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. 6241, by Senators Sellar and Snyder
Allowing certain towns to maintain hotel/motel taxes for tourism promotion.
MOTIONS
On motion of Senator Rinehart, Substitute Senate Bill No. 6241 was substituted for Senate Bill No. 6241 and the substitute bill was placed on second reading and read the second time.
On motion of Senator Haugen, the following amendment by Senators Haugen, Sellar and Spanel was adopted:
On page 2, after line 9, insert the following:
"NEW SECTION. Sec. 2. A new section is added to chapter 67.28 RCW to read as follows:
(1) The legislative body of a city with a population of at least five hundred but less than one thousand in a county with a population of at least eighty thousand but less than one hundred fifteen thousand may levy and collect a special excise tax not to exceed two percent on the sale of or charge made for the furnishing of lodging by a hotel, rooming house, tourist court, motel, trailer camp, and the granting of a similar license to use real property, as distinguished from the renting or leasing of real property. For the purposes of this tax, it is presumed that the occupancy of real property for a continuous period of one month or more constitutes a rental or lease of real property and not a mere license to use or to enjoy the property.
(2) The tax authorized in subsection (1) of this section is in addition to any other tax authorized by law.
(3) A seller, as defined in RCW 82.08.010, who is required to collect a tax under this section, shall pay the tax to the city as provided in RCW 67.28.200. The deduction from state taxes under RCW 67.28.190 does not apply to taxes imposed under this section.
(4) The tax levied and collected under this section shall be credited to a special fund in the treasury of the city. The taxes may be levied only for the purpose of paying all or any part of the cost of acquisition, construction, or operation of a performing and visual arts center or to pay or secure the payment of all or any portion of general obligation bonds or revenue bonds issued for such purpose."
Renumber the sections consecutively and correct any internal references accordingly.
MOTION
On motion of Senator Rinehart, the rules were suspended, Engrossed Substitute Senate Bill No. 6241 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 Engrossed Substitute Senate Bill No. 6241.
ROLL CALL
The Secretary called the roll on the final passage of Engrossed Substitute Senate Bill No. 6241 and the bill passed the Senate by the following vote: Yeas, 48; Nays, 0; Absent, 0; Excused, 1.
Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Goings, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Swecker, Thibaudeau, West, Winsley, Wojahn, Wood and Zarelli - 48.
Excused: Senator Sutherland - 1.
ENGROSSED SUBSTITUTE SENATE BILL NO. 6241, 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. 6618, by Senators Snyder, McDonald, Rinehart and West
Measuring state fiscal conditions.
MOTIONS
On motion of Senator Rinehart, Substitute Senate Bill No. 6618 was substituted for Senate Bill No. 6618 and the substitute bill was placed on second reading and read the second time.
On motion of Senator Rinehart, the rules were suspended, Substitute Senate Bill No. 6618 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 Substitute Senate Bill No. 6618.
ROLL CALL
The Secretary called the roll on the final passage of Substitute Senate Bill No. 6618 and the bill passed the Senate by the following vote: Yeas, 47; Nays, 0; Absent, 1; Excused, 1.
Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Goings, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Swecker, Thibaudeau, West, Wojahn, Wood and Zarelli - 47.
Absent: Senator Winsley - 1.
Excused: Senator Sutherland - 1.
SUBSTITUTE SENATE BILL NO. 6618, 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. 6671, by Senators McDonald, Snyder, West, Rinehart, Loveland, Sellar, Oke and Kohl
Changing the name of the economic and revenue forecast council to the economic, revenue, and caseload forecast council, and amending its duties accordingly.
MOTIONS
On motion of Senator Rinehart, Substitute Senate Bill No. 6671 was substituted for Senate Bill No. 6671 and the substitute bill was placed on second reading and read the second time.
On motion of Senator Rinehart, the rules were suspended, Substitute Senate Bill No. 6671 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 Substitute Senate Bill No. 6671.
ROLL CALL
The Secretary called the roll on the final passage of Substitute Senate Bill No. 6671 and the bill passed the Senate by the following vote: Yeas, 47; Nays, 0; Absent, 1; Excused, 1.
Voting yea: Senators Anderson, A., Bauer, Cantu, Deccio, Drew, Fairley, Finkbeiner, Franklin, Fraser, Goings, Hale, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Swecker, Thibaudeau, West, Winsley, Wojahn, Wood and Zarelli - 47.
Absent: Senator Hargrove - 1.
Excused: Senator Sutherland - 1.
SUBSTITUTE SENATE BILL NO. 6671, 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. 6680, by Senators Snyder, McDonald, Loveland, Sellar, Rinehart, West, Strannigan, Quigley, Cantu, Oke, Winsley, Kohl, Long and Roach
Strengthening legislative review of agency performance.
MOTIONS
On motion of Senator Rinehart, Substitute Senate Bill No. 6680 was substituted for Senate Bill No. 6680 and the substitute bill was placed on second reading and read the second time.
