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ONE HUNDRED-FIRST DAY
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MORNING SESSION
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Senate Chamber, Olympia, Wednesday, April 21, 1999
The Senate was called to order at 9:00 a.m. by President Owen. The Secretary called the roll and announced to the President that all Senators were present except Senators Brown, Deccio, Finkbeiner, Patterson, Roach, Sellar, Snyder and Thibaudeau. On motion of Senator Eide, Senators Brown, Patterson and Thibaudeau were excused. On motion of Senator Honeyford, Senators Deccio, Finkbeiner, Roach and Sellar were excused.
The Sergeant at Arms Color Guard consisting of Pages Alice Joy and Corinne Peterson, presented the Colors. Senator Bob Morton offered the prayer.
MOTION
On motion of Senator Betti Sheldon, the reading of the Journal of the previous day was dispensed with and it was approved.
MESSAGE FROM THE GOVERNOR
April 20, 1999
TO THE HONORABLE, THE SENATE OF THE STATE OF WASHINGTON
Ladies and Gentlemen:
I have the honor to advise you that on April 20, 1999, Governor Locke approved the following Senate Bills entitled:
Senate Bill No. 5114
Relating to an exemption from annual inspections for hospitals accredited by the American osteopathic association.
Senate Bill No. 5196
Relating to trust and estate dispute resolution.
Senate Bill No. 5197
Relating to disclaimer of interests.
Senate Bill No. 5198
Relating to updating the probate and trust law to comport with Internal Revenue Code language.
Senate Bill No. 5211
Relating to the jurisdiction of limited jurisdiction courts.
Substitute Senate Bill No. 5234
Relating to custodial sexual misconduct.
Senate Bill No. 5253
Relating to grounds for disciplinary action against real estate brokers or salespersons.
Senate Bill No. 5347
Relating to the fruit and vegetable district fund.
Senate Bill No. 5442
Relating to real estate broker's records.
Substitute Senate Bill No. 5573
Relating to criminal history records.
Substitute Senate Bill No. 5609
Relating to state employees' suggestion awards and incentive pay.
Substitute Senate Bill No. 5651
Relating to timber sales.
Senate Bill No. 5652
Relating to statutory limits on appraiser fees in eminent domain proceedings.
Senate Bill No. 5772
Relating to confidentiality of records of participants in programs for victims of domestic violence or sexual assault.
Substitute Senate Bill No. 5928
Relating to good faith communications to self-regulatory organizations delegated authority by government agencies.
Senate Bill No. 5954
Relating to torts committed against recipients of state assistance.
Senate Bill No. 6030
Relating to the Lewis and Clark Highway.
Sincerely,
EVERETT H. BILLINGSLEA, General Counsel
MESSAGES FROM THE HOUSE
April 20, 1999
MR. PRESIDENT:
The Co-Speakers have signed:
SUBSTITUTE SENATE BILL NO. 5029,
ENGROSSED SENATE BILL NO. 5371,
ENGROSSED SENATE JOINT MEMORIAL NO. 8013, and the same are herewith transmitted.
DEAN R. FOSTER, Co-Chief Clerk
TIMOTHY A. MARTIN, Co-Chief Clerk
April 20, 1999
MR. PRESIDENT:
The Co-Speakers have signed:
SUBSTITUTE HOUSE BILL NO. 1204,
SUBSTITUTE HOUSE BILL NO. 1345,
HOUSE BILL NO. 1554,
SUBSTITUTE HOUSE BILL NO. 1620,
ENGROSSED SUBSTITUTE HOUSE BILL NO. 1887,
SUBSTITUTE HOUSE BILL NO. 2152, and the same are herewith transmitted.
DEAN R. FOSTER, Co-Chief Clerk
TIMOTHY A. MARTIN, Co-Chief Clerk
April 20, 1999
MR. PRESIDENT:
The House concurred in the Senate amendments to the following House Bills and passed the bills as amended by the Senate:
SECOND SUBSTITUTE HOUSE BILL NO. 1132,
SUBSTITUTE HOUSE BILL NO. 1153,
ENGROSSED SUBSTITUTE HOUSE BILL NO. 1407,
HOUSE BILL NO. 1549,
SUBSTITUTE HOUSE BILL NO. 1619,
HOUSE BILL NO. 1642,
SECOND SUBSTITUTE HOUSE BILL NO. 1716,
HOUSE BILL NO. 1761,
SUBSTITUTE HOUSE BILL NO. 1770,
SUBSTITUTE HOUSE BILL NO. 1811,
SUBSTITUTE HOUSE BILL NO. 1826,
SUBSTITUTE HOUSE BILL NO. 1969,
SUBSTITUTE HOUSE BILL NO. 1971,
SUBSTITUTE HOUSE BILL NO. 1992,
ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 2085.
DEAN R. FOSTER, Co-Chief Clerk
TIMOTHY A. MARTIN, Co-Chief Clerk
SIGNED BY THE PRESIDENT
The President signed:
SENATE BILL NO. 5005,
SENATE BILL NO. 5020,
ENGROSSED SENATE BILL NO. 5036,
SENATE BILL NO. 5040,
SUBSTITUTE SENATE BILL NO. 5064,
SENATE BILL NO. 5095,
SECOND SUBSTITUTE SENATE BILL NO. 5108,
SENATE BILL NO. 5125,
SENATE BILL NO. 5127,
SUBSTITUTE SENATE BILL NO. 5147,
SUBSTITUTE SENATE BILL NO. 5153,
SUBSTITUTE SENATE BILL NO. 5154,
SUBSTITUTE SENATE BILL NO. 5179,
SUBSTITUTE SENATE BILL NO. 5213,
SUBSTITUTE SENATE BILL NO. 5214,
SUBSTITUTE SENATE BILL NO. 5219,
SUBSTITUTE SENATE BILL NO. 5273,
SUBSTITUTE SENATE BILL NO. 5279,
ENGROSSED SUBSTITUTE SENATE BILL NO. 5290,
SENATE BILL NO. 5307,
SENATE BILL NO. 5358,
SENATE BILL NO. 5384,
SENATE BILL NO. 5385,
SENATE BILL NO. 5499,
SENATE BILL NO. 5502,
SUBSTITUTE SENATE BILL NO. 5671.
SIGNED BY THE PRESIDENT
The President signed:
SUBSTITUTE HOUSE BILL NO. 1204,
SUBSTITUTE HOUSE BILL NO. 1345,
HOUSE BILL NO. 1554,
SUBSTITUTE HOUSE BILL NO. 1620,
ENGROSSED SUBSTITUTE HOUSE BILL NO. 1887,
SUBSTITUTE HOUSE BILL NO. 2152.
INTRODUCTION AND FIRST READING
SB 6104 by Senators McCaslin and Deccio
AN ACT Relating to special levies for school nurses; and amending RCW 84.52.0531.
Referred to Committee on Education.
MOTION
On motion of Senator Franklin, the following resolution was adopted:
SENATE RESOLUTION 1999-8681
By Senators Franklin, Winsley, McAuliffe, Wojahn, Rasmussen, Eide and Goings
WHEREAS, Tacoma School District Superintendent Dr. James Shoemake was selected by the Washington Association of School Administrators as Washington’s 1998 “Superintendent of the Year”; and
WHEREAS, In that capacity, Dr. Shoemake represented the State of Washington in the National Superintendent of the Year competition; and
WHEREAS, Dr. Shoemake, in just three years as Tacoma schools chief, has brought a sense of stability and direction to the district; and
WHEREAS, Dr. Shoemake’s efforts to improve the public’s perception of Tacoma Schools has reinvigorated the community’s support, leading to approval of a $150 million construction levy in 1997 that had failed three previous times; and
WHEREAS, In addition to being one of the district’s best spokesmen, Dr. Shoemake is noted for his meticulous management style, and his problem-solving approach; and
WHEREAS, Prior to coming to Tacoma, Dr. Shoemake served for nine years as superintendent of the Mukilteo School District, and as school superintendent in Joplin, Missouri, and Haysville, Kansas; and
WHEREAS, Dr. Shoemake, through all his efforts, has remained focused on his main goal of improving student learning and achievement;
NOW, THEREFORE, BE IT RESOLVED, That the members of the Washington State Senate do hereby recognize and honor Dr. James Shoemake, Superintendent of Tacoma Public School District No. 10, for his selection as Washington School Superintendent of the Year for 1998, and for his ongoing efforts on behalf of and commitment to the education of Tacoma’s children; and
BE IT FURTHER RESOLVED, That the Secretary of the Senate immediately transmit copies of this resolution to Dr. James Shoemake and to Tacoma Public School District No. 10.
Senators Franklin, Shin, Rasmussen, Wojahn and Winsley spoke to Senate Resolution 1999-8681.
INTRODUCTION OF SPECIAL GUEST
The President welcomed and introduced Dr. James Shoemake, Superintendent of the Tacoma Public Schools and the 1998 Superintendent of the Year for the Washington Association of School Administrators, who was seated in the gallery.
MOTION
On motion of Senator Betti Sheldon, the Senate reverted to the first order of business.
REPORTS OF STANDING COMMITTEES
April 20, 1999
SB 5180 Prime Sponsor, Senator Loveland: Making appropriations for the 1999-01 biennium. Reported by Committee on Ways and Means.
MAJORITY Recommendation: That Substitute Senate Bill No. 5180 be substituted therefor, and the substitute bill do pass. Signed by Senators Loveland, Chair; Bauer, Vice Chair; Brown, Vice Chair, Fairley, Fraser, Kline, Kohl-Welles, Long, Rasmussen, B. Sheldon, Snyder, Thibaudeau, Winsley and Wojahn.
MINORITY Recommendation: Do not pass. Signed by Senators Honeyford, McDonald, Rossi and West.
April 20, 1999
SB 5967 Prime Sponsor, Senator Loveland: Relating to human services. Reported by Committee on Ways and Means.
MAJORITY Recommendation: That Substitute Senate Bill No. 5967 be substituted therefor, and the substitute bill do pass. Signed by Senators Loveland, Chair; Brown, Vice Chair, Fairley, Fraser, Honeyford, Rasmussen, B. Sheldon, Spanel, Thibaudeau, West, Wojahn and Zarelli.
April 20, 1999
SB 5968 Prime Sponsor, Senator Loveland: Relating to human services. Reported by Committee on Ways and Means
MAJORITY Recommendation: That Substitute Senate Bill No. 5968 be substituted therefor, and the substitute bill do pass. Signed by Senators Loveland, Chair; Bauer, Vice Chair, Fairley, Fraser, Honeyford, Kline, Kohl-Welles, McDonald, Rasmussen, Rossi, B. Sheldon, Snyder, Spanel, Thibaudeau, West, Winsley, Wojahn and Zarelli.
April 20, 1999
E2SHB 1484 Prime Sponsor, House Committee on Health Care: Modifying property valuation methods for reimbursing nursing facilities. Reported by Committee on Ways and Means
MAJORITY Recommendation: Do pass as amended. Signed by Senators Loveland, Chair; Bauer, Vice Chair; Brown, Vice Chair; Fairley, Fraser, Honeyford, Kline, Kohl-Welles, Rasmussen, Rossi, B. Sheldon, Snyder, Spanel, Thibaudeau, Winsley, Wojahn and Zarelli.
April 20, 1999
SHB 1663 Prime Sponsor, House Committee on Judiciary: Creating a unified family court. Reported by Committee on Ways and Means
MAJORITY Recommendation: Do pass as amended by Committee on Judiciary. Signed by Senators Loveland, Chair; Bauer, Vice Chair; Brown, Vice Chair; Fairley, Fraser, Kline, Long, Rasmussen, B. Sheldon, Snyder, Spanel, Thibaudeau, West, Winsley and Wojahn.
MOTION
On motion of Senator Betti Sheldon, the rules were suspended, Senate Bill No. 5180, Senate Bill No. 5967, Senate Bill No. 5968, Engrossed Second Substitute House Bill No. 1484 and Substitute House Bill No. 1663 were advanced to second reading and placed on the second reading calendar.
MOTION
On motion of Senator Betti Sheldon, the Senate advanced to the sixth order of business.
SECOND READING
CONFIRMATION OF GUBERNATORIAL APPOINTMENTS
MOTION
On motion of Senator Prentice, Gubernatorial Appointment No. 9118, William A. Glassford, as a member of the Small Business Export Finance Assistance Center Board of Directors, was confirmed.
Senators Prentice and Betti Sheldon spoke to the confirmation of William A. Glassford.
APPOINTMENT OF WILLIAM A. GLASSFORD
The Secretary called the roll. The appointment was confirmed by the following vote: Yeas, 41; Nays, 0; Absent, 1; Excused, 7.
Voting yea: Senators Bauer, Benton, Costa, Eide, Fairley, Franklin, Fraser, Gardner, Goings, Hale, Hargrove, Haugen, Heavey, Hochstatter, Honeyford, Horn, Jacobsen, Johnson, Kline, Kohl-Welles, Long, Loveland, McAuliffe, McCaslin, McDonald, Morton, Oke, Prentice, Rasmussen, Rossi, Sheahan, Sheldon, B., Sheldon, T., Shin, Spanel, Stevens, Swecker, West, Winsley, Wojahn and Zarelli - 41.
Absent: Senator Snyder - 1.
Excused: Senators Brown, Deccio, Finkbeiner, Patterson, Roach, Sellar and Thibaudeau - 7.
MOTION
On motion of Senator Eide, Senator McAuliffe was excused.
MOTION
On motion of Senator Spanel, Gubernatorial Appointment No. 9165, Mary Helen Roberts, as a member of the Board of Trustees for Edmonds Community College District No. 23, was confirmed.
APPOINTMENT OF MARY HELEN ROBERTS
The Secretary called the roll. The appointment was confirmed by the following vote: Yeas, 42; Nays, 0; Absent, 0; Excused, 7.
Voting yea: Senators Bauer, Benton, Costa, Eide, Fairley, Franklin, Fraser, Gardner, Goings, Hale, Hargrove, Haugen, Heavey, Hochstatter, Honeyford, Horn, Jacobsen, Johnson, Kline, Kohl-Welles, Long, Loveland, McCaslin, McDonald, Morton, Oke, Prentice, Rasmussen, Rossi, Sellar, Sheahan, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Stevens, Swecker, West, Winsley, Wojahn and Zarelli - 42.
Excused: Senators Brown, Deccio, Finkbeiner, McAuliffe, Patterson, Roach and Thibaudeau - 7.
INTRODUCTION OF SPECIAL GUEST
The President welcomed and introduced the mother of Senator Eide, Marlene Haechler, who was seated in the gallery.
MOTION
On motion of Senator Betti Sheldon, the Senate returned to the fourth order of business.
MESSAGE FROM THE HOUSE
April 14, 1999
MR. PRESIDENT:
The House has passed SENATE BILL NO. 5862 with the following amendment(s):
Strike everything after the enacting clause and insert the following:
"Sec. 1. RCW 42.17.310 and 1998 c 69 s 1 are each amended to read as follows:
(1) The following are exempt from public inspection and copying:
(a) Personal information in any files maintained for students in public schools, patients or clients of public institutions or public health agencies, or welfare recipients.
(b) Personal information in files maintained for employees, appointees, or elected officials of any public agency to the extent that disclosure would violate their right to privacy.
(c) Information required of any taxpayer in connection with the assessment or collection of any tax if the disclosure of the information to other persons would (i) be prohibited to such persons by RCW 84.08.210, 82.32.330, 84.40.020, or 84.40.340 or (ii) violate the taxpayer's right to privacy or result in unfair competitive disadvantage to the taxpayer.
(d) Specific intelligence information and specific investigative records compiled by investigative, law enforcement, and penology agencies, and state agencies vested with the responsibility to discipline members of any profession, the nondisclosure of which is essential to effective law enforcement or for the protection of any person's right to privacy.
(e) Information revealing the identity of persons who are witnesses to or victims of crime or who file complaints with investigative, law enforcement, or penology agencies, other than the public disclosure commission, if disclosure would endanger any person's life, physical safety, or property. If at the time a complaint is filed the complainant, victim or witness indicates a desire for disclosure or nondisclosure, such desire shall govern. However, all complaints filed with the public disclosure commission about any elected official or candidate for public office must be made in writing and signed by the complainant under oath.
(f) Test questions, scoring keys, and other examination data used to administer a license, employment, or academic examination.
(g) Except as provided by chapter 8.26 RCW, the contents of real estate appraisals, made for or by any agency relative to the acquisition or sale of property, until the project or prospective sale is abandoned or until such time as all of the property has been acquired or the property to which the sale appraisal relates is sold, but in no event shall disclosure be denied for more than three years after the appraisal.
(h) Valuable formulae, designs, drawings, and research data obtained by any agency within five years of the request for disclosure when disclosure would produce private gain and public loss.
(i) Preliminary drafts, notes, recommendations, and intra-agency memorandums in which opinions are expressed or policies formulated or recommended except that a specific record shall not be exempt when publicly cited by an agency in connection with any agency action.
(j) Records which are relevant to a controversy to which an agency is a party but which records would not be available to another party under the rules of pretrial discovery for causes pending in the superior courts.
(k) Records, maps, or other information identifying the location of archaeological sites in order to avoid the looting or depredation of such sites.
(l) Any library record, the primary purpose of which is to maintain control of library materials, or to gain access to information, which discloses or could be used to disclose the identity of a library user.
(m) Financial information supplied by or on behalf of a person, firm, or corporation for the purpose of qualifying to submit a bid or proposal for (i) a ferry system construction or repair contract as required by RCW 47.60.680 through 47.60.750 or (ii) highway construction or improvement as required by RCW 47.28.070.
(n) Railroad company contracts filed prior to July 28, 1991, with the utilities and transportation commission under RCW 81.34.070, except that the summaries of the contracts are open to public inspection and copying as otherwise provided by this chapter.
(o) Financial and commercial information and records supplied by private persons pertaining to export services provided pursuant to chapter 43.163 RCW and chapter 53.31 RCW, and by persons pertaining to export projects pursuant to RCW 43.23.035.
(p) Financial disclosures filed by private vocational schools under chapters 28B.85 and 28C.10 RCW.
(q) Records filed with the utilities and transportation commission or attorney general under RCW 80.04.095 that a court has determined are confidential under RCW 80.04.095.
(r) Financial and commercial information and records supplied by businesses or individuals during application for loans or program services provided by chapters 43.163, 43.160, 43.330, and 43.168 RCW, or during application for economic development loans or program services provided by any local agency.
(s) Membership lists or lists of members or owners of interests of units in timeshare projects, subdivisions, camping resorts, condominiums, land developments, or common-interest communities affiliated with such projects, regulated by the department of licensing, in the files or possession of the department.
(t) All applications for public employment, including the names of applicants, resumes, and other related materials submitted with respect to an applicant.
(u) The residential addresses and residential telephone numbers of employees or volunteers of a public agency which are held by the agency in personnel records, employment or volunteer rosters, or mailing lists of employees or volunteers.
(v) The residential addresses and residential telephone numbers of the customers of a public utility contained in the records or lists held by the public utility of which they are customers, except that this information may be released to the division of child support or the agency or firm providing child support enforcement for another state under Title IV-D of the federal social security act, for the establishment, enforcement, or modification of a support order.
(w)(i) The federal social security number of individuals governed under chapter 18.130 RCW maintained in the files of the department of health, except this exemption does not apply to requests made directly to the department from federal, state, and local agencies of government, and national and state licensing, credentialing, investigatory, disciplinary, and examination organizations; (ii) the current residential address and current residential telephone number of a health care provider governed under chapter 18.130 RCW maintained in the files of the department, if the provider requests that this information be withheld from public inspection and copying, and provides to the department an accurate alternate or business address and business telephone number. On or after January 1, 1995, the current residential address and residential telephone number of a health care provider governed under RCW 18.130.140 maintained in the files of the department shall automatically be withheld from public inspection and copying unless the provider specifically requests the information be released, and except as provided for under RCW 42.17.260(9).
(x) Information obtained by the board of pharmacy as provided in RCW 69.45.090.
(y) Information obtained by the board of pharmacy or the department of health and its representatives as provided in RCW 69.41.044, 69.41.280, and 18.64.420.
(z) Financial information, business plans, examination reports, and any information produced or obtained in evaluating or examining a business and industrial development corporation organized or seeking certification under chapter 31.24 RCW.
(aa) Financial and commercial information supplied to the state investment board by any person when the information relates to the investment of public trust or retirement funds and when disclosure would result in loss to such funds or in private loss to the providers of this information.
(bb) Financial and valuable trade information under RCW 51.36.120.
(cc) Client records maintained by an agency that is a domestic violence program as defined in RCW 70.123.020 or 70.123.075 or a rape crisis center as defined in RCW 70.125.030.
(dd) Information that identifies a person who, while an agency employee: (i) Seeks advice, under an informal process established by the employing agency, in order to ascertain his or her rights in connection with a possible unfair practice under chapter 49.60 RCW against the person; and (ii) requests his or her identity or any identifying information not be disclosed.
(ee) Investigative records compiled by an employing agency conducting a current investigation of a possible unfair practice under chapter 49.60 RCW or of a possible violation of other federal, state, or local laws prohibiting discrimination in employment.
(ff) Business related information protected from public inspection and copying under RCW 15.86.110.
(gg) Financial, commercial, operations, and technical and research information and data submitted to or obtained by the clean Washington center in applications for, or delivery of, program services under chapter 70.95H RCW.
(hh) Information and documents created specifically for, and collected and maintained by a quality improvement committee pursuant to RCW 43.70.510, regardless of which agency is in possession of the information and documents.
(ii) Personal information in files maintained in a data base created under RCW 43.07.360.
(jj) Financial and commercial information requested by the public stadium authority from any person or organization that leases or uses the stadium and exhibition center as defined in RCW 36.102.010.
(kk) Names of individuals residing in emergency or transitional housing that are furnished to the department of revenue or a county assessor in order to substantiate a claim for property tax exemption under RCW 84.36.043.
(ll) The names, residential addresses, residential telephone numbers, and other individually identifiable records held by an agency in relation to a vanpool, carpool, or other ride-sharing program or service. However, these records may be disclosed to other persons who apply for ride-matching services and who need that information in order to identify potential riders or drivers with whom to share rides.
(mm) Proprietary financial and commercial information that the submitting entity, with review by the department of health, specifically identifies at the time it is submitted and that is provided to or obtained by the department of health in connection with an application for, or the supervision of, an antitrust exemption sought by the submitting entity under RCW 43.72.310. If a request for such information is received, the submitting entity must be notified of the request. Within ten business days of receipt of the notice, the submitting entity shall provide a written statement of the continuing need for confidentiality, which shall be provided to the requester. Upon receipt of such notice, the department of health shall continue to treat information designated under this section as exempt from disclosure. If the requester initiates an action to compel disclosure under this chapter, the submitting entity must be joined as a party to demonstrate the continuing need for confidentiality.
(nn) Records maintained by the board of industrial insurance appeals that are related to appeals of crime victims' compensation claims filed with the board under RCW 7.68.110.
(oo) Financial and commercial information supplied by or on behalf of a person, firm, corporation, or entity under chapter 28B.95 RCW relating to the purchase or sale of tuition units and contracts for the purchase of multiple tuition units.
(pp) Before and during the course of any collective bargaining, labor negotiations, or grievance or mediation proceedings records that would reveal the strategy or position being taken by an agency.
(2) Except for information described in subsection (1)(c)(i) of this section and confidential income data exempted from public inspection pursuant to RCW 84.40.020, the exemptions of this section are inapplicable to the extent that information, the disclosure of which would violate personal privacy or vital governmental interests, can be deleted from the specific records sought. No exemption may be construed to permit the nondisclosure of statistical information not descriptive of any readily identifiable person or persons.
(3) Inspection or copying of any specific records exempt under the provisions of this section may be permitted if the superior court in the county in which the record is maintained finds, after a hearing with notice thereof to every person in interest and the agency, that the exemption of such records is clearly unnecessary to protect any individual's right of privacy or any vital governmental function.
(4) Agency responses refusing, in whole or in part, inspection of any public record shall include a statement of the specific exemption authorizing the withholding of the record (or part) and a brief explanation of how the exemption applies to the record withheld."
Correct the title., and the same are herewith transmitted.
DEAN R. FOSTER, Co-Chief Clerk
TIMOTHY A. MARTIN, Co-Chief Clerk
MOTION
On motion of Senator Gardner, the Senate refuses to concur in the House amendment to Senate Bill No. 5862 and asks the House to recede therefrom.
MESSAGE FROM THE HOUSE
April 14, 1999
MR. PRESIDENT:
The House has passed ENGROSSED SECOND SUBSTITUTE SENATE BILL NO. 5931 with the following amendment(s):
Strike everything after the enacting clause and insert the following:
"NEW SECTION. Sec. 1. A new section is added to chapter 42.17 RCW to read as follows:
(1) It is the intent of the legislature to ensure that the commission provide the general public timely access to all contribution and expenditure reports submitted by candidates, continuing political committees, bona fide political parties, lobbyists, and lobbyists' employers. The legislature finds that failure to comply with this chapter's requirements for full and timely disclosure threatens to undermine our electoral process.
(2) Beginning January 1, 2001, the commission shall establish goals that all reports, copies of reports, or copies of the data or information included in reports, filed under RCW 42.17.040, 42.17.065, 42.17.080, 42.17.100, 42.17.105, 42.17.150, 42.17.170, 42.17.175, and 42.17.180, that are:
(a) Submitted using the commission's electronic filing system shall be accessible in the commission's office within two business days of the commission's receipt of the report and shall be accessible on the commission's web site within seven business days of the commission's receipt of the report; and
(b) Submitted in any format or using any method other than as described in (a) of this subsection, shall be accessible in the commission's office within two business days of the actual physical receipt of the report, and not the technical date of filing as provided under RCW 42.17.420, and shall be accessible on the commission's web site within from fourteen to twenty-eight business days of the actual physical receipt of the report, and not the technical date of filing as provided under RCW 42.17.420, as specified in rule adopted by the commission.
NEW SECTION. Sec. 2. A new section is added to chapter 42.17 RCW to read as follows:
By July 1st of each year beginning in 2000, the commission shall calculate the following performance measures, provide a copy of the performance measures to the governor and appropriate legislative committees, and make the performance measures available to the public:
(1) The average number of days that elapse between the commission's receipt of reports filed under RCW 42.17.040, 42.17.065, 42.17.080, and 42.17.100 and the time that the report, a copy of the report, or a copy of the data or information included in the report, is first accessible to the general public (a) in the commission's office, and (b) via the commission's web site;
(2) The average number of days that elapse between the commission's receipt of reports filed under RCW 42.17.105 and the time that the report, a copy of the report, or a copy of the data or information included in the report, is first accessible to the general public (a) in the commission's office, and (b) via the commission's web site;
(3) The average number of days that elapse between the commission's receipt of reports filed under RCW 42.17.150, 42.17.170, 42.17.175, and 42.17.180 and the time that the report, a copy of the report, or a copy of the data or information included in the report, is first accessible to the general public (a) in the commission's office, and (b) via the commission's web site;
(4) The percentage of candidates, categorized as state-wide, state legislative, or local, that have used each of the following methods to file reports under RCW 42.17.080 or 42.17.105: (a) Hard copy paper format; (b) electronic format via diskette; (c) electronic format via modem or satellite; (d) electronic format via the Internet; and (e) any other format or method;
(5) The percentage of continuing political committees that have used each of the following methods to file reports under RCW 42.17.065 or 42.17.105: (a) Hard copy paper format; (b) electronic format via diskette; (c) electronic format via modem or satellite; (d) electronic format via the Internet; and (e) any other format or method; and
(6) The percentage of lobbyists and lobbyists' employers that have used each of the following methods to file reports under RCW 42.17.150, 42.17.170, 42.17.175, or 42.17.180: (a) Hard copy paper format; (b) electronic format via diskette; (c) electronic format via modem or satellite; (d) electronic format via the Internet; and (e) any other format or method.
NEW SECTION. Sec. 3. A new section is added to chapter 42.17 RCW to read as follows:
(1) The commission shall develop an information technology plan consistent with plans or portfolios required by chapter 43.105 RCW.
(2) The plan must include, but not be limited to, the following:
(a) A baseline assessment of the agency's information technology resources and capabilities that will serve as the benchmark for subsequent planning and performance measures;
(b) A statement of the agency's mission, goals, and objectives for information technology, including goals and objectives for achieving electronic access to agency records, information, and services for at least the next five years;
(c) An explanation of how the agency's mission, goals, and objectives for information technology support and conform to the state strategic information technology plan;
(d) An implementation strategy to enhance electronic access to public records and information required to be filed with and disclosed by the commission. This implementation strategy must be assembled to include:
(i) Adequate public notice and opportunity for comment;
(ii) Consideration of a variety of electronic technologies, including those that help to transcend geographic locations, standard business hours, economic conditions of users, and disabilities;
(iii) Methods to educate agency employees, the public, and the news media in the effective use of agency technology;
(iv) Ways to simplify and improve public access to information held by the commission through electronic means;
(e) Projects and resources required to meet the objectives of the plan; and
(f) If feasible, estimated schedules and funding required to implement identified projects.
NEW SECTION. Sec. 4. A new section is added to chapter 42.17 RCW to read as follows:
In preparing the information technology plan, the commission shall consult with affected state agencies, the department of information services, and stakeholders in the commission's work, including representatives of political committees, bona fide political parties, news media, and the general public.
NEW SECTION. Sec. 5. A new section is added to chapter 42.17 RCW to read as follows:
The commission shall submit the information technology plan to the senate and house of representatives fiscal committees, the governor, the senate state and local government committee, the house of representatives state government committee, and the department of information services by January 1, 2000. It is the intent of the legislature that the commission thereafter comply with the requirements of chapter 43.105 RCW with respect to preparation and submission of biennial performance reports on the commission's information technology.
NEW SECTION. Sec. 6. A new section is added to chapter 42.17 RCW to read as follows:
The commission shall prepare and submit to the department of information services a biennial performance report in accordance with chapter 43.105 RCW.