Senator Strannigan moved that the following amendment by Senators Strannigan, McDonald, Snyder, Rinehart, West, Loveland, Cantu and Quigley be adopted:
Strike everything after the enacting clause and insert the following:
"NEW SECTION. Sec. 1. Public officials, public employees, legislators, and citizens recognize the need to review the value and relative priority of many programs throughout state government in the context of constantly changing conditions, limitations, and requirements for state government. They also share the objective of improving the performance of state agencies and programs, thereby increasing effectiveness and efficiency.
The legislature must become more effective in its role of directing public policy and ensuring the public accountability of state programs, managers, and employees. With the support of the legislature, the executive branch must implement practices and processes that will improve performance, accountability, and public confidence in state government. The governor and the legislature shall use results from the performance assessment processes established by this chapter in establishing state budget policy and priorities. The budget process must become an effective means of ensuring compliance with performance improvement requirements.
The purpose of this chapter is to ensure that all state agencies and programs have a valid and necessary mission and that the agencies have clearly defined performance objectives, quality objectives, and cost objectives that are appropriately balanced. Each agency and program should operate within a strategic plan that includes the mission of the agency or program, measurable goals, strategies, and performance measurement systems that are vital tools used for agency management, legislative budget and policy deliberations, and public accountability. State agencies should engage customers, taxpayers, employees, and the legislature in the development and redevelopment of these plans. The strategic plans should be the framework within which agencies continuously assess the value and relative priority of their various functions. In order to streamline state government and redirect resources more effectively, the legislature intends to begin a systematic, fundamental review of the functions of state programs.
In developing future legislation to create new programs and activities in state government, or redirect existing programs and activities, the legislature shall include in such legislation the specific purpose and measurable goals of the program or activity.
NEW SECTION. Sec. 2. The legislative committee on performance review is established.
(1) The thirteen-member committee consists of:
(a) The majority leader of the senate;
(b) The majority leader of the house of representatives;
(c) The minority leader of the senate;
(d) The minority leader of the house of representatives;
(e) The chair and ranking minority member of the senate ways and means committee;
(f) The chair and ranking minority member of the house of representatives appropriations committee;
(g) Four additional members, one each from the majority and minority caucuses of the senate and the house of representatives; and
(h) The lieutenant governor, who shall serve as a nonvoting member and chair of the committee.
(2) Members of the committee shall serve without additional compensation but shall be reimbursed for travel expenses in accordance with RCW 44.04.120 while attending meetings of the committee or any subcommittee or on other business authorized by the committee.
(3) An executive committee is established, consisting of the majority leader and minority leader of the senate and the majority leader and minority leader of the house of representatives. The function of the executive committee is to appoint the director of the legislative office of performance review. Approval by an affirmative vote of at least three members of the committee is required for decisions regarding employment of the director. Employment of the director terminates after each term of three years. At the end of the first year of each three-year term, the committee shall consider extension of the term by one year. However, at any time during the term of office, the employment of the director may be terminated by a unanimous vote of the executive committee. The executive committee shall set the salary of the director.
NEW SECTION. Sec. 3. (1) The director shall establish and manage a legislative office of performance review to carry out the functions described in this chapter.
(2) In consultation with the executive committee, the director may select and employ personnel necessary to carry out the purposes of this chapter. Salaries for employees of the legislative office of performance review, other than the director, shall be set with the approval of the executive committee, the secretary of the senate, and the chief clerk of the house of representatives.
(3) The director has primary responsibility for performance reviews of state agencies, programs, and activities. The director shall consult with the state auditor, the legislative auditor of the legislative budget committee, and the director of financial management in the conduct of performance reviews. The director shall also consult with the chairs and staff of the appropriate legislative standing committees.
NEW SECTION. Sec. 4. (1) Performance reviews under this chapter shall include a rethinking of the programs and functions of state agencies to assess whether or not they have a vital purpose or valid mission, and to assess the results being attained. The director shall work to involve frontline employees, agency and program managers, customers of the program or service, other taxpayers, legislators, legislative staff, office of financial management staff, and other external public and private sector experts as deemed appropriate in conducting performance reviews. The director shall, as necessary, contract with experts from either the private or public sector to assist in performance reviews.
(2) In preparation for a performance review, a state agency shall identify each of its discrete functions or activities, along with associated costs and full-time equivalent staff, as requested by the director. In reviewing the agency or program, the director shall identify those activities and programs that should be strengthened, those that should be abandoned, and those that need to be redirected or other alternatives explored. The review should consider: (a) Whether or not the purpose for which the agency or program was created is still valid based on the circumstances under which the program was created versus those that exist at the time of the review; (b) the extent to which the particular activity or function is specifically authorized in statute or is consistent with statutory direction and intent; (c) whether or not the agency or program is achieving the results for which it was established; (d) alternatives for delivering the program or service, either in the public or private sector; (e) duplication of services with other government programs or private enterprises or gaps in services; (f) the relative priority of the program among the agency's functions; (g) costs or implications of not performing the function; (h) citizen's individual responsibilities and freedoms; (i) whether or not the mission of the agency or program is attainable considering the effect of factors and circumstances beyond the control of the agency; (j) the frequency with which other states perform similar functions, as well as their relative funding levels and performance; and (k) in the event of inadequate performance by the program, the potential for a workable, affordable plan to improve performance.