The report must include:
(1) An evaluation of the agency's performance relating to information technology;
(2) An assessment of progress made toward implementing the agency information technology plan;
(3) An analysis of the commission's performance measures, set forth in section 2 of this act, that relate to the electronic filing of reports and timely public access to those reports via the commission's web site;
(4) A comprehensive description of the methods by which citizens may interact with the agency in order to obtain information and services from the commission; and
(5) An inventory of agency information services, equipment, and proprietary software.
Sec. 7. RCW 42.17.365 and 1993 c 2 s 29 are each amended to read as follows:
The commission shall conduct a sufficient number of audits and field investigations so as to provide a statistically valid finding regarding the degree of compliance with the provisions of this chapter by all required filers. Any documents, records, reports, computer files, papers, or materials provided to the commission for use in conducting audits and investigations must be returned to the candidate, campaign, or political committee from which they were received within two weeks of the commission's completion of an audit or field investigation.
Sec. 8. RCW 42.17.367 and 1994 c 40 s 2 are each amended to read as follows:
By January 1, ((1995)) 2000, the ((public disclosure)) commission shall ((design a program for electronic access to public documents filed with the commission. The program may include on-line access to the commission's magic and electronic bulletin board systems, providing information for the internet system, fax-request service, automated telephone service, electronic filing of reports, and other service delivery options. Documents available in the program shall include, but are not limited to, public documents filed with the public disclosure commission, including, but not limited to, commission meeting schedules, financial affairs reports, contribution reports, expenditure reports, and gift reports. Implementation of the program is contingent on the availability of funds)) operate a web site or contract for the operation of a web site that allows access to reports, copies of reports, or copies of data and information submitted in reports, filed with the commission under RCW 42.17.040, 42.17.065, 42.17.080, 42.17.100, and 42.17.105. By January 1, 2001, the web site shall allow access to reports, copies of reports, or copies of data and information submitted in reports, filed with the commission under RCW 42.17.150, 42.17.170, 42.17.175, and 42.17.180. In addition, the commission shall attempt to make available via the web site other public records submitted to or generated by the commission that are required by this chapter to be available for public use or inspection.
Sec. 9. RCW 42.17.420 and 1995 c 397 s 18 are each amended to read as follows:
(1) Except as provided in subsection (2) of this section, when any application, report, statement, notice, or payment required to be made under the provisions of this chapter has been deposited postpaid in the United States mail properly addressed, it shall be deemed to have been received on the date of mailing. It shall be presumed that the date shown by the post office cancellation mark on the envelope is the date of mailing. The provisions of this section do not apply to reports required to be delivered under RCW 42.17.105 and 42.17.175.
(2) When a report is filed electronically with the commission, it is deemed to have been received on the file transfer date. The commission shall notify the filer of receipt of the electronically filed report. Such notification may be sent by mail, facsimile, or electronic mail. If the notification of receipt of the electronically filed report is not received by the filer, the filer may offer his or her own proof of sending the report, and such proof shall be treated as if it were a receipt sent by the commission. Electronic filing may be used for purposes of filing the special reports required to be delivered under RCW 42.17.105 and 42.17.175.
NEW SECTION. Sec. 10. A new section is added to chapter 42.17 RCW to read as follows:
(1) By July 1, 1999, the commission shall offer every candidate, public official, political committee, and party organization that is required to file reports under this chapter the option of filing financial affairs reports, contribution reports, and expenditure reports electronically by diskette or via modem, satellite, or the Internet.
(2) By January 1, 2001, the commission shall offer all lobbyists and lobbyists' employers required to file reports under RCW 42.17.150, 42.17.170, 42.17.175, or 42.17.180 the option of filing these reports electronically by diskette or via modem, satellite, or the Internet.
(3) The commission shall make available to each candidate, public official, political committee, lobbyist, lobbyist employer, and party organization an electronic copy of the appropriate reporting forms at no charge.
NEW SECTION. Sec. 11. A new section is added to chapter 42.17 RCW to read as follows:
Beginning January 1, 2001, each continuing political committee, that expended ten thousand dollars or more in the preceding year or expects to expend ten thousand dollars or more in expenditures in the current year, shall file all contribution reports and expenditure reports required by this chapter electronically by diskette or via modem, satellite, or the Internet. Failure by a continuing political committee to comply with this section is a violation of this chapter.
Sec. 12. RCW 42.17.080 and 1995 c 397 s 2 are each amended to read as follows:
(1) On the day the treasurer is designated, each candidate or political committee shall file with the commission and the county auditor or elections officer of the county in which the candidate resides, or in the case of a political committee, the county in which the treasurer resides, in addition to any statement of organization required under RCW 42.17.040 or 42.17.050, a report of all contributions received and expenditures made prior to that date, if any.
(2) At the following intervals each treasurer shall file with the commission and the county auditor or elections officer of the county in which the candidate resides, or in the case of a political committee, the county in which the committee maintains its office or headquarters, and if there is no office or headquarters then in the county in which the treasurer resides, a report containing the information required by RCW 42.17.090:
(a) On the twenty-first day and the seventh day immediately preceding the date on which the election is held; and
(b) On the tenth day of the first month after the election: PROVIDED, That this report shall not be required following a primary election from:
(i) A candidate whose name will appear on the subsequent general election ballot; or
(ii) Any continuing political committee; and
(c) On the tenth day of each month in which no other reports are required to be filed under this section: PROVIDED, That such report shall only be filed if the committee has received a contribution or made an expenditure in the preceding calendar month and either the total contributions received or total expenditures made since the last such report exceed two hundred dollars.
When there is no outstanding debt or obligation, and the campaign fund is closed, and the campaign is concluded in all respects, and in the case of a political committee, the committee has ceased to function and has dissolved, the treasurer shall file a final report. Upon submitting a final report, the duties of the treasurer shall cease and there shall be no obligation to make any further reports.
The report filed twenty-one days before the election shall report all contributions received and expenditures made as of the end of the fifth business day before the date of the report. The report filed seven days before the election shall report all contributions received and expenditures made as of the end of the one business day before the date of the report. Reports filed on the tenth day of the month shall report all contributions received and expenditures made from the closing date of the last report filed through the last day of the month preceding the date of the current report.
(3) For the period beginning the first day of the fourth month preceding the date on which the special or general election is held and ending on the date of that election, each Friday the treasurer shall file with the commission and the appropriate county elections officer a report of each bank deposit made during the previous seven calendar days. The report shall contain the name of each person contributing the funds so deposited and the amount contributed by each person. However, contributions of no more than twenty-five dollars in the aggregate from any one person may be deposited without identifying the contributor. A copy of the report shall be retained by the treasurer for his or her records. In the event of deposits made by a deputy treasurer, the copy shall be forwarded to the treasurer for his or her records. Each report shall be certified as correct by the treasurer or deputy treasurer making the deposit.
(4) The treasurer or candidate shall maintain books of account accurately reflecting all contributions and expenditures on a current basis within five business days of receipt or expenditure. During the eight days immediately preceding the date of the election the books of account shall be kept current within one business day ((and shall)). As specified in the committee's statement of organization filed under RCW 42.17.040, the books of account must be open for public inspection as follows:
(a) For at least two consecutive hours ((Monday through Friday, excluding legal holidays)) on the eighth day immediately before the election, between 8:00 a.m. and 8:00 p.m., as specified in the committee's statement of organization filed pursuant to RCW 42.17.040, at the principal headquarters or, if there is no headquarters, at the address of the treasurer or such other place as may be authorized by the commission; and
(b) By appointment for inspections to be conducted at the designated place for inspections between 8:00 a.m. and 8:00 p.m. on any other day from the seventh day through the day immediately before the election, other than Saturday, Sunday, or a legal holiday. It is a violation of this chapter for a candidate or political committee to refuse to allow and keep an appointment for an inspection to be conducted during these authorized times and days in the week prior to the election. The appointment must be allowed at an authorized time and day for such inspections that is within twenty-four hours of the time and day that is requested for the inspection.
(5) The treasurer or candidate shall preserve books of account, bills, receipts, and all other financial records of the campaign or political committee for not less than five calendar years following the year during which the transaction occurred.
(((5))) (6) All reports filed pursuant to subsections (1) or (2) of this section shall be certified as correct by the candidate and the treasurer.
(((6))) (7) Copies of all reports filed pursuant to this section shall be readily available for public inspection for at least two consecutive hours Monday through Friday, excluding legal holidays, between 8:00 a.m. and 8:00 p.m., as specified in the committee's statement of organization filed pursuant to RCW 42.17.040, at the principal headquarters or, if there is no headquarters, at the address of the treasurer or such other place as may be authorized by the commission.
(((7))) (8) The commission shall adopt administrative rules establishing requirements for filer participation in any system designed and implemented by the commission for the electronic filing of reports.
NEW SECTION. Sec. 13. By September 1, 2000, the joint legislative audit and review committee shall have completed a performance audit of the duties and staffing of the public disclosure commission.
NEW SECTION. Sec. 14. If specific funding for the purposes of this act, referencing this act by bill or chapter number, is not provided by June 30, 1999, in the omnibus appropriations act, this act is null and void."
Correct the title., and the same are herewith transmitted.
TIMOTHY A. MARTIN, Co-Chief Clerk
DEAN R. FOSTER, Co-Chief Clerk
MOTION
On motion of Senator Gardner, the Senate refuses to concur in the House amendment to Engrossed Second Substitute Senate Bill No. 5931 and asks the House to recede therefrom.
MESSAGE FROM THE HOUSE
April 12, 1999
MR. PRESIDENT:
The House has passed ENGROSSED SUBSTITUTE SENATE BILL NO. 5988 with the following amendment(s):
Strike everything after the enacting clause and insert the following:
"Sec. 1. RCW 28A.225.010 and 1998 c 244 s 14 are each amended to read as follows:
(1) All parents in this state of any child eight years of age and under eighteen years of age shall cause such child to attend the public school of the district in which the child resides and such child shall have the responsibility to and therefore shall attend for the full time when such school may be in session unless:
(a) The child is attending an approved private school for the same time or is enrolled in an extension program as provided in RCW 28A.195.010(4);
(b) The child is receiving home-based instruction as provided in subsection (((4))) (5) of this section;
(c) The child is attending an education center as provided in chapter 28A.205 RCW;
(d) The school district superintendent of the district in which the child resides shall have excused such child from attendance because the child is physically or mentally unable to attend school, is attending a residential school operated by the department of social and health services, is incarcerated in an adult correctional facility, or has been temporarily excused upon the request of his or her parents for purposes agreed upon by the school authorities and the parent: PROVIDED, That such excused absences shall not be permitted if deemed to cause a serious adverse effect upon the student's educational progress: PROVIDED FURTHER, That students excused for such temporary absences may be claimed as full time equivalent students to the extent they would otherwise have been so claimed for the purposes of RCW 28A.150.250 and 28A.150.260 and shall not affect school district compliance with the provisions of RCW 28A.150.220; or
(e) The child is sixteen years of age or older and:
(i) The child is regularly and lawfully employed and either the parent agrees that the child should not be required to attend school or the child is emancipated in accordance with chapter 13.64 RCW;
(ii) The child has already met graduation requirements in accordance with state board of education rules and regulations; or
(iii) The child has received a certificate of educational competence under rules and regulations established by the state board of education under RCW 28A.305.190.
(2) If a parent enrolls a child six years of age and under eight years of age in the public school of the district in which the child resides, that parent has the responsibility to ensure the child attends, and the child has the responsibility to attend, for the full time when that school is in session, except for a child who is or will be home schooled under chapter 28A.200 RCW or unless one of the other exceptions in subsection (1) of this section is met. This subsection does not apply to a child enrolled in a public school part-time for the purpose of receiving ancillary services. An exception shall be made to this requirement for children whose parents formally remove them from enrollment in kindergarten if the child is less than eight years old.
(3) A parent for the purpose of this chapter means a parent, guardian, or person having legal custody of a child.
(((3))) (4) An approved private school for the purposes of this chapter and chapter 28A.200 RCW shall be one approved under regulations established by the state board of education pursuant to RCW 28A.305.130.
(((4))) (5) For the purposes of this chapter and chapter 28A.200 RCW, instruction shall be home-based if it consists of planned and supervised instructional and related educational activities, including a curriculum and instruction in the basic skills of occupational education, science, mathematics, language, social studies, history, health, reading, writing, spelling, and the development of an appreciation of art and music, provided for a number of hours equivalent to the total annual program hours per grade level established for approved private schools under RCW 28A.195.010 and 28A.195.040 and if such activities are:
(a) Provided by a parent who is instructing his or her child only and are supervised by a certificated person. A certificated person for purposes of this chapter and chapter 28A.200 RCW shall be a person certified under chapter 28A.410 RCW. For purposes of this section, "supervised by a certificated person" means: The planning by the certificated person and the parent of objectives consistent with this subsection; a minimum each month of an average of one contact hour per week with the child being supervised by the certificated person; and evaluation of such child's progress by the certificated person. The number of children supervised by the certificated person shall not exceed thirty for purposes of this subsection; or
(b) Provided by a parent who is instructing his or her child only and who has either earned forty-five college level quarter credit hours or its equivalent in semester hours or has completed a course in home-based instruction at a postsecondary institution or a vocational-technical institute; or
(c) Provided by a parent who is deemed sufficiently qualified to provide home-based instruction by the superintendent of the local school district in which the child resides.
(((5))) (6) The legislature recognizes that home-based instruction is less structured and more experiential than the instruction normally provided in a classroom setting. Therefore, the provisions of subsection (((4))) (5) of this section relating to the nature and quantity of instructional and related educational activities shall be liberally construed.
Sec. 2. RCW 28A.225.020 and 1996 c 134 s 2 are each amended to read as follows:
(1) If a child required to attend school under RCW 28A.225.010 fails to attend school without valid justification, the public school in which the child is enrolled shall:
(a) Inform the child's custodial parent, parents, or guardian by a notice in writing or by telephone whenever the child has failed to attend school after one unexcused absence within any month during the current school year. School officials shall inform the parent of the potential consequences of additional unexcused absences;
(b) Schedule a conference or conferences with the custodial parent, parents, or guardian and child at a time reasonably convenient for all persons included for the purpose of analyzing the causes of the child's absences after two unexcused absences within any month during the current school year. If a regularly scheduled parent-teacher conference day is to take place within thirty days of the second unexcused absence, then the school district may schedule this conference on that day; and
(c) Take steps to eliminate or reduce the child's absences. These steps shall include, where appropriate, adjusting the child's school program or school or course assignment, providing more individualized or remedial instruction, providing appropriate vocational courses or work experience, referring the child to a community truancy board, requiring the child to attend an alternative school or program, or assisting the parent or child to obtain supplementary services that might eliminate or ameliorate the cause or causes for the absence from school. If the child's parent does not attend the scheduled conference, the conference may be conducted with the student and school official. However, the parent shall be notified of the steps to be taken to eliminate or reduce the child's absence.
(2) For purposes of this chapter, an "unexcused absence" means that a child:
(a) Has failed to attend the majority of hours or periods in an average school day or has failed to comply with a more restrictive school district policy; and
(b) Has failed to meet the school district's policy for excused absences.
(3) If a child transfers from one school district to another, the receiving school or school district shall honor the attendance record including the unexcused absences accumulated at the previous school or from the previous school district.
Sec. 3. RCW 28A.225.030 and 1996 c 134 s 3 are each amended to read as follows:
(1) If a child is required to attend school under RCW 28A.225.010 and if the actions taken by a school district under RCW 28A.225.020 are not successful in substantially reducing an enrolled student's absences from public school, not later than the seventh unexcused absence by a child within any month during the current school year or not later than the tenth unexcused absence during the current school year the school district shall file a petition and supporting affidavit for a civil action with the juvenile court alleging a violation of RCW 28A.225.010: (a) By the parent; (b) by the child; or (c) by the parent and the child. However, if the petition alleges a violation of RCW 28A.225.010(2), the petition shall only allege a violation by the parent. Except as provided in this subsection, no additional documents need be filed with the petition.
(2) The district shall not later than the fifth unexcused absence in a month:
(a) Enter into an agreement with a student and parent that establishes school attendance requirements;
(b) Refer a student to a community truancy board as defined in RCW 28A.225.025. The community truancy board shall enter into an agreement with the student and parent that establishes school attendance requirements and take other appropriate actions to reduce the child's absences; or
(c) File a petition under subsection (1) of this section.
(3) The petition may be filed by a school district employee who is not an attorney.
(4) If the school district fails to file a petition under this section, the parent of a child with five or more unexcused absences in any month during the current school year or upon the tenth unexcused absence during the current school year may file a petition with the juvenile court alleging a violation of RCW 28A.225.010.
(5) Petitions filed under this section may be served by certified mail, return receipt requested. If such service is unsuccessful, or the return receipt is not signed by the addressee, personal service is required.
Sec. 4. RCW 28A.225.035 and 1997 c 68 s 1 are each amended to read as follows:
(1) A petition for a civil action under RCW 28A.225.030 shall consist of a written notification to the court alleging that:
(a) The child has unexcused absences during the current school year;
(b) Actions taken by the school district have not been successful in substantially reducing the child's absences from school; and
(c) Court intervention and supervision are necessary to assist the school district or parent to reduce the child's absences from school.
(2) The petition shall set forth the name, age, school, and residence of the child and the names and residence of the child's parents.
(3) The petition shall set forth facts that support the allegations in this section and shall generally request relief available under this chapter and provide information about what the court might order under RCW 28A.225.090.
(4) ((When a petition is filed under RCW 28A.225.030)) Upon receipt of a petition and supporting affidavit from a school district alleging a violation of RCW 28A.225.010 by a child subject to this chapter, the juvenile court shall require that the child, if age eight or older, a parent, and a school representative appear before a truancy board as defined in RCW 28A.225.025, unless the respondent requests a hearing before the court.
(5) Within thirty days of receipt of the truancy referral, the truancy board shall meet with the child, a parent, and the school representative, and enter into an agreement regarding expectations and any actions necessary to address the truancy. The agreement shall be presented to the court for its approval. The court may approve the agreement without a separate hearing. The court shall approve the agreement by order or shall schedule a hearing. The court may, if the school district and community truancy board agree, permit the truancy board to provide continued supervision over the student and report on compliance with the agreement.
(6) Notwithstanding the provisions in subsection (4) of this section, if the juvenile court finds that a truancy board would not be the most effective means of addressing the underlying truancy due to extenuating circumstances, the juvenile court shall schedule a hearing at which the court shall consider the petition. However, a hearing shall not be required if other actions by the court would substantially reduce the child's unexcused absences. When a hearing is held, the court shall:
(a) Separately notify the child, the parent of the child, and the school district of the hearing;
(b) Notify the parent and the child of their rights to present evidence at the hearing; and
(c) Notify the parent and the child of the options and rights available under chapter 13.32A RCW.
(((5))) (7) Except as provided in RCW 28A.225.030(1) the court may require the attendance of both the child and the parents at any hearing on a petition filed under RCW 28A.225.030.
(((6))) (8) A school district is responsible for determining who shall represent the school district at hearings on a petition filed under RCW 28A.225.030.
(9) The court may permit the first hearing to be held without requiring that either party be represented by legal counsel, and to be held without a guardian ad litem for the child under RCW 4.08.050. At the request of the school district, the court ((may)) shall permit a school district representative who is not an attorney to represent the school district at any future hearings.
(((7))) (10) If the allegations in the petition are established by a preponderance of the evidence, the court shall grant the petition and enter an order assuming jurisdiction to intervene for the period of time determined by the court, after considering the facts alleged in the petition and the circumstances of the juvenile, to most likely cause the juvenile to return to and remain in school while the juvenile is subject to this chapter. In no case may the order expire before the end of the school year in which it is entered.
(((8))) (11) If the court assumes jurisdiction, the school district shall regularly report to the court any additional unexcused absences by the child.
(((9))) (12) Community truancy boards and the courts shall coordinate, to the extent possible, proceedings and actions pertaining to children who are subject to truancy petitions and at-risk youth petitions in RCW 13.32A.191 or child in need of services petitions in RCW 13.32A.140.
(13) If after a juvenile court assumes jurisdiction in one county the child relocates to another county, the juvenile court in the receiving county shall, upon the request of a school district or parent, assume jurisdiction of the petition filed in the previous county.
Sec. 5. RCW 28A.225.090 and 1998 c 296 s 39 are each amended to read as follows:
(1) A court may order a child subject to a petition under RCW 28A.225.035 to:
(a) Attend the child's current school;
(b) If there is space available and the program can provide educational services appropriate for the child, order the child to attend another public school, an alternative education program, center, a skill center, dropout prevention program, or another public educational program;
(c) Attend a private nonsectarian school or program including an education center. Before ordering a child to attend an approved or certified private nonsectarian school or program, the court shall: (i) Consider the public and private programs available; (ii) find that placement is in the best interest of the child; and (iii) find that the private school or program is willing to accept the child and will not charge any fees in addition to those established by contract with the student's school district. If the court orders the child to enroll in a private school or program, the child's school district shall contract with the school or program to provide educational services for the child. The school district shall not be required to contract for a weekly rate that exceeds the state general apportionment dollars calculated on a weekly basis generated by the child and received by the district. A school district shall not be required to enter into a contract that is longer than the remainder of the school year. A school district shall not be required to enter into or continue a contract if the child is no longer enrolled in the district;
(d) Be referred to a community truancy board, if available; or
(e) Submit to testing for the use of controlled substances or alcohol based on a determination that such testing is appropriate to the circumstances and behavior of the child and will facilitate the child's compliance with the mandatory attendance law.
(2) If the child fails to comply with the court order, the court may order the child to be punished by detention, as provided in RCW 7.21.030(2)(e), or may impose alternatives to detention such as community service. Failure by a child to comply with an order issued under this subsection shall not be punishable by detention for a period greater than that permitted pursuant to a civil contempt proceeding against a child under chapter 13.32A RCW.
(3) If the child continues to be truant after entering into a court-approved agreement with the truancy board under RCW 28A.225.035, or if the child fails to enter into an agreement with the truancy board, the truancy board shall return the matter to the juvenile court for a hearing. If upon entering an order the child continues to be truant, the juvenile court shall find the child in contempt and impose a remedial sanction in accordance with chapter 7.21 RCW designed to immediately return the child to school, including the actual imposition of detention. The court shall consider the fact that the child was provided ample opportunity to attend school with assistance from the truancy board.
(4) Any parent violating any of the provisions of either RCW 28A.225.010 or 28A.225.080 shall be fined not more than twenty-five dollars for each day of unexcused absence from school. It shall be a defense for a parent charged with violating RCW 28A.225.010 to show that he or she exercised reasonable diligence in attempting to cause a child in his or her custody to attend school or that the child's school did not perform its duties as required in RCW 28A.225.020. The court may order the parent to provide community service instead of imposing a fine. Any fine imposed pursuant to this section may be suspended upon the condition that a parent charged with violating RCW 28A.225.010 shall participate with the school and the child in a supervised plan for the child's attendance at school or upon condition that the parent attend a conference or conferences scheduled by a school for the purpose of analyzing the causes of a child's absence.
Sec. 6. RCW 28A.225.025 and 1996 c 134 s 9 are each amended to read as follows:
For purposes of this chapter, "community truancy board" means a board composed of members of the local community in which the child attends school. Juvenile courts shall establish and operate community truancy boards. However, establishment and operation of community truancy boards may be delegated to school districts with the agreement of both the court and the school district. The ((local school district boards of directors may create a community truancy board or)) juvenile courts may use other ((boards)) entities that exist or are created, such as diversion ((boards)) units. However, a diversion unit or other existing ((board)) entity must agree before it is used as a truancy board. ((Members of the board shall be selected from representatives of the community.)) Duties of a community truancy board shall include, but not be limited to, recommending methods for improving school attendance such as assisting the parent or the child to obtain supplementary services that might eliminate or ameliorate the causes for the absences or suggesting to the school district that the child enroll in another school, an alternative education program, an education center, a skill center, a dropout prevention program, or another public or private educational program.
NEW SECTION. Sec. 7. A new section is added to chapter 28A.300 RCW to read as follows:
The superintendent of public instruction shall provide, to the extent funds are appropriated, start-up grants for alternative programs and services that provide instruction and learning for truant, at-risk, and expelled students. Each grant application shall contain proposed performance indicators and an evaluation plan to measure the success of the program and its impact on improved student learning. Applications shall contain the applicant's plan for maintaining the program and services after the grant period.
NEW SECTION. Sec. 8. If funds are appropriated by the legislature for this specific purpose the superintendent of public instruction shall contract with the institute for public policy or a similar agency to: Evaluate the effectiveness of the petition process and community truancy boards in chapter 28A.225 RCW in reducing truancy; determine whether students who do return to school after being subject to court action have disciplinary actions such as suspensions or expulsions, establish patterns of improved attendance, are successful in their classes, and successfully complete their education program; and determine the costs imposed on school districts by the petition process and other truancy-related procedural requirements required by the legislature in 1992 and thereafter.
The cost determination shall be submitted to the appropriate committees of the legislature by December 15, 1999. The evaluation shall be submitted to the appropriate committees of the legislature by December 15, 2000.
This section expires December 31, 2000.
NEW SECTION. Sec. 9. 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."
Correct the title., and the same are herewith transmitted.
TIMOTHY A. MARTIN, Co-Chief Clerk
DEAN R. FOSTER, Co-Chief Clerk
MOTION
On motion of Senator Eide, the Senate refuses to concur in the House amendment to Engrossed Substitute Senate Bill No. 5988 and asks the House to recede therefrom.
MESSAGE FROM THE HOUSE
April 17, 1999
MR. PRESIDENT:
The House refuses to concur in the Senate amendment(s) to ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 1006 and asks the Senate to recede therefrom, and the same are herewith transmitted.
TIMOTHY A. MARTIN, Co-Chief Clerk
DEAN R. FOSTER, Co-Chief Clerk
MOTION
On motion of Senator Heavey, the Senate refuses to recede from the Senate amendment(s) to Engrossed Second Substitute House Bill No. 1006 and asks the House to concur therein.
MESSAGE FROM THE HOUSE
April 19, 1999
MR. PRESIDENT:
The House refuses to concur in the Senate amendment(s) to SUBSTITUTE HOUSE BILL NO. 1317 and asks the Senate to recede therefrom, and the same are herewith transmitted.
DEAN R. FOSTER, Co-Chief Clerk
TIMOTHY A. MARTIN, Co-Chief Clerk
MOTION
On motion of Senator Haugen, the Senate refuses to recede from the Senate amendment(s) to Substitute House Bill No. 1317 and asks the House to concur therein.
MESSAGE FROM THE HOUSE
April 19, 1999
MR. PRESIDENT:
The House refuses to concur in the Senate amendment(s) to SUBSTITUTE HOUSE BILL NO. 1376 and asks the Senate to recede therefrom, and the same are herewith transmitted.
DEAN R. FOSTER, Co-Chief Clerk
TIMOTHY A. MARTIN, Co-Chief Clerk
MOTION
On motion of Senator Haugen, the Senate refuses to recede from the Senate amendment(s) to Substitute House Bill No. 1376 and asks the House to concur therein.
MESSAGE FROM THE HOUSE
April 15, 1999
MR. PRESIDENT:
The House has passed SUBSTITUTE HOUSE BILL NO. 6058 with the following amendment(s):
Strike everything after the enacting clause and insert:
"Sec. 1. RCW 82.04.120 and 1998 c 168 s 1 are each amended to read as follows:
"To manufacture" embraces 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 shall include: (1) The production or fabrication of special made or custom made articles; and (2) the production or fabrication of dental appliances, devices, restorations, substitutes, or other dental laboratory products by a dental laboratory or dental technician.
"To manufacture" shall not include: Conditioning of seed for use in planting; cubing hay or alfalfa; ((or)) activities which consist of cutting, grading, or ice glazing seafood which has been cooked, frozen, or canned outside this state; the growing, harvesting, or producing of agricultural products; or packing of agricultural products, including sorting, washing, rinsing, grading, waxing, treating with fungicide, packaging, chilling, or placing in controlled atmospheric storage.
Sec. 2. RCW 82.60.020 and 1996 c 290 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) "Applicant" means a person applying for a tax deferral under this chapter.
(2) "Controlled atmosphere fruit storage" means any storage warehouse consisting of one or more rooms, or one or more rooms in any one facility in which atmospheric gases are controlled in their amount and in degrees of temperature for the purpose of controlling the condition and maturity of any fresh fruits in order that, upon removal, they may be designated as having been exposed to controlled atmosphere.
(3) "Department" means the department of revenue.
(((3))) (4) "Eligible area" means: (a) A county in which the average level of unemployment for the three years before the year in which an application is filed under this chapter exceeds the average state unemployment for those years by twenty percent; (b) a county that has a median household income that is less than seventy-five percent of the state median household income for the previous three years; (c) a metropolitan statistical area, as defined by the office of federal statistical policy and standards, United States department of commerce, in which the average level of unemployment for the calendar year immediately preceding the year in which an application is filed under this chapter exceeds the average state unemployment for such calendar year by twenty percent; (d) a designated community empowerment zone approved under RCW 43.63A.700 or a county containing such a community empowerment zone; (e) a town with a population of less than twelve hundred persons
in those counties that are not covered under (a) of this subsection that are timber impact areas as defined in RCW 43.31.601; (f) a county designated by the governor as an eligible area under RCW 82.60.047; or (g) a county that is contiguous to a county that qualifies as an eligible area under (a) or (f) of this subsection.
(((4))) (5)(a) "Eligible investment project" means:
(i) An investment project in an eligible area as defined in subsection (((3))) (4)(a), (b), (c), (e), or (f) of this section; or
(ii) That portion of an investment project in an eligible area as defined in subsection (((3))) (4)(d) or (g) of this section which is directly utilized to create at least one new full-time qualified employment position for each three hundred thousand dollars of investment on which a deferral is requested in an application approved before July 1, 1994, and for each seven hundred fifty thousand dollars of investment on which a deferral is requested in an application approved after June 30, 1994.
(b) The lessor/owner of a 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.