(3) Performance reviews must also determine the existence and utility of an agency or program strategic plan that includes a concise statement of the agency's or program's mission, a vision for future direction, measurable goals and objectives, and clear strategies and specific timelines to achieve them. The director shall determine the extent to which the plan: (a) Forms the basis of agency management practices and continuous process reevaluation and improvement; (b) can be used to clearly identify and prioritize agency functions; (c) provides a valuable basis for legislative policy and budget deliberations; (d) is used to ensure accountability of employees, particularly managers, for achieving program goals, and is a primary consideration in retention and promotion of staff; (e) is used to assess the quality and effectiveness of the agency's programs and activities; (f) appropriately balances cost objectives, quality objectives, and performance objectives; and (g) is useful in demonstrating public accountability. The agency strategic plan shall provide for periodic self-assessment by the agency to determine whether the agency is achieving the goals and objectives of its programs. Where self-assessments have been completed by an agency, the assessments must be incorporated into a performance review conducted under this chapter.
(4) In reviewing an agency or program, the director shall also identify, to the extent possible, the causes of any failure to achieve desired results and identify alternatives for reducing costs or improving service delivery, including transferring functions to other public or private sector organizations.
(5) If the state agency or program being reviewed has not identified acceptable organizations or programs in the public or private sector to be used as benchmarks against which to measure its performance, the director shall conduct a review sufficient to recommend such benchmarks to the agency, the governor, and the legislature.
(6) As a part of each performance review and in consultation with the director of the agency being reviewed and the director of financial management, the director of the legislative office of performance review shall develop recommendations regarding statutes that inhibit or do not contribute to the agency's ability to perform its functions effectively and efficiently.
(7) Based on the information and conclusions compiled from the work required in subsections (1) through (6) of this section, the director shall develop an advisory recommendation for the governor and the legislature regarding whether an agency, programs of an agency, or activities within an agency should be continued, abandoned, or restructured.
NEW SECTION. Sec. 5. Before the completion of each legislative session and in conjunction with development of the final omnibus appropriations act, the legislative committee on performance review shall approve a performance review plan for the next twelve to fifteen months. The performance review plan must include a schedule of agencies, programs, or activities for which performance reviews will be initiated during that period. The plan must also include anticipated performance review revolving fund charges to each individual agency scheduled for review. Appropriations for scheduled agencies shall be adjusted in the omnibus appropriations act to reflect the anticipated charges. For each performance review included, the plan must identify the role of the legislative office of performance review and the state auditor, as well as the need to contract for additional public or private sector expertise. In preparing a draft plan for consideration by the committee, the director shall consult with the state auditor, the chair and staff of the legislative budget committee, the director of financial management, and the chairs and staff of appropriate legislative standing committees. The committee shall meet quarterly to review progress on the plan and, if necessary, revise the plan.
NEW SECTION. Sec. 6. When the director has completed a performance review and before public release of the findings, the affected agency and the office of financial management may respond to the review. The director shall incorporate the agency's and the office of financial management's response into the final report. The legislative committee on performance review may also review and comment on the director's findings. The director shall include the comments of the committee in the final report as a separate addendum. Final reports of findings of the director from agency and program performance reviews must be transmitted to the agency, the director of financial management, and appropriate legislative committees and must be made available for public review.
NEW SECTION. Sec. 7. The performance review revolving fund is established in the state treasury. Expenditures from the fund may be spent only by appropriation. The fund is established to assist in recovering the costs of performance reviews from the audited agency or program. Subject to appropriation, the director shall assess agencies all or a portion of the cost of performance reviews.
The cost of performance reviews includes all direct and indirect costs and other expenses incurred by the director in fulfilling his or her statutory responsibilities.
Costs of the reviews may also be paid from other funds appropriated to the legislative office of performance review.
NEW SECTION. Sec. 8. To ensure the accuracy and timeliness of information used as the basis for performance reviews and other responsibilities of the legislature, the director shall be provided direct and unrestricted access to information held by any state agency. Agencies shall submit directly to the legislative office of performance review, on a confidential basis, all data and other information requested, including tax records and client data.