(c) For purposes of (a)(ii) of this subsection:
(i) The department shall consider the entire investment project, including any investment in machinery and equipment that otherwise qualifies for exemption under RCW 82.08.02565 or 82.12.02565, for purposes of determining the portion of the investment project that qualifies for deferral as an eligible investment project; and
(ii) The number of new full-time qualified employment positions created by an investment project shall be deemed to be reduced by the number of full-time employment positions maintained by the recipient in any other community in this state that are displaced as a result of the investment project.
(d) "Eligible investment project" does not include any portion of an investment project undertaken by a light and power business as defined in RCW 82.16.010(5), other than that portion of a cogeneration project that is used to generate power for consumption within the manufacturing site of which the cogeneration project is an integral part, or investment projects which have already received deferrals under this chapter.
(((5))) (6) "Investment project" means an investment in qualified buildings or qualified machinery and equipment, including labor and services rendered in the planning, installation, and construction of the project.
(((6))) (7) "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 shall include the production or fabrication of specially made or custom made articles)) the same as defined in RCW 82.04.120. "Manufacturing" also includes computer programming, the production of computer software, and other computer-related services, and the activities performed by research and development laboratories and commercial testing laboratories.
(((7))) (8) "Person" has the meaning given in RCW 82.04.030.
(((8))) (9) "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 manufacturing, controlled atmosphere fruit storage, and research and development activities, including plant offices and warehouses or other facilities for the storage of raw material or finished goods if such facilities are an essential or an integral part of a factory, mill, plant, or laboratory used for manufacturing, controlled atmosphere fruit storage, or research and development. If a building is used partly for manufacturing, controlled atmosphere fruit storage, 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.
(((9))) (10) "Qualified employment position" means a permanent full-time employee employed in the eligible investment project during the entire tax year.
(((10))) (11) "Qualified machinery and equipment" means all new industrial and research fixtures, equipment, and support facilities that are an integral and necessary part of a manufacturing, controlled atmosphere fruit storage, 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.
(((11))) (12) "Recipient" means a person receiving a tax deferral under this chapter.
(((12))) (13) "Research and development" means the development, refinement, testing, marketing, and commercialization of a product, service, or process before commercial sales have begun. As used in this subsection, "commercial sales" 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.
Sec. 3. RCW 82.62.010 and 1996 c 290 s 5 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 credit under this chapter.
(2) "Department" means the department of revenue.
(3) "Eligible area" means: (a) A county in which the average level of unemployment for the three years before the year in which an application is filed under this chapter exceeds the average state unemployment for those years by twenty percent; (b) a county that has a median household income that is less than seventy-five percent of the state median household income for the previous three years; (c) a metropolitan statistical area, as defined by the office of federal statistical policy and standards, United States department of commerce, in which the average level of unemployment for the calendar year immediately preceding the year in which an application is filed under this chapter exceeds the average state unemployment for such calendar year by twenty percent; (d) a designated community empowerment zone approved under RCW 43.63A.700; or (e) subcounty areas in those counties that are not covered under (a) of this subsection that are timber impact areas as defined in RCW 43.31.601.
(4)(a) "Eligible business project" means manufacturing or research and development activities which are conducted by an applicant in an eligible area at a specific facility, provided the applicant's average full-time qualified employment positions at the specific facility will be at least fifteen percent greater in the year for which the credit is being sought than the applicant's average full-time qualified employment positions at the same facility in the immediately preceding year.
(b) "Eligible business project" does not include any portion of a business project undertaken by a light and power business as defined in RCW 82.16.010(5) or that portion of a business project creating qualified full-time employment positions outside an eligible area or those recipients of a sales tax deferral under chapter 82.61 RCW.
(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 shall include the production or fabrication of specially made or custom made articles)) the same as defined in RCW 82.04.120. "Manufacturing" also includes computer programming, the production of computer software, and other computer-related services, and the activities performed by research and development laboratories and commercial testing laboratories.
(6) "Person" has the meaning given in RCW 82.04.030.
(7) "Qualified employment position" means a permanent full-time employee employed in the eligible business project during the entire tax year.
(8) "Tax year" means the calendar year in which taxes are due.
(9) "Recipient" means a person receiving tax credits under this chapter.
(10) "Research and development" means the development, refinement, testing, marketing, and commercialization of a product, service, or process before commercial sales have begun. As used in this subsection, "commercial sales" 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.
Sec. 4. RCW 82.04.120 and 1999 c . . . s 1 (section 1 of this act) are each amended to read as follows:
"To manufacture" embraces 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 shall include: (1) The production or fabrication of special made or custom made articles; and (2) the production or fabrication of dental appliances, devices, restorations, substitutes, or other dental laboratory products by a dental laboratory or dental technician.
"To manufacture" shall not include: Conditioning of seed for use in planting; cubing hay or alfalfa; activities which consist of cutting, grading, or ice glazing seafood which has been cooked, frozen, or canned outside this state; the growing, harvesting, or producing of agricultural products; ((or)) packing of agricultural products, including sorting, washing, rinsing, grading, waxing, treating with fungicide, packaging, chilling, or placing in controlled atmospheric storage; or activities which consist of the assembly of an article from pumping equipment, motor equipment, or compressor equipment, including starters, controls, couplings, blowers, and other accessories for such equipment, if some of the equipment and accessories are purchased from another person and the amount paid for the purchased equipment and accessories is at least eighty percent of the costs of the goods sold, based on materials, labor, and direct overhead.
NEW SECTION. Sec. 5. Sections 1, 2(7), and 3 of this act are intended to clarify that this is the intent of the legislature both retroactively and prospectively.
NEW SECTION. Sec. 6. 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. 7. 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 takes effect immediately."
Correct the title., and the same are herewith transmitted.
DEAN R. FOSTER, Co-Chief Clerk
TIMOTHY A. MARTIN, Co-Chief Clerk
MOTION
Senator Johnson moved that the Senate concur in the House amendment to Substitute Senate Bill No. 6058.
MOTION
Senator Snyder moved that further consideration of Substitute Senate Bill No. 6058 be deferred.
Senator Johnson demanded a roll call and the demand was sustained.
The President declared the question before the Senate to be the motion by Senator Snyder to defer further consideration of Substitute Senate Bill No. 6058.
ROLL CALL
The Secretary called the roll and the motion by Senator Snyder to defer further consideration of Substitute Senate Bill No. 6058 carried by the following vote: Yeas, 25; Nays, 22; Absent, 0; Excused, 2.
Voting yea: Senators Bauer, Costa, Eide, Fairley, Franklin, Fraser, Gardner, Goings, Hargrove, Haugen, Heavey, Jacobsen, Kline, Kohl-Welles, Loveland, McAuliffe, Patterson, Prentice, Rasmussen, Sheldon, B., Shin, Snyder, Spanel, Thibaudeau and Wojahn - 25.
Voting nay: Senators Benton, Deccio, Hale, Hochstatter, Honeyford, Horn, Johnson, Long, McCaslin, McDonald, Morton, Oke, Roach, Rossi, Sellar, Sheahan, Sheldon, T., Stevens, Swecker, West, Winsley and Zarelli - 22.
Excused: Senators Brown and Finkbeiner - 2.
MESSAGE FROM THE HOUSE
April 19, 1999
MR. PRESIDENT:
The House refuses to concur in the Senate amendment(s) to ENGROSSED SUBSTITUTE HOUSE BILL NO. 1562 and asks the Senate to recede therefrom, and the same are herewith transmitted.
TIMOTHY A. MARTIN, Co-Chief Clerk
DEAN R. FOSTER, Co-Chief Clerk
MOTION
On motion of Senator Haugen, the Senate refuses to recede from the Senate amendment(s) to Engrossed Substitute House Bill No. 1562 and asks the House to concur therein.
MESSAGE FROM THE HOUSE
April 19, 1999
MR. PRESIDENT:
The House refuses to concur in the Senate amendment(s) to HOUSE BILL NO. 1378 and asks the Senate to recede therefrom, and the same are herewith transmitted.
DEAN R. FOSTER, Co-Chief Clerk
TIMOTHY A. MARTIN, Co-Chief Clerk
MOTION
On motion of Senator Goings, the Senate refuses to recede from the House amendment(s) to House Bill No. 1378 and asks the House to concur therein.
MOTION
At 9:49 a.m., on motion of Senator Betti Sheldon, the Senate was declared to be at ease.
The Senate was called to order at 10:56 a.m. by President Owen.
MOTION
On motion of Senator Betti Sheldon, the Senate advanced to the sixth order of business.
MOTION
On motion of Senator Honeyford, Senator Swecker was excused.
SECOND READING
CONFIRMATION OF GUBERNATORIAL APPOINTMENTS
MOTION
On motion of Senator Prentice, Gubernatorial Appointment No. 9153, Karen Miller, as a member of the Housing Finance Commission, was confirmed.
Senators Prentice, Long and Shin spoke to the confirmation of Karen Miller as a member of the Housing Finance Commission.
APPOINTMENT OF KAREN MILLER
The Secretary called the roll. The appointment was confirmed by the following vote: Yeas, 45; Nays, 0; Absent, 2; Excused, 2.
Voting yea: Senators Benton, Brown, Costa, Deccio, Eide, Fairley, Franklin, Fraser, Gardner, Goings, Hale, Hargrove, Haugen, Heavey, Hochstatter, Honeyford, Horn, Jacobsen, Johnson, Kline, Kohl-Welles, Long, Loveland, McAuliffe, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sellar, Sheahan, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Stevens, Thibaudeau, West, Winsley, Wojahn and Zarelli - 45.
Absent: Senators Bauer and McDonald - 2.
Excused: Senators Finkbeiner and Swecker - 2.
MOTION
On motion of Senator Goings, Gubernatorial Appointment No. 9048, Arnold Wright, as a member of the Board of Trustees for Clover Park Technical College District No. 29, was confirmed.
APPOINTMENT OF ARNOLD WRIGHT
The Secretary called the roll. The appointment was confirmed by the following vote: Yeas, 44; Nays, 0; Absent, 3; Excused, 2.
Voting yea: Senators Bauer, Benton, Brown, Costa, Eide, Fairley, Franklin, Fraser, Gardner, Goings, Hale, Hargrove, Haugen, Heavey, Hochstatter, Honeyford,
Horn, Jacobsen, Johnson, Kline, Kohl-Welles, Long, Loveland, McAuliffe, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sellar, Sheahan, Sheldon, B., Sheldon, T., Shin, Spanel, Stevens, Thibaudeau, West, Winsley, Wojahn and Zarelli - 44.
Absent: Senators Deccio, McDonald and Snyder - 3.
Excused: Senators Finkbeiner and Swecker - 2.
MOTION
On motion of Senator Honeyford, Senator Zarelli was excused.
SECOND READING
SENATE BILL NO. 5180, by Senators Loveland, West, Brown and Winsley (by request of Governor Locke)
Making appropriations for the 1999-01 biennium.
MOTIONS
On motion of Senator Loveland, Substitute Senate Bill No. 5180 was substituted for Senate Bill No. 5180 and the substitute bill was placed on second reading and read the second time.
Senator West moved that the following amendments by Senators West and Sheahan be considered simultaneously and be adopted:
On page 14, on line 32, strike "72,469,000" and insert "72,688,000"
On page 14, on line 33, strike "71,387,000" and insert "72,252,000" and readjust the totals accordingly.
On page 20, on line 16 strike "1,157,000" and insert "1,376,000".
On page 20, on line 17, strike "1,723,000" and insert "2,588,000".
Debate ensued.
The President declared the question before the Senate to be the adoption of the amendments by Senators West and Sheahan on page 14, lines 32 and 33, and page 20, lines 16 and 17, to Substitute Senate Bill No. 5180.
The motion by Senator West failed and the amendments were not adopted.
MOTION
Senator Rossi moved that the following amendments be considered simultaneously and be adopted:
On page 19, after line 22, strike all material through "project." on line 25.
On page 14, on line 32, strike "72,469,000" and insert "72,219,000"
On page 60, on line 18, strike "68,937,000" and insert "69,187,000"
Senator Johnson demanded a roll call and the demand was sustained.
Debate ensued.
POINT OF ORDER
Senator Roach: “A point of order, Mr. President. We have just made a big deal this session about not reading Senator’s names and going for the districts. I think the Senator from whatever district should be reading the districts of those Senators as he goes down the list.”
Senator Bauer: “Mr. President, I had asked the permission of the President to read this--”
REPLY BY THE PRESIDENT
President Owen: “The Senator is not addressing the other Senators. He asked for permission from the body to read and he is doing exactly that.”
Further debate ensued.
CALL FOR THE PREVIOUS QUESTION
Senators Snyder, Prentice and Wojahn called for the previous question.
The President declared the question before the Senate to be shall the main question be now put.
The motion carried and the call for the previous question carried.
The President declared the question before the Senate to be the roll call on the adoption of the amendments by Senator Rossi on page 14, line 32; page 19, line 22; and page 60, line 18; to Substitute Senate Bill No. 5180.
ROLL CALL
The Secretary called the roll and the amendments were not adopted by the following vote: Yeas, 20; Nays, 25; Absent, 1; Excused, 3.
Voting yea: Senators Benton, Deccio, Hale, Hochstatter, Honeyford, Horn, Johnson, Long, McCaslin, Morton, Oke, Patterson, Roach, Rossi, Sellar, Sheahan, Sheldon, T., Stevens, West and Winsley - 20.
Voting nay: Senators Bauer, Brown, Costa, Eide, Fairley, Franklin, Fraser, Gardner, Goings, Hargrove, Haugen, Heavey, Jacobsen, Kline, Kohl-Welles, Loveland, McAuliffe, Prentice, Rasmussen, Sheldon, B., Shin, Snyder, Spanel, Thibaudeau and Wojahn - 25.
Absent: Senator McDonald - 1.
Excused: Senators Finkbeiner, Swecker and Zarelli - 3.
MOTION
Senator Honeyford moved that the following amendment be adopted:
On page 74, after line 18, insert the following:
"(24) $100,000 of the water quality account appropriation is provided for a grant to the Yakima conservation district for a demonstration project of nitrogen removal technology in the Granger drain."
Debate ensued.
The President declared the question before the Senate to be the adoption of the amendment by Senators Honeyford on page 74, after line 18, to Substitute Senate Bill No. 5180.
The motion by Senator Honeyford failed and the amendment was not adopted.
MOTION
Senator Morton moved that the following amendments be considered simultaneously and be adopted:
On page 77, line 14, strike "42,896,000" and insert "42,956,000"
On page 77, line 15, strike "42,443,000" and insert "42,503,000"
Adjust the total appropriation accordingly.
On page 81, after line 34, insert the following:
"(23) $60,000 of the general fund-state appropriation for fiscal year 2000 and $60,000 of the general fund-state appropriation for fiscal year 2001 are provided for the purchase of Bull Trout eggs for incubation in northeast Washington."
Debate ensued.
The President declared the question before the Senate to be the adoption of the amendments by Senator Morton on page 77, lines 14 and 15 and page 81, after line 34, to Substitute Senate Bill No. 5180.
The motion by Senator Morton failed and the amendments were not adopted.
MOTION
Senator Morton moved that the following amendments be considered simultaneously and be adopted:
On page 77, line 14, strike "42,896,000" and insert "43,241,000"
On page 77, line 15, strike "42,443,000" and insert "42,788,000"
Adjust the total appropriation accordingly.
Debate ensued.
The President declared the question before the Senate to be the adoption of the amendments by Senator Morton on page 77, lines 14 and 15, to Substitute Senate Bill No. 5180.
The motion by Senator Morton failed and the amendments were not adopted.
MOTION
Senator Benton moved that the following amendments by Senators Benton and Zarelli be considered simultaneously and be adopted:
On page 88, line 5, strike "$27,800,000" and insert "$27,975,000"
On page 88, line 6, strike "$26,535,000" and insert "$26,710,000"
On page 88, line 13, strike "147,971,000" and insert "148,321,000"
On page 93, line 25, after "low-income communities." insert the following:
"(cc) $350,000 of the general fund-state appropriation is provided solely for a K-12 transportation allocation formula study in thirty school districts with efficient pupil transportation programs. The purpose of the study is to determine the extent to which districts are underfunded for pupil transportation and to recommend modifications to the funding formula to provide adequate funding. The superintendent may commission an independent contractor to carry out the study. The study shall examine transportation programs to determine which school activities and programs fall under basic education and therefore should be considered for state funding. The superintendent shall report to the fiscal committees of the legislature and the office of financial management no later than November 15, 2000."
Debate ensued.
The President declared the question before the Senate to be the adoption of the amendments by Senators Benton and Zarelli on page 88, lines 5, 6 and 13, and page 93, line 25, to Substitute Senate Bill No. 5180.
The motion by Senator Benton failed and the amendments were not adopted.
MOTION
Senator Hochstatter moved that the following amendment by Senator Zarelli be adopted:
On page 94, line 16, after "additional 7.2" strike "certificated instructional staff" and insert "teacher"
Senator Johnson demanded a roll call and the demand was sustained.
Debate ensued
CALL FOR THE PREVIOUS QUESTION
Senators Snyder, Wojahn and Prentice called for the previous question.
The President declared the question before the Senate to be shall the main question be now put.
The motion carried and the call for the previous question carried.
The President declared the question before the Senate to be the roll call on the adoption of the amendment by Senator Zarelli on page 94, line 16, to Substitute Senate Bill No. 5180.
ROLL CALL
The Secretary called the roll and the amendment was not adopted by the following vote: Yeas, 20; Nays, 27; Absent, 0; Excused, 2.
Voting yea: Senators Benton, Deccio, Finkbeiner, Hale, Hochstatter, Honeyford, Horn, Johnson, Long, McCaslin, McDonald, Morton, Oke, Roach, Rossi, Sellar, Sheahan, Stevens, West and Winsley - 20. Voting nay: Senators Bauer, Brown, Costa, Eide, Fairley, Franklin, Fraser, Gardner, Goings, Hargrove, Haugen, Heavey, Jacobsen, Kline, Kohl-Welles, Loveland, McAuliffe, Patterson, Prentice, Rasmussen, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Thibaudeau and Wojahn - 27. Excused: Senators Swecker and Zarelli - 2.
MOTION
Senator Hochstatter moved that the following amendment by Senator Zarelli be adopted:
On page 94, line 17, after "grade 4." insert "It is legislative intent that districts not increase K-3 class sizes as a result of the new composite K-4 ratio in effect for the 1999-00 and 2000-01 school years."
Debate ensued.
Senator Finkbeiner demanded a roll call and the demand was sustained.
Further debate ensued
CALL FOR THE PREVIOUS QUESTION
Senators Snyder, Betti Sheldon and Winsley called for the previous question.
The President declared the question before the Senate to be shall the main question be now put.
The motion carried and the call for the previous question carried.
The President declared the question before the Senate to be the roll call on the adoption of the amendment by Senator Zarelli on page 94, line 17, to Substitute Senate Bill No. 5180.
ROLL CALL
The Secretary called the roll and the amendment was not adopted by the following vote: Yeas, 19; Nays, 27; Absent, 1; Excused, 2.
Voting yea: Senators Benton, Finkbeiner, Hale, Hochstatter, Honeyford, Horn, Johnson, Long, McCaslin, McDonald, Morton, Oke, Roach, Rossi, Sellar, Sheahan, Stevens, West and Winsley - 19.
Voting nay: Senators Bauer, Brown, Costa, Eide, Fairley, Franklin, Fraser, Gardner, Goings, Hargrove, Haugen, Heavey, Jacobsen, Kline, Kohl-Welles, Loveland, McAuliffe, Patterson, Prentice, Rasmussen, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Thibaudeau and Wojahn - 27.
Absent: Senator Deccio - 1.
Excused: Senators Swecker and Zarelli - 2.
MOTION
Senator Finkbeiner moved that the following amendments by Senator Zarelli be considered simultaneously and be adopted:
On page 101, line 1, strike the entire subsection (c) and insert:
"(c) "LEAP Document 12E" means the computerized tabulation of 1999-00 and 2000-01 school year salary allocations for certificated administrative staff and classified staff and derived base salaries for certificated instructional staff as developed by the legislative evaluation and accountability program committee on April 21, 1999."
On page 104, line 6, strike the entire subsection (7).
On page 104, line 21, strike the "(8)" and insert "(7)".
On page 104, line 30, strike the entire subsection (1)and insert:
"(1) $412,995,000 is provided for:
(a) A cost of living adjustment for state funded certificated instructional staff of 4.67 percent effective September 1, 1999, and another 3.0 percent effective September 1, 2000; and
(b) A cost of living adjustment for state funded classified and certificated administrative staff of 3.0 percent effective September 1, 1999, and another 3.0 percent effective September 1, 2000."
On page 105, line 15, strike "learning improvement days for certificated instructional staff,"
Renumber the sections consecutively and correct any internal references accordingly.
Debate ensued.
CALL FOR THE PREVIOUS QUESTION
Senators Snyder, Loveland and Bauer called for the previous question.
The President declared the question before the Senate to be shall the main question be now put.
The motion carried and the call for the previous question carried.
The President declared the question before the Senate to be the adoption of the amendments by Senator Zarelli on page 101, line 1; page 104, lines 6, 21, and 30; and page 105, line 15, to Substitute Senate Bill No. 5180.
The motion by Senator Finkbeiner failed and the amendments by Senator Zarelli were not adopted.
MOTION
Senator Tim Sheldon moved that the following amendment be adopted:
On page 104, after line 22, insert the following:
"(9) No part of any monies appropriated in part V may be expended for sick-leave benefits or compensation during the time an employee engages in a strike or work stoppage if the employee is using sick leave to engage in the strike or work stoppage. During a strike or work stoppage, a school district board of directors may require a signed statement from a licensed health care provider that an employee's absence was due to illness or injury."
Renumber the sections consecutively and correct any internal references accordingly.
Debate ensued.
CALL FOR THE PREVIOUS QUESTION
Senators Snyder, Spanel and Bauer called for the previous question.
The President declared the question before the Senate to be shall the main question be now put.
The motion carried on a rising vote and the call for the previous question carried.
The President declared the question before the Senate to be the adoption of the amendment by Senator Tim Sheldon on page 104, after line 22, to Substitute Senate Bill No. 5180.
The motion by Senator Tim Sheldon failed and the amendment was not adopted on a rising vote.
PARLIAMENTARY INQUIRY
Senator West: “A parliamentary inquiry. Mr. President, I can understand if there were more than half the people present voting by standing and that being declared as passing, but to have less than half the people--it is not uncommon for the people to be absent from the floor or missing from the floor. So, to not ask for the number of ‘nay’s,’ I think --and to declare the vote as being failed--an amendment requires a simple majority, not a constitutional majority and so I would ask the President to consider that as far as the last vote was concerned.”
REPLY BY THE PRESIDENT
President Owen: “Senator West, you are correct, but the President has pretty good eyes and every member on the floor is required to vote. This side over here was not standing and it was pretty clear that when I took the vote that there would not be enough votes to get the sixty percent required to pass an amendment. Based on your request, I will see to it that every time we take a division, we have both sides standing and the count be taken. Every member has that right.”
EDITOR’S NOTE: See further reply to Senator West’s parliamentary inquiry after Senator West moved amendments to Substitute Senate Bill No. 5180.
POINT OF ORDER
Senator Heavey: “A point of order, Mr. President. If I may I would like to read from Rules. It would support the decision of the President. It says, ‘In that event the presiding officer should disregard such previous proceedings, after he has become entirely satisfied of their nature, and put only such motions that would expedite the declaration of the will of the assembly.’ I think your motion clearly expedited the will of the assembly and I support your decision.”
MOTION
Senator West moved that the following amendments by Senators West and Sheahan be considered simultaneously and be adopted:
On page 130, line 8, increase the general fund--state appropriation for fiscal year 2000 by $240,000 and adjust the total accordingly.
On page 130, line 9, increase the general fund--state appropriation for fiscal year 2001 by $120,000 and adjust the total accordingly.
On page 131, line 27, after "program." insert the following:
"(13) $240,000 of the general fund--state appropriation for fiscal year 2000 and $120,000 of the general fund--state appropriation for fiscal year 2001 are provided solely for a feasibility study for the development of a multi-disciplinary prostate cancer research and treatment center at the University of Washington Academic Medical Center. The feasibility study shall be submitted to the legislature by December 1, 2000, and shall include an analysis of the availability of funding that could support such a center."
Debate ensued.
The President declared the question before the Senate to be the adoption of the amendments by Senators West and Sheahan on page 130, lines 8 and 9, and page 131, line 27, to Substitute Senate Bill No. 5180.
The motion by Senator West failed and the amendments were not adopted.
FURTHER REMARKS BY PRESIDENT OWEN IN ANSWER TO SENATOR WEST’S PARLIAMENTARY INQUIRY
President Owen: “Senator West, the President would like your indulgence for one moment. You are accurate when it comes to amendments and the President did not realize this either, but the staff has pointed it out to us. In most cases, it is fifty percent of those on the floor who are voting on an amendment. In the case of the budget, it takes sixty percent of the members elected, so the President believes that when he does take the vote on the budget, if there are not thirty members standing, he will not go on and take the ‘nay’ votes. I did not realize that either, Senator.”
Senator West: “Thank you for that clarification. I agree with you and find that information helpful.”
PARLIAMENTARY INQUIRY
Senator McCaslin: “A parliamentary inquiry, Mr. President. Even if you had ruled Senator West correct, what would then be the procedure?”
REPLY BY THE PRESIDENT
President Owen: “Excuse me?”
Senator McCaslin: “Well, how would you undo the gavel? I know that President Pritchard used to undo it several times and I always asked him, ‘what does the gavel mean’ when he ungaveled things. I hope you would not ungavel things.”
President Owen: “Well, Senator McCaslin, I like to take issues as they actually come up and so since I was right in that last one, I don’t
feel that it is necessary for me to respond to that. If it comes up, I’ll figure it out”
Senator McCaslin: “And I want to make it clear to you and the body, I am not saying that you are wrong.”
MOTION
Senator Rossi moved that the following amendments by Senators Rossi and Zarelli be considered simultaneously and be adopted:
On page 113, line 31, strike "35,144,000" and insert "36,644,000"
On page 113, line 32, strike "34,355,000" and insert "35,855,000"
On page 113, line 33, strike "69,499,000" and insert "72,499,000"
On page 114, line 15, strike "2,190,000" and insert "5,190,000"
On page 146, line 25, strike "2,500,000" and insert "1,000,000"
On page 146, line 26, strike "2,500,000" and insert "1,000,000"
Renumber the sections consecutively and correct any internal references accordingly.
Debate ensued.
CALL FOR THE PREVIOUS QUESTION
Senators Snyder, McAuliffe and Prentice called for the previous question.
The President declared the question before the Senate to be shall the main question be now put.
The motion carried and the call for the previous question carried.
Senator Johnson 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 amendments by Senators Rossi and Zarelli on page 113, lines 31, 32 and 33; page 114, line 15; and page 146, lines 25 and 26, to Substitute Senate Bill No. 5180.
ROLL CALL
The Secretary called the roll and the amendments were not adopted by the following vote: Yeas, 19; Nays, 28; Absent, 0; Excused, 2. Voting yea: Senators Benton, Deccio, Finkbeiner, Hale, Hochstatter, Honeyford, Horn, Johnson, Long, McCaslin, McDonald, Morton, Oke, Roach, Rossi, Sellar, Sheahan, Stevens and West - 19.
Voting nay: Senators Bauer, Brown, Costa, Eide, Fairley, Franklin, Fraser, Gardner, Goings, Hargrove, Haugen, Heavey, Jacobsen, Kline, Kohl-Welles, Loveland, McAuliffe, Patterson, Prentice, Rasmussen, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Thibaudeau, Winsley and Wojahn - 28.
Excused: Senators Swecker and Zarelli - 2.
PARLIAMENTARY INQUIRY
Senator Benton: “I rise to a point of parliamentary inquiry, please. If we are going to close down debate on the budget, as apparently is the case, without giving the minority an opportunity to speak on these issues--we had one speech to my knowledge--are we operating under the three minute rule or the one speech per amendment rule at the present time?”
REPLY BY THE PRESIDENT
President Owen: “No, we are not, Senator Benton, but any member can demand the previous question.”
Senator Benton: “I understand that, Mr. President, so my further inquiry is this: When members of this body stand and repeatedly stand to speak on an amendment, it is obvious that we have several members that have a passion on a particular amendment--particularly this last one for me. Why is it then, when a member of the other side, particularly the majority leader stands and has not been standing, why is it that the President picks him to call for the question? I guess my question to you is what priority order is there in recognizing members who stand to speak--from the President and is there such an order?”
President Owen: “It is the President’s discretion.”
Senator Benton: “Well, thank you, Mr. President.”
PERSONAL PRIVILEGE
Senator Snyder: “Maybe just a point of personal privilege on clarifying things, I think we have been very, very liberal in letting members speak. I demanded the previous question only rarely. We have not invoked the three minute rule like was invoked in the previous two years. I said at the beginning of this session that we were going to be cooperative, but we weren’t going to have that cooperation say that we were going to capitulate. We have had a lot of these amendments that we defeated yesterday in Ways and Means and the beginning of the session here today. We allowed several speakers to speak on each side of the issues, and I think when we are down to the point of getting to the last two or three amendments here, after one or two speakers on each side, I am going to continue to demand the previous question because we need to expedite things and get the budget over to the House of Representatives and in a position to try and get out of here in our constitutional limit of one hundred and five days on Sunday.”
PERSONAL PRIVILEGE
Senator Johnson: “I think that we understand, on this side of the aisle, that the majority has the hammer on these things. We are just asking for some fairness. I think in the last couple of votes--maybe we were at fault--for not addressing the President out loud, but we aren’t asking for any extra consideration--just fairness. Thank you.”
MOTION
Senator Winsley moved that the following amendment by Senators Winsley and Loveland be adopted:
On page 150, after line 5, insert the following:
"NEW SECTION. Sec. 718. For the period from July 1, 1999, through June 30, 2001, a one hundred fifty thousand dollar death benefit shall be paid as a sundry claim to a teacher's estate if the teacher is killed in the course of employment. The determination of eligibility for the benefit shall be made consistent with Title 51 RCW by the department of labor and industries. The department of labor and industries shall notify the director of the department of general administration if a teacher's estate is determined to be eligible for payment under this section."