Sec. 9. RCW 43.88.030 and 1994 c 247 s 7 and 1994 c 219 s 2 are each reenacted and amended to read as follows:
(1) The director of financial management shall provide all agencies with a complete set of instructions for submitting biennial budget requests to the director at least three months before agency budget documents are due into the office of financial management. The director shall provide agencies that are required under RCW 44.40.070 to develop comprehensive six-year program and financial plans with a complete set of instructions for submitting these program and financial plans at the same time that instructions for submitting other budget requests are provided. The budget document or documents shall consist of the governor's budget message which shall be explanatory of the budget and shall contain an outline of the proposed financial policies of the state for the ensuing fiscal period, as well as an outline of the proposed six-year financial policies where applicable, and shall describe in connection therewith the important features of the budget. The message shall set forth the reasons for salient changes from the previous fiscal period in expenditure and revenue items and shall explain any major changes in financial policy. Attached to the budget message shall be such supporting schedules, exhibits and other explanatory material in respect to both current operations and capital improvements as the governor shall deem to be useful to the legislature. The budget document or documents shall set forth a proposal for expenditures in the ensuing fiscal period, or six-year period where applicable, based upon the estimated revenues as approved by the economic and revenue forecast council or upon the estimated revenues of the office of financial management for those funds, accounts, and sources for which the office of the economic and revenue forecast council does not prepare an official forecast, including those revenues anticipated to support the six-year programs and financial plans under RCW 44.40.070. In estimating revenues to support financial plans under RCW 44.40.070, the office of financial management shall rely on information and advice from the interagency revenue task force. Revenues shall be estimated for such fiscal period from the source and at the rates existing by law at the time of submission of the budget document, including the supplemental budgets submitted in the even-numbered years of a biennium. However, the estimated revenues for use in the governor's budget document may be adjusted to reflect budgetary revenue transfers and revenue estimates dependent upon budgetary assumptions of enrollments, workloads, and caseloads. All adjustments to the approved estimated revenues must be set forth in the budget document. The governor may additionally submit, as an appendix to each supplemental, biennial, or six-year agency budget or to the budget document or documents, a proposal for expenditures in the ensuing fiscal period from revenue sources derived from proposed changes in existing statutes.
Supplemental and biennial documents shall reflect a six-year expenditure plan consistent with estimated revenues from existing sources and at existing rates for those agencies required to submit six-year program and financial plans under RCW 44.40.070. Any additional revenue resulting from proposed changes to existing statutes shall be separately identified within the document as well as related expenditures for the six-year period.
The budget document or documents shall also contain:
(a) Revenues classified by fund and source for the immediately past fiscal period, those received or anticipated for the current fiscal period, those anticipated for the ensuing biennium, and those anticipated for the ensuing six-year period to support the six-year programs and financial plans required under RCW 44.40.070;
(b) The undesignated fund balance or deficit, by fund;
(c) Such additional information dealing with expenditures, revenues, workload, performance, and personnel as the legislature may direct by law or concurrent resolution;
(d) Such additional information dealing with revenues and expenditures as the governor shall deem pertinent and useful to the legislature;
(e) Tabulations showing expenditures classified by fund, function, activity and object;
(f) A delineation of each agency's activities, including those activities funded from nonbudgeted, nonappropriated sources, including funds maintained outside the state treasury;
(g) Identification of all proposed direct expenditures to implement the Puget Sound water quality plan under chapter 90.70 RCW, shown by agency and in total; and
(h) Tabulations showing each postretirement adjustment by retirement system established after fiscal year 1991, to include, but not be limited to, estimated total payments made to the end of the previous biennial period, estimated payments for the present biennium, and estimated payments for the ensuing biennium.
(2) The budget document or documents shall include detailed estimates of all anticipated revenues applicable to proposed operating or capital expenditures and shall also include all proposed operating or capital expenditures. The total of beginning undesignated fund balance and estimated revenues less working capital and other reserves shall equal or exceed the total of proposed applicable expenditures. The budget document or documents shall further include:
(a) Interest, amortization and redemption charges on the state debt;
(b) Payments of all reliefs, judgments and claims;
(c) Other statutory expenditures;
(d) Expenditures incident to the operation for each agency;
(e) Revenues derived from agency operations;
(f) Expenditures and revenues shall be given in comparative form showing those incurred or received for the immediately past fiscal period and those anticipated for the current biennium and next ensuing biennium, as well as those required to support the six-year programs and financial plans required under RCW 44.40.070;
(g) A showing and explanation of amounts of general fund and other funds obligations for debt service and any transfers of moneys that otherwise would have been available for appropriation;
(h) Common school expenditures on a fiscal-year basis;
(i) A showing, by agency, of the value and purpose of financing contracts for the lease/purchase or acquisition of personal or real property for the current and ensuing fiscal periods; ((and))
(j) A showing and explanation of anticipated amounts of general fund and other funds required to amortize the unfunded actuarial accrued liability of the retirement system specified under chapter 41.45 RCW, and the contributions to meet such amortization, stated in total dollars and as a level percentage of total compensation; and
(k) For each agency, a description of the findings and recommendations of any applicable review by the legislative office of performance review conducted during the prior fiscal period. The budget document must describe the potential costs and savings associated with implementing the findings and recommendations, including any recommendations for program eliminations and alternative delivery methods.