Renumber the 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 Winsley and Loveland on page 150, after line 5, to Substitute Senate Bill No. 5180.
The motion by Senator Winsley carried and the amendment was adopted.
MOTION
On motion of Senator Loveland, the following amendment by Senators Loveland, Fraser and Long was adopted:
On page 153, after line 13, insert the following:
"NEW SECTION. Sec.721. FOR THE DEPARTMENT OF RETIREMENT SYSTEMS--PENSION ADVISORY COMMITTEE
Department of Retirement Systems Expense Account
Appropriation. . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 181,000
The appropriation in this section is subject to the following conditions and limitations:
(1) The state pension advisory committee is created in the department of retirement systems for the period July 1, 1999, through June 30, 2001. The committee membership shall consist of: (a) Four active members of the state retirement systems, to be appointed by the governor; (b) three retired members of the state retirement systems, appointed by the governor; (c) three local government employer representatives, to be appointed by the governor; (d) the director of the department of retirement systems; and (e) the director of the office of financial management. The governor shall appoint one of the committee members to be committee chair.
(2) Within the level of funding provided in this section, the state pension advisory committee shall review changes in state pension benefits which have been enacted since 1990 and may make recommendations to the joint committee on pension policy regarding: (a) Major pension system priorities and goals for the next five to ten years; (b) proposals for promoting equity between state pension systems; and (c) a prioritized list of proposed pension system changes.
In developing its recommendations the committee shall take into consideration constraints on the state's and local government's fiscal capacity, the changing nature of the work force and employment patterns, issues of cost-shifting between employees groups, and disproportionalities between how much employees in different age groups would pay in increased contributions for a benefit increase compared to the value of the benefit increase.
The committee shall also advise the department of retirement systems regarding the content and design of the department's annual report on the state retirement systems.
The committee shall report its recommendations, if any, to the joint committee on pension policy no later than June 1, 2000.
(3) Committee staff support shall be provided by one professional position employed by the department of retirement systems from the funding provided in this section.
(4) In conducting its review the pension advisory committee shall, to the greatest extent feasible, make use of fiscal notes, studies, and other analysis which has already been completed by the office of the state actuary. The committee may also expend not more than $60,000 for actuarial services to assist with: (a) Committee education, including a review of tax-deferred savings options available to public employees; (b) the development of recommendations as provided in subsection (2) of this section; and (c) the review and evaluation of fiscal notes and analysis done by the office of the state actuary. The contract for actuarial services shall be entered into by the department of retirement systems for the committee."
Renumber the remaining sections consecutively and correct any internal references accordingly.
MOTION
On motion of Senator Loveland, the rules were suspended, Engrossed Substitute Senate Bill No. 5180 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 Honeyford, Senator McDonald was excused.
The President declared the question before the Senate to be the roll call on the final passage of Engrossed Substitute Senate Bill No. 5180.
ROLL CALL
The Secretary called the roll on the final passage of Engrossed Substitute Senate Bill No. 5180 and the bill passed the Senate by the following vote: Yeas, 29; Nays, 17; Absent, 0; Excused, 3.
Voting yea: Senators Bauer, Brown, Costa, Eide, Fairley, Franklin, Fraser, Gardner, Goings, Hargrove, Haugen, Heavey, Jacobsen, Kline, Kohl-Welles, Long, Loveland, McAuliffe, Patterson, Prentice, Rasmussen, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Thibaudeau, Winsley and Wojahn - 29.
Voting nay: Senators Benton, Deccio, Finkbeiner, Hale, Hochstatter, Honeyford, Horn, Johnson, McCaslin, Morton, Oke, Roach, Rossi, Sellar, Sheahan, Stevens and West - 17.
Excused: Senators McDonald, Swecker and Zarelli - 3.
ENGROSSED SUBSTITUTE SENATE BILL NO. 5180, 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 Snyder, Engrossed Substitute Senate Bill No. 5180 was immediately transmitted to the House Representatives.
MOTION
On motion of Senator Betti Sheldon, the Senate advanced to the eighth order of business.
MOTION
On motion of Senator Gardner, the following resolution was adopted:
SENATE RESOLUTION 1999-8674
By Senator Gardner
WHEREAS, The Blaine Borderites won their first State 2A Basketball Championship last month with an impressive 63-54 victory over the formidable Pullman Greyhounds; and
WHEREAS, The team finished the 1998-1999 season with a perfect 27-0 record; and
WHEREAS, The Borderites have won three consecutive league and district titles and are undefeated at home since 1996; and
WHEREAS, Coach Rob Ridnour creates a family atmosphere by teaching his players the importance of committing to each other; and
WHEREAS, The team has incredibly devoted fans, more than one thousand of whom traveled to Yakima for the state championship;
NOW, THEREFORE, BE IT RESOLVED, That the members of the Washington State Senate do hereby recognize and honor the talent of the Blaine Borderites Basketball Team, and the great sense of pride they have given the people of Blaine; and
BE IT FURTHER RESOLVED, That copies of this resolution be immediately transmitted by the Secretary of the Senate to Blaine High School and to Rob Ridnour, coach of the Blaine Borderites Basketball Team.
INTRODUCTION OF SPECIAL GUESTS
The President welcomed and introduced the Blaine Borderites, the State 2A Basketball Champions, who were seated in the gallery.
MOTION
At 1:22 p.m., on motion of Senator Betti Sheldon, the Senate recessed until 3:00 p.m.
The Senate was called to order at 3:00 p.m. by President Owen.
MOTION
Pursuant to Rule 46, on motion of Senator Betti Sheldon, the Committee on Health and Long-Term Care was given permission to meet during session.
EDITOR’S NOTE: Rule 46 reads ‘No committee shall sit during the daily session of the senate unless by special leave.’
MOTION
On motion of Senator Honeyford, Senators Deccio, Johnson and Winsley were excused.
MOTION
On motion of Senator Eide, Senators Costa, Franklin, Thibaudeau and Wojahn were excused.
SECOND READING
CONFIRMATION OF GUBERNATORIAL APPOINTMENTS
MOTION
On motion of Senator Goings, Gubernatorial Appointment No. 9093, Bonnie C. Boyle, as a member of the Board of Trustees for Clover Park Technical College District No. 29, was confirmed.
APPOINTMENT OF BONNIE C. BOYLE
The Secretary called the roll. The appointment was confirmed by the following vote: Yeas, 34; Nays, 0; Absent, 6; Excused, 9.
Voting yea: Senators Bauer, Benton, Brown, Eide, Fairley, Finkbeiner, Fraser, Goings, Hale, Heavey, Hochstatter, Honeyford, Horn, Jacobsen, Kline, Kohl-Welles, Long, Loveland, McAuliffe, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sheahan, Sheldon, B., Sheldon, T., Shin, Spanel, Stevens and Zarelli - 34.
Absent: Senators Gardner, Hargrove, Haugen, Sellar, Snyder and West - 6.
Excused: Senators Costa, Deccio, Franklin, Johnson, McDonald, Swecker, Thibaudeau, Winsley and Wojahn - 9.
MOTIONS
On motion of Senator Eide, Senator McAuliffe was excused.
On motion of Senator Honeyford, Senator Sellar was excused
.
MOTION
On motion of Senator Goings, Gubernatorial Appointment No. 9183, Elizabeth A. Willis, as a member of the Board of Trustees for Pierce Community College District No. 11, was confirmed.
APPOINTMENT OF ELIZABETH A. WILLIS
The Secretary called the roll. The appointment was confirmed by the following vote: Yeas, 32; Nays, 0; Absent, 6; Excused, 11.
Voting yea: Senators Bauer, Eide, Fairley, Finkbeiner, Fraser, Goings, Hale, Haugen, Heavey, Hochstatter, Honeyford, Jacobsen, Kline, Kohl-Welles, Long, Loveland, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sheahan, Sheldon, B., Sheldon, T., Shin, Spanel, Stevens, West and Zarelli - 32.
Absent: Senators Benton, Brown, Gardner, Hargrove, Horn and Snyder - 6.
Excused: Senators Costa, Deccio, Franklin, Johnson, McAuliffe, McDonald, Sellar, Swecker, Thibaudeau, Winsley and Wojahn - 11.
MOTION
On motion of Senator Betti Sheldon, the Senate returned to the fourth order of business.
MOTION
On motion of Senator Eide, Senator Hargrove was excused.
MESSAGE FROM THE HOUSE
April 17, 1999
MR. PRESIDENT:
The House refuses to concur in Senate amendment(s) to HOUSE BILL NO. 1936 and asks the Senate to recede therefrom, and the same are herewith transmitted.
DEAN R. FOSTER, Co-Chief Clerk
TIMOTHY A. MARTIN, Co-Chief Clerk
MOTION
Senator Fairley moved that the Senate recede from its amendment(s) to House Bill No. 1936.
Debate ensued.
The President declared the question before the Senate to be the motion by Senator Fairley that the Senate recede from its amendment(s) to House Bill No. 1936.
The motion by Senator Fairley carried and the Senate receded from its amendment(s) to House Bill No. 1936.
The President declared the question before the Senate to be the roll call on the final passage of House Bill No. 1936, without the Senate amendment(s).
ROLL CALL
The Secretary called the roll on the final passage of House Bill No. 1936, without the Senate amendment(s), and the bill passed the Senate by the following vote: Yeas, 43; Nays, 0; Absent, 0; Excused, 6.
Voting yea: Senators Bauer, Benton, Brown, Costa, Deccio, Eide, Fairley, Finkbeiner, Franklin, Fraser, Gardner, Goings, Hale, Haugen, Heavey, Hochstatter, Honeyford, Horn, Jacobsen, Johnson, Kline, Kohl-Welles, Long, Loveland, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sheahan, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Stevens, West, Winsley, Wojahn and Zarelli - 43. Excused: Senators Hargrove, McAuliffe, McDonald, Sellar, Swecker and Thibaudeau - 6. HOUSE BILL NO. 1936, without the Senate amendment(s), 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.
MESSAGE FROM THE HOUSE
April 8, 1999
MR. PRESIDENT:
The House has passed SUBSTITUTE SENATE BILL NO. 5134 with the following amendment(s):
On page 8, beginning on line 1, strike all of section 11
On page 14, line 12, after “through” strike “11 and 17" and insert “10 and 16"
Renumber the remaining sections consecutively and correct internal references accordingly., and the same are herewith transmitted.
DEAN R. FOSTER, Co-Chief Clerk
TIMOTHY A. MARTIN, Co-Chief Clerk
MOTION
On motion of Senator Heavey, the Senate concurred in the House amendments to Substitute Senate Bill No. 5134.
The President declared the question before the Senate to be the roll call on the final passage of Substitute Senate Bill No. 5134, as amended by the House.
ROLL CALL
The Secretary called the roll on the final passage of Substitute Senate Bill No. 5134, as amended by the House, and the bill passed the Senate by the following vote: Yeas, 44; Nays, 0; Absent, 0; Excused, 5.
Voting yea: Senators Bauer, Benton, Brown, Costa, Deccio, Eide, Fairley, Finkbeiner, Franklin, Fraser, Gardner, Goings, Hale, Haugen, Heavey, Hochstatter, Honeyford, Horn, Jacobsen, Johnson, Kline, Kohl-Welles, Long, Loveland, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sellar, Sheahan, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Stevens, West, Winsley, Wojahn and Zarelli - 44.
Excused: Senators Hargrove, McAuliffe, McDonald, Swecker and Thibaudeau - 5. SUBSTITUTE SENATE BILL NO. 5134, as amended by the House, 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.
MESSAGE FROM THE HOUSE
April 14, 1999
MR. PRESIDENT:
The House has passed SECOND SUBSTITUTE SENATE BILL NO. 5452 with the following amendment(s):
Strike everything after the enacting clause and insert the following:
"NEW SECTION. Sec. 1. (1) The legislative authority of any town or city located in a county with a population of less than one million may create a public facilities district. The legislative authorities of any contiguous group of towns or cities located in a county or counties each with a population of less than one million may enter an agreement under chapter 39.34 RCW for the creation and joint operation of a public facilities district.
(2) A public facilities district shall be coextensive with the boundaries of the city or town or contiguous group of cities or towns that created the district.
(3)(a) A public facilities district created by a single city or town shall be governed by a board of directors consisting of five members selected as follows: (i) Two members appointed by the legislative authority of the city or town; and (ii) three members appointed by legislative authority based on recommendations from local organizations. The members appointed under (a)(i) of this subsection, shall not be members of the legislative authority of the city or town. The members appointed under (a)(ii) of this subsection, shall be based on recommendations received from local organizations that may include, but are not limited to the local chamber of commerce, local economic development council, and local labor council. The members shall serve four-year terms. Of the initial members, one must be appointed for a one-year term, one must be appointed for a two-year term, one must be appointed for a three-year term, and the remainder must be appointed for four-year terms.
(b) A public facilities district created by contiguous group of cities and towns shall be governed by a board of directors consisting of seven members selected as follows: (i) Three members appointed by the legislative authorities of the cities and towns; and (ii) four members appointed by the legislative authority based on recommendations from local organizations. The members appointed under (b)(i) of this subsection shall not be members of the legislative authorities of the cities and towns. The members appointed under (b)(ii) of this subsection, shall be based on recommendations received from local organizations that include, but are not limited to the local chamber of commerce, local economic development council, local labor council, and a neighborhood organization that is directly affected by the location of the regional center in their area. The members of the board of directors shall be appointed in accordance with the terms of the agreement under chapter 39.34 RCW for the joint operation of the district and shall serve four-year terms. Of the initial members, one must be appointed for a one-year term, one must be appointed for a two-year term, one must be appointed for a three-year term, and the remainder must be appointed for four-year terms.
(4) A public facilities district is a municipal corporation, an independent taxing "authority" within the meaning of Article VII, section 1 of the state Constitution, and a "taxing district" within the meaning of Article VII, section 2 of the state Constitution.
(5) A public facilities district shall constitute a body corporate and shall possess all the usual powers of a corporation for public purposes as well as all other powers that may now or hereafter be specifically conferred by statute, including, but not limited to, the authority to hire employees, staff, and services, to enter into contracts, and to sue and be sued.
(6) A public facilities district may acquire and transfer real and personal property by lease, sublease, purchase, or sale. No direct or collateral attack on any metropolitan facilities district purported to be authorized or created in conformance with this chapter may be commenced more than thirty days after creation by the city legislative authority.
NEW SECTION. Sec. 2. (1) A public facilities district is authorized to acquire, construct, own, remodel, maintain, equip, reequip, repair, finance, and operate one or more regional centers. For purposes of this chapter, "regional center" means a convention, conference, or special events center, or any combination of facilities, and related parking facilities, serving a regional population constructed, improved, or rehabilitated after the effective date of this section at a cost of at least ten million dollars, including debt service. "Regional center" also includes an existing convention, conference, or special events center, and related parking facilities, serving a regional population, that is improved or rehabilitated after the effective date of this section where the costs of improvement or rehabilitation are at least ten million dollars, including debt service. A regional center is conclusively presumed to serve a regional population if state and local government investment in the construction, improvement, or rehabilitation of the regional center is equal to or greater than ten million dollars.