(3) A separate capital budget document or schedule shall be submitted that will contain the following:
(a) A statement setting forth a long-range facilities plan for the state that identifies and includes the highest priority needs within affordable spending levels;
(b) A capital program consisting of proposed capital projects for the next biennium and the two biennia succeeding the next biennium consistent with the long-range facilities plan. Insomuch as is practical, and recognizing emergent needs, the capital program shall reflect the priorities, projects, and spending levels proposed in previously submitted capital budget documents in order to provide a reliable long-range planning tool for the legislature and state agencies;
(c) A capital plan consisting of proposed capital spending for at least four biennia succeeding the next biennium;
(d) A statement of the reason or purpose for a project;
(e) Verification that a project is consistent with the provisions set forth in chapter 36.70A RCW;
(f) A statement about the proposed site, size, and estimated life of the project, if applicable;
(g) Estimated total project cost;
(h) For major projects valued over five million dollars, estimated costs for the following project components: Acquisition, consultant services, construction, equipment, project management, and other costs included as part of the project. Project component costs shall be displayed in a standard format defined by the office of financial management to allow comparisons between projects;
(i) Estimated total project cost for each phase of the project as defined by the office of financial management;
(j) Estimated ensuing biennium costs;
(k) Estimated costs beyond the ensuing biennium;
(l) Estimated construction start and completion dates;
(m) Source and type of funds proposed;
(n) Estimated ongoing operating budget costs or savings resulting from the project, including staffing and maintenance costs;
(o) For any capital appropriation requested for a state agency for the acquisition of land or the capital improvement of land in which the primary purpose of the acquisition or improvement is recreation or wildlife habitat conservation, the capital budget document, or an omnibus list of recreation and habitat acquisitions provided with the governor's budget document, shall identify the projected costs of operation and maintenance for at least the two biennia succeeding the next biennium. Omnibus lists of habitat and recreation land acquisitions shall include individual project cost estimates for operation and maintenance as well as a total for all state projects included in the list. The document shall identify the source of funds from which the operation and maintenance costs are proposed to be funded;
(p) Such other information bearing upon capital projects as the governor deems to be useful;
(q) Standard terms, including a standard and uniform definition of maintenance for all capital projects;
(r) Such other information as the legislature may direct by law or concurrent resolution.
For purposes of this subsection (3), the term "capital project" shall be defined subsequent to the analysis, findings, and recommendations of a joint committee comprised of representatives from the house capital appropriations committee, senate ways and means committee, legislative transportation committee, legislative evaluation and accountability program committee, and office of financial management.
(4) No change affecting the comparability of agency or program information relating to expenditures, revenues, workload, performance and personnel shall be made in the format of any budget document or report presented to the legislature under this section or RCW 43.88.160(1) relative to the format of the budget document or report which was presented to the previous regular session of the legislature during an odd-numbered year without prior legislative concurrence. Prior legislative concurrence shall consist of (a) a favorable majority vote on the proposal by the standing committees on ways and means of both houses if the legislature is in session or (b) a favorable majority vote on the proposal by members of the legislative evaluation and accountability program committee if the legislature is not in session.
Sec. 10. RCW 43.88.090 and 1994 c 184 s 10 are each amended to read as follows:
(1) For purposes of developing budget proposals to the legislature, the governor shall have the power, and it shall be the governor's duty, to require from proper agency officials such detailed estimates and other information in such form and at such times as the governor shall direct. The estimates for the legislature and the judiciary shall be transmitted to the governor and shall be included in the budget without revision. The estimates for state pension contributions shall be based on the rates provided in chapter 41.45 RCW. Copies of all such estimates shall be transmitted to the standing committees on ways and means of the house and senate at the same time as they are filed with the governor and the office of financial management.
The estimates shall include statements or tables which indicate, by agency, the state funds which are required for the receipt of federal matching revenues. The estimates shall be revised as necessary to reflect legislative enactments and adopted appropriations and shall be included with the initial biennial allotment submitted under RCW 43.88.110.
(2) Each state agency shall define its mission and establish measurable goals for achieving desirable results for those who receive its services and the taxpayers who pay for those services. Each agency shall also develop clear strategies and timelines to achieve its goals. This section does not require an agency to develop a new mission or goals in place of identifiable missions or goals that meet the intent of this section. The mission and goals of each agency must conform to statutory direction and limitations.
(3) For the purpose of assessing program performance, each state agency shall establish program objectives for each major program in its budget. The objectives must be consistent with the missions and goals developed under this section. The objectives must be expressed to the extent practicable in outcome-based, objective, and measurable form unless an exception to adopt a different standard is granted by the office of financial management and approved by the legislative committee on performance review. The office of financial management shall provide necessary professional and technical assistance to assist state agencies in the development of strategic plans that include the mission of the agency and its programs, measurable goals, strategies, and performance measurement systems.
(4) Each state agency shall adopt procedures for continuous self-assessment of each program and activity, using the mission, goals, objectives, and measurements required under subsections (2) and (3) of this section.
(5) It is the policy of the legislature that each agency's budget proposals must be directly linked to the agency's stated mission and program goals and objectives. Consistent with this policy, agency budget proposals must include integration of performance measures that allow objective determination of a program's success in achieving its goals. The office of financial management shall develop a plan to merge the budget development process with agency performance assessment procedures. The plan must include a schedule to integrate agency strategic plans and performance measures into agency budget requests and the governor's budget proposal over three fiscal biennia. The plan must identify those agencies that will implement the revised budget process in the 1997-1999 biennium, the 1999-2001 biennium, and the 2001-2003 biennium. In consultation with the legislative fiscal committees, the office of financial management shall recommend statutory and procedural modifications to the state's budget, accounting, and reporting systems to facilitate the performance assessment procedures and the merger of those procedures with the state budget process. The plan and recommended statutory and procedural modifications must be submitted to the legislative fiscal committees by September 30, 1996.
(6) In the year of the gubernatorial election, the governor shall invite the governor-elect or the governor-elect's designee to attend all hearings provided in RCW 43.88.100; and the governor shall furnish the governor-elect or the governor-elect's designee with such information as will enable the governor-elect or the governor-elect's designee to gain an understanding of the state's budget requirements. The governor-elect or the governor-elect's designee may ask such questions during the hearings and require such information as the governor-elect or the governor-elect's designee deems necessary and may make recommendations in connection with any item of the budget which, with the governor-elect's reasons therefor, shall be presented to the legislature in writing with the budget document. Copies of all such estimates and other required information shall also be submitted to the standing committees on ways and means of the house and senate.
Sec. 11. RCW 43.88.160 and 1994 c 184 s 11 are each amended to read as follows:
This section sets forth the major fiscal duties and responsibilities of officers and agencies of the executive branch. The regulations issued by the governor pursuant to this chapter shall provide for a comprehensive, orderly basis for fiscal management and control, including efficient accounting and reporting therefor, for the executive branch of the state government and may include, in addition, such requirements as will generally promote more efficient public management in the state.
(1) Governor; director of financial management. The governor, through the director of financial management, shall devise and supervise a modern and complete accounting system for each agency to the end that all revenues, expenditures, receipts, disbursements, resources, and obligations of the state shall be properly and systematically accounted for. The accounting system shall include the development of accurate, timely records and reports of all financial affairs of the state. The system shall also provide for central accounts in the office of financial management at the level of detail deemed necessary by the director to perform central financial management. The director of financial management shall adopt and periodically update an accounting procedures manual. Any agency maintaining its own accounting and reporting system shall comply with the updated accounting procedures manual and the rules of the director adopted under this chapter. An agency may receive a waiver from complying with this requirement if the waiver is approved by the director. Waivers expire at the end of the fiscal biennium for which they are granted. The director shall forward notice of waivers granted to the appropriate legislative fiscal committees. The director of financial management may require such financial, statistical, and other reports as the director deems necessary from all agencies covering any period.
(2) The director of financial management is responsible for quarterly reporting of primary operating budget drivers such as applicable workloads, caseload estimates, and appropriate unit cost data. These reports shall be transmitted to the legislative fiscal committees or by electronic means to the legislative evaluation and accountability program committee. Quarterly reports shall include actual monthly data and the variance between actual and estimated data to date. The reports shall also include estimates of these items for the remainder of the budget period.
(3) The director of financial management shall report at least annually to the appropriate legislative committees regarding the status of all appropriated capital projects, including transportation projects, showing significant cost overruns or underruns. If funds are shifted from one project to another, the office of financial management shall also reflect this in the annual variance report. Once a project is complete, the report shall provide a final summary showing estimated start and completion dates of each project phase compared to actual dates, estimated costs of each project phase compared to actual costs, and whether or not there are any outstanding liabilities or unsettled claims at the time of completion.
(4) In addition, the director of financial management, as agent of the governor, shall:
(a) Develop and maintain a system of internal controls and internal audits comprising methods and procedures to be adopted by each agency that will safeguard its assets, check the accuracy and reliability of its accounting data, promote operational efficiency, and encourage adherence to prescribed managerial policies for accounting and financial controls. The system developed by the director shall include criteria for determining the scope and comprehensiveness of internal controls required by classes of agencies, depending on the level of resources at risk.
Each agency head or authorized designee shall be assigned the responsibility and authority for establishing and maintaining internal audits following the standards of internal auditing of the institute of internal auditors;
(b) Make surveys and analyses of agencies with the object of determining better methods and increased effectiveness in the use of manpower and materials; and the director shall authorize expenditures for employee training to the end that the state may benefit from training facilities made available to state employees;
(c) Establish policies for allowing the contracting of child care services;
(d) Report to the governor with regard to duplication of effort or lack of coordination among agencies;
(e) Review any pay and classification plans, and changes thereunder, developed by any agency for their fiscal impact: PROVIDED, That none of the provisions of this subsection shall affect merit systems of personnel management now existing or hereafter established by statute relating to the fixing of qualifications requirements for recruitment, appointment, or promotion of employees of any agency. The director shall advise and confer with agencies including appropriate standing committees of the legislature as may be designated by the speaker of the house and the president of the senate regarding the fiscal impact of such plans and may amend or alter said plans, except that for the following agencies no amendment or alteration of said plans may be made without the approval of the agency concerned: Agencies headed by elective officials;
(f) Fix the number and classes of positions or authorized man years of employment for each agency and during the fiscal period amend the determinations previously fixed by the director except that the director shall not be empowered to fix said number or said classes for the following: Agencies headed by elective officials;
(g) ((Provide for transfers and repayments between the budget stabilization account and the general fund as directed by appropriation and RCW 43.88.525 through 43.88.540;
(h))) Adopt rules to effectuate provisions contained in (a) through (((g))) (f) of this subsection.
(5) The treasurer shall:
(a) Receive, keep, and disburse all public funds of the state not expressly required by law to be received, kept, and disbursed by some other persons: PROVIDED, That this subsection shall not apply to those public funds of the institutions of higher learning which are not subject to appropriation;
(b) Receive, disburse, or transfer public funds under the treasurer's supervision or custody;
(c) Keep a correct and current account of all moneys received and disbursed by the treasurer, classified by fund or account;
(d) Coordinate agencies' acceptance and use of credit cards and other payment methods, if the agencies have received authorization under RCW 43.41.180;
(e) Perform such other duties as may be required by law or by regulations issued pursuant to this law.
It shall be unlawful for the treasurer to disburse public funds in the treasury except upon forms or by alternative means duly prescribed by the director of financial management. These forms or alternative means shall provide for authentication and certification by the agency head or the agency head's designee that the services have been rendered or the materials have been furnished; or, in the case of loans or grants, that the loans or grants are authorized by law; or, in the case of payments for periodic maintenance services to be performed on state owned equipment, that a written contract for such periodic maintenance services is currently in effect and copies thereof are on file with the office of financial management; and the treasurer shall not be liable under the treasurer's surety bond for erroneous or improper payments so made. When services are lawfully paid for in advance of full performance by any private individual or business entity other than as provided for by RCW 42.24.035, such individual or entity other than central stores rendering such services shall make a cash deposit or furnish surety bond coverage to the state as shall be fixed in an amount by law, or if not fixed by law, then in such amounts as shall be fixed by the director of the department of general administration but in no case shall such required cash deposit or surety bond be less than an amount which will fully indemnify the state against any and all losses on account of breach of promise to fully perform such services. No payments shall be made in advance for any equipment maintenance services to be performed more than three months after such payment. Any such bond so furnished shall be conditioned that the person, firm or corporation receiving the advance payment will apply it toward performance of the contract. The responsibility for recovery of erroneous or improper payments made under this section shall lie with the agency head or the agency head's designee in accordance with regulations issued pursuant to this chapter. Nothing in this section shall be construed to permit a public body to advance funds to a private service provider pursuant to a grant or loan before services have been rendered or material furnished.
(6) The state auditor shall:
(a) Report to the legislature the results of current post audits that have been made of the financial transactions of each agency; to this end the auditor may, in the auditor's discretion, examine the books and accounts of any agency, official, or employee charged with the receipt, custody, or safekeeping of public funds. Where feasible in conducting examinations, the auditor shall utilize data and findings from the internal control system prescribed by the office of financial management. The current post audit of each agency may include a section on recommendations to the legislature as provided in (c) of this subsection.
(b) Give information to the legislature, whenever required, upon any subject relating to the financial affairs of the state.
(c) Make the auditor's official report on or before the thirty-first of December which precedes the meeting of the legislature. The report shall be for the last complete fiscal period and shall include determinations as to whether agencies, in making expenditures, complied with the laws of this state. The state auditor ((is authorized to)) may perform or participate in performance verifications ((only as)) and performance reviews under chapter 44.--- RCW (sections 1 through 8 of this act) if expressly authorized by the performance review plan adopted by the legislative committee on performance review or if expressly authorized by the legislature in the omnibus biennial appropriations acts. The state auditor, upon completing an audit for legal and financial compliance under chapter 43.09 RCW or a performance verification or performance review, may report to the legislative budget committee, legislative committee on performance review, or other appropriate committees of the legislature, in a manner prescribed by the legislative budget committee or the director of the legislative office of performance review, on facts relating to the management or performance of governmental programs where such facts are discovered incidental to the legal and financial audit ((or)), performance verification, or performance review. The auditor may make such a report to a legislative committee only if the auditor has determined that the agency has been given an opportunity and has failed to resolve the management or performance issues raised by the auditor. If the auditor makes a report to a legislative committee, the agency may submit to the committee a response to the report. This subsection (6) shall not be construed to authorize the auditor to allocate other than de minimis resources to performance audits except as expressly authorized in the appropriations acts or the performance review plan.
(d) Be empowered to take exception to specific expenditures that have been incurred by any agency or to take exception to other practices related in any way to the agency's financial transactions and to cause such exceptions to be made a matter of public record, including disclosure to the agency concerned and to the director of financial management. It shall be the duty of the director of financial management to cause corrective action to be taken promptly, such action to include, as appropriate, the withholding of funds as provided in RCW 43.88.110.
(e) Promptly report any irregularities to the attorney general.
(f) Investigate improper governmental activity under chapter 42.40 RCW.
(7) The legislative budget committee may:
(a) Make post audits of the financial transactions of any agency and management surveys and program reviews as provided for in RCW 44.28.085 as well as performance audits and program evaluations. To this end the committee may in its discretion examine the books, accounts, and other records of any agency, official, or employee.
(b) Give information to the legislature or any legislative committee whenever required upon any subject relating to the performance and management of state agencies.
(c) Make a report to the legislature which shall include at least the following:
(i) Determinations as to the extent to which agencies in making expenditures have complied with the will of the legislature and in this connection, may take exception to specific expenditures or financial practices of any agencies; and
(ii) Such plans as it deems expedient for the support of the state's credit, for lessening expenditures, for promoting frugality and economy in agency affairs and generally for an improved level of fiscal management.
NEW SECTION. Sec. 12. The following acts or parts of acts are each repealed:
(1) RCW 43.88B.005 and 1994 c 184 s 1;
(2) RCW 43.88B.007 and 1994 c 184 s 2;
(3) RCW 43.88B.010 and 1994 c 184 s 3;
(4) RCW 43.88B.020 and 1994 c 184 s 4;
(5) RCW 43.88B.030 and 1994 c 184 s 5;
(6) RCW 43.88B.031 and 1994 c 184 s 6;
(7) RCW 43.88B.040 and 1994 c 184 s 7;
(8) RCW 43.88B.050 and 1994 c 184 s 8;
(9) RCW 43.88B.900 and 1994 c 184 s 13; and
(10) RCW 43.88B.901 and 1994 c 184 s 15.
NEW SECTION. Sec. 13. Sections 1 through 8 of this act constitute a new chapter in Title 44 RCW."
Debate ensued.
The President Pro Tempore declared the question before the Senate to be the adoption of the striking amendment by Senators Strannigan, McDonald, Snyder, Rinehart, West, Loveland, Cantu and Quigley to Substitute Senate Bill No. 6680.
The motion by Senator Strannigan carried and the amendment was adopted.
MOTIONS
On motion of Senator Rinehart, the following title amendment was adopted:
On line 1 of the title, after "government;" strike the remainder of the title and insert "amending RCW 43.88.090 and 43.88.160; reenacting and amending RCW 43.88.030; adding a new chapter to Title 44 RCW; and repealing RCW 43.88B.005, 43.88B.007, 43.88B.010, 43.88B.020, 43.88B.030, 43.88B.031, 43.88B.040, 43.88B.050, 43.88B.900, and 43.88B.901."
On motion of Senator Rinehart, the rules were suspended, Engrossed Substitute Senate Bill No. 6680 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 Engrossed Substitute Senate Bill No. 6680.
ROLL CALL
The Secretary called the roll on the final passage of Engrossed Substitute Senate Bill No. 6680 and the bill passed the Senate by the following vote: Yeas, 47; Nays, 0; Absent, 1; Excused, 1.
Voting yea: Senators Anderson, A., Bauer, Cantu, Drew, Fairley, Finkbeiner, Franklin, Fraser, Goings, Hale, Hargrove, Haugen, Heavey, Hochstatter, Johnson, Kohl, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Moyer, Newhouse, Oke, Owen, Pelz, Prentice, Prince, Quigley, Rasmussen, Rinehart, Roach, Schow, Sellar, Sheldon, Smith, Snyder, Spanel, Strannigan, Swecker, Thibaudeau, West, Winsley, Wojahn, Wood and Zarelli - 47.
Absent: Senator Deccio - 1.
Excused: Senator Sutherland - 1.
ENGROSSED SUBSTITUTE SENATE BILL NO. 6680, 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 Roach, the following resolution was adopted:
SENATE RESOLUTION 1996-8684
By Senators Roach, Owen, Anderson, Kohl and Wood
WHEREAS, It is the sense of the Washington State Senate that the disappointment and uncertainty surrounding the future of the Seattle Seahawks is symbolic of the turmoil present throughout the National Football League; and
WHEREAS, The state of Washington and Seahawk fans everywhere would most certainly benefit by the offer of the State Attorney General to involve her office in assisting the effort to resolve the legal differences in this dispute, and give "effective" injunctive relief, perhaps in federal court, ordering the return of vital team records, financial information, and equipment to Washington; and
WHEREAS, Our state congressional delegation should be encouraged to take a leadership role in Congress and introduce legislation which will enhance the stability and predictability of the legal relationship between communities of interest and their professional athletic teams; and
WHEREAS, The Senate further believes that National Football League President, Paul Tagliabue, should be invited to convene a conference in Seattle, involving all necessary players in the "franchise shuffle syndrome" to discuss not only the future of the Seattle Seahawks, but the vision of the National Football League for the future of professional football;
NOW, THEREFORE, BE IT RESOLVED, That the Washington State Senate believes that all the contestants in this struggle owe the taxpayers a return on their investment of loyalty and appreciation and that this debt not be forgotten as this dispute is debated and litigated.
MOTION
At 12:05 p.m., on motion of Senator Spanel, the Senate adjourned until 9:00 a.m., Tuesday, February 6, 1996.
JOEL PRITCHARD, President of the Senate
MARTY BROWN, Secretary of the Senate