(2) A public facilities district may impose charges and fees for the use of its facilities, and may accept and expend or use gifts, grants, and donations for the purpose of a regional center.
(3) A public facilities district may impose charges, fees, and taxes authorized in section 4 of this act, and use revenues derived therefrom for the purpose of paying principal and interest payments on bonds issued by the public facilities district to construct a regional center.
(4) Notwithstanding the establishment of a career, civil, or merit service system, a public facilities district may contract with a public or private entity for the operation or management of its public facilities.
(5) A public facilities district is authorized to use the supplemental alternative public works contracting procedures set forth in chapter 39.10 RCW in connection with the design, construction, reconstruction, remodel, or alteration of any regional center.
NEW SECTION. Sec. 3. (1) To carry out the purpose of this chapter, a public facilities district may issue general obligation bonds, not to exceed an amount, together with any outstanding nonvoter-approved general obligation indebtedness, equal to one-half of one percent of the value of the taxable property within the district, as the term "value of the taxable property" is defined in RCW 39.36.015. A facilities district additionally may issue general obligation bonds for capital purposes only, together with any outstanding general obligation indebtedness, not to exceed an amount equal to one and one-fourth percent of the value of the taxable property within the district, as the term "value of the taxable property" is defined in RCW 39.36.015, when authorized by the voters of the public facilities district pursuant to Article VIII, section 6 of the state Constitution, and to provide for the retirement thereof by taxes authorized in this act.
(2) General obligation bonds may be issued with a maturity of up to thirty years, and shall be issued and sold in accordance with the provisions of chapter 39.46 RCW.
(3) The general obligation bonds may be payable from the operating revenues of the public facilities district in addition to the tax receipts of the district.
NEW SECTION. Sec. 4. (1) The board of directors of the public facilities district may impose the following for the purpose of funding a regional center:
(a) Charges and fees for the use of any of its facilities;
(b) Admission charges under section 10 of this act;
(c) Vehicle parking charges under section 11 of this act; and
(d) Sales and use taxes authorized under RCW 82.14.048 and section 13 of this act.
(2) The board may accept and expend or use gifts, grants, and donations for the purpose of a regional center. The revenue from the charges, fees, and taxes imposed under this section shall be used only for the purposes authorized by this chapter.
NEW SECTION. Sec. 5. The board of directors of the public facilities district shall adopt a resolution that may be amended from time to time that shall establish the basic requirements governing methods and amounts of reimbursement payable to such district officials and employees for travel and other business expenses incurred on behalf of the district. The resolution shall, among other things, establish procedures for approving such expenses; the form of the travel and expense voucher; and requirements governing the use of credit cards issued in the name of the district. The resolution may also establish procedures for payment of per diem to board members. The state auditor shall, as provided by general law, cooperate with the public facilities district in establishing adequate procedures for regulating and auditing the reimbursement of all such expenses.
NEW SECTION. Sec. 6. The board of directors of the public facilities district shall have authority to authorize the expenditure of funds for the public purposes of preparing and distributing information to the general public and promoting, advertising, improving, developing, operating, and maintaining a regional center. Nothing contained in this section may be construed to authorize preparation and distribution of information to the general public for the purpose of influencing the outcome of a district election.
NEW SECTION. Sec. 7. The public facilities district may secure services by means of an agreement with a service provider. The public facilities district shall publish notice, establish criteria, receive and evaluate proposals, and negotiate with respondents under requirements set forth by district resolution.
NEW SECTION. Sec. 8. In addition to provisions contained in chapter 39.04 RCW, the public facilities district is authorized to follow procedures contained in RCW 43.19.1906 and 43.19.1911 for all purchases, contracts for purchase, and sales.
NEW SECTION. Sec. 9. (1) A public facilities district may issue revenue bonds to fund revenue-generating facilities, or portions of facilities, which it is authorized to provide or operate. Whenever revenue bonds are to be issued, the board of directors of the district shall create or have created a special fund or funds from which, along with any reserves created pursuant to RCW 39.44.140, the principal and interest on such revenue bonds shall exclusively be payable. The board may obligate the district to set aside and pay into the special fund or funds a fixed proportion or a fixed amount of the revenues from the public improvements, projects, or facilities, and all related additions, that are funded by the revenue bonds. This amount or proportion shall be a lien and charge against these revenues, subject only to operating and maintenance expenses. The board shall have due regard for the cost of operation and maintenance of the public improvements, projects, or facilities, or additions, that are funded by the revenue bonds, and shall not set aside into the special fund or funds a greater amount or proportion of the revenues that in its judgment will be available over and above the cost of maintenance and operation and the amount or proportion, if any, of the revenue so previously pledged. The board may also provide that revenue bonds payable out of the same source or sources of revenue may later be issued on a parity with any revenue bonds being issued and sold.
(2) Revenue bonds issued under this section shall not be an indebtedness of the district issuing the bonds, and the interest and principal on the bonds shall only be payable from the revenues lawfully pledged to meet the principal and interest requirements and any reserves created under RCW 39.44.140. The owner or bearer of a revenue bond or any interest coupon issued under this section shall not have any claim against the district arising from the bond or coupon except for payment from the revenues lawfully pledged to meet the principal and interest requirements and any reserves created under RCW 39.44.140. The substance of the limitations included in this subsection shall be plainly printed, written, or engraved on each bond issued under this section.
(3) Revenue bonds with a maturity in excess of thirty years shall not be issued. The board of directors of the district shall by resolution determine for each revenue bond issue the amount, date, form, terms, conditions, denominations, maximum fixed or variable interest rate or rates, maturity or maturities, redemption rights, registration privileges, manner of execution, manner of sale, callable provisions, if any, and covenants including the refunding of existing revenue bonds. Facsimile signatures may be used on the bonds and any coupons. Refunding revenue bonds may be issued in the same manner as revenue bonds are issued.
NEW SECTION. Sec. 10. A public facility district may levy and fix a tax of not more than one cent on twenty cents or fraction thereof to be paid by the person who pays an admission charge to a regional center. This includes a tax on persons who are admitted free of charge or at reduced rates if other persons pay a charge or a regular higher charge for the same privileges or accommodations.
The term "admission charge" includes:
(1) A charge made for season tickets or subscriptions;
(2) A cover charge, or a charge made for use of seats and tables reserved or otherwise, and other similar accommodations;
(3) A charge made for food and refreshment if free entertainment, recreation, or amusement is provided;
(4) A charge made for rental or use of equipment or facilities for purposes of recreation or amusement; if the rental of the equipment or facilities is necessary to the enjoyment of a privilege for which a general admission is charged, the combined charges shall be considered as the admission charge;
(5) Automobile parking charges if the amount of the charge is determined according to the number of passengers in the automobile.
NEW SECTION. Sec. 11. A public facility district may levy and fix a tax on any vehicle parking charges imposed at any parking facility that is owned or leased by the public facility district as part of a regional center. No county or city or town within which the regional center is located may impose a tax of the same or similar kind on any vehicle parking charges at the facility. For the purposes of this section, "vehicle parking charges" means only the actual parking charges exclusive of taxes and service charges and the value of any other benefit conferred. The tax authorized under this section shall be at the rate of not more than ten percent.
Sec. 12. RCW 82.14.048 and 1995 c 396 s 6 are each amended to read as follows:
The governing board of a public facilities district under chapter 36.100 RCW or chapter 35.-- RCW (sections 1 through 11 of this act) may submit an authorizing proposition to the voters of the district, and if the proposition is approved by a majority of persons voting, fix and impose a sales and use tax in accordance with the terms of this chapter.
The tax authorized in this section shall be in addition to any other taxes authorized by law and shall be collected from those persons who are taxable by the state under chapters 82.08 and 82.12 RCW upon the occurrence of any taxable event within the public facilities district. The rate of tax shall ((equal one-tenth)) not exceed two-tenths of one percent of the selling price in the case of a sales tax, or value of the article used, in the case of a use tax.
Moneys received from any tax imposed under this section shall be used for the purpose of providing funds for the costs associated with the financing, design, acquisition, construction, equipping, operating, maintaining, remodeling, repairing, and reequipping of its public facilities.
No tax may be collected under this section by a public facilities district under chapter 35.-- RCW (sections 1 through 11 of this act) before August 1, 2000, and no tax in excess of one-tenth of one percent may be collected under this section by a public facilities district under chapter 36.100 RCW before August 1, 2000.
NEW SECTION. Sec. 13. A new section is added to chapter 82.14 RCW to read as follows:
(1) Except as provided in subsection (6) of this section, the governing body of a public facilities district created under chapter 35.-- RCW (sections 1 through 11 of this act) or chapter 36.100 RCW that commences construction of a new regional center, or improvement or rehabilitation of an existing new regional center, before January 1, 2003, may impose a sales and use tax in accordance with the terms of this chapter. The tax is in addition to other taxes authorized by law and shall be collected from those persons who are taxable by the state under chapters 82.08 and 82.12 RCW upon the occurrence of any taxable event within the public facilities district. The rate of tax shall not exceed 0.033 percent of the selling price in the case of a sales tax or value of the article used in the case of a use tax.
(2) The tax imposed under subsection (1) of this section shall be deducted from the amount of tax otherwise required to be collected or paid over to the department of revenue under chapter 82.08 or 82.12 RCW. The department of revenue shall perform the collection of such taxes on behalf of the county at no cost to the public facilities district.
(3) No tax may be collected under this section before August 1, 2000. The tax imposed in this section shall expire when the bonds issued for the construction of the regional center and related parking facilities are retired, but not more than twenty-five years after the tax is first collected.
(4) Moneys collected under this section shall only be used for the purposes set forth in section 2 of this act and must be matched with an amount from other public or private sources equal to thirty-three percent of the amount collected under this section, provided that amounts generated from nonvoter approved taxes authorized under chapter 35.-- RCW (sections 1 through 11 of this act) or nonvoter approved taxes authorized under chapter 36.100 RCW shall not constitute a public or private source. For the purpose of this section, public or private sources includes, but is not limited to cash or in-kind contributions used in all phases of the development or improvement of the regional center, land that is donated and used for the siting of the regional center, cash or in-kind contributions from public or private foundations, or amounts attributed to private sector partners as part of a public and private partnership agreement negotiated by the public facilities district.
(5) The combined total tax levied under this section shall not be greater than 0.033 percent. If both a public facilities district created under chapter 35.-- RCW (sections 1 through 11 of this act) and a public facilities district created under chapter 36.100 RCW impose a tax under this section, the tax imposed by a public facilities district created under chapter 35.-- RCW (sections 1 through 11 of this act) shall be credited against the tax imposed by a public facilities district created under chapter 36.100 RCW.
(6) A public facilities district created under chapter 36.100 RCW is not eligible to impose the tax under this section if the legislative authority of the county where the public facilities district is located has imposed a sales and use tax under RCW 82.14.0485 or 82.14.0494.
Sec. 14. RCW 82.14.050 and 1991 sp.s. c 13 s 34 are each amended to read as follows:
The counties, cities, and transportation authorities under RCW 82.14.045 and public facilities districts under chapter 36.100 RCW and chapter 35.-- RCW (sections 1 through 11 of this act) shall contract, prior to the effective date of a resolution or ordinance imposing a sales and use tax, the administration and collection to the state department of revenue, which shall deduct a percentage amount, as provided by contract, not to exceed two percent of the taxes collected for administration and collection expenses incurred by the department. The remainder of any portion of any tax authorized by this chapter which is collected by the department of revenue shall be deposited by the state department of revenue in the local sales and use tax account hereby created in the state treasury. Moneys in the local sales and use tax account may be spent only for distribution to counties, cities, transportation authorities, and public facilities districts imposing a sales and use tax. All administrative provisions in chapters 82.03, 82.08, 82.12, and 82.32 RCW, as they now exist or may hereafter be amended, shall, insofar as they are applicable to state sales and use taxes, be applicable to taxes imposed pursuant to this chapter. Except as provided in RCW 43.08.190, all earnings of investments of balances in the local sales and use tax account shall be credited to the local sales and use tax account and distributed to the counties, cities, transportation authorities, and public facilities districts monthly.
Sec. 15. RCW 36.100.060 and 1995 1st sp.s. c 14 s 4 are each amended to read as follows:
(1) To carry out the purpose of this chapter, a public facilities district may issue general obligation bonds, not to exceed an amount, together with any outstanding nonvoter approved general obligation indebtedness, equal to one-half of one percent of the value of taxable property within the district, as the term "value of taxable property" is defined in RCW 39.36.015. A facilities district additionally may issue general obligation bonds for capital purposes only, together with any outstanding general obligation indebtedness, not to exceed an amount equal to one and one-fourth percent of the value of the taxable property within the district, as the term "value of taxable property" is defined in RCW 39.36.015, when authorized by the voters of the public facilities district pursuant to Article VIII, section 6 of the state Constitution, and to provide for the retirement thereof by excess property tax levies as provided in this chapter.
(2) General obligation bonds may be issued with a maturity of up to thirty years, and shall be issued and sold in accordance with the provisions of chapter 39.46 RCW.
(3) The general obligation bonds may be payable from the operating revenues of the public facilities district in addition to the tax receipts of the district.
(4) The excise tax imposed pursuant to RCW 36.100.040 shall terminate upon final payment of all bonded indebtedness for its public facilities, except that the excise tax may be reauthorized by a public vote, in the same manner as originally authorized, for funding of additional public facilities or a regional center.
Sec. 16. RCW 36.100.030 and 1995 1st sp.s. c 14 s 3 are each amended to read as follows:
(1) A public facilities district is authorized to acquire, construct, own, remodel, maintain, equip, reequip, repair, and operate sports facilities, entertainment facilities, ((or)) convention facilities, or ((any combination of such facilities)) regional centers as defined in section 2 of this act, together with contiguous parking facilities. The taxes that are provided for in this chapter may only be imposed for these purposes.
(2) A public facilities district may enter into agreements under chapter 39.34 RCW for the joint provision and operation of such facilities and may enter into contracts under chapter 39.34 RCW where any party to the contract provides and operates such facilities for the other party or parties to the contract.
(3) Notwithstanding the establishment of a career, civil, or merit service system, a public facility [facilities] district may contract with a public or private entity for the operation or management of its public facilities.
(4) A public facilities district is authorized to use the supplemental alternative public works contracting procedures set forth in chapter 39.10 RCW in connection with the design, construction, reconstruction, remodel, or alteration of any of its public facilities.
(5) A public facilities district may impose charges and fees for the use of its facilities, and may accept and expend or use gifts, grants, and donations.
NEW SECTION. Sec. 17. A new section is added to chapter 36.100 RCW to read as follows:
A public facility district may levy and fix a tax of not more than one cent on twenty cents or fraction thereof to be paid by the person who pays an admission charge to a regional center, as defined in section 2 of this act. This includes a tax on persons who are admitted free of charge or at reduced rates if other persons pay a charge or a regular higher charge for the same privileges or accommodations.
The term "admission charge" includes:
(1) A charge made for season tickets or subscriptions;
(2) A cover charge, or a charge made for use of seats and tables reserved or otherwise, and other similar accommodations;
(3) A charge made for food and refreshment if free entertainment, recreation, or amusement is provided;
(4) A charge made for rental or use of equipment or facilities for purposes of recreation or amusement; if the rental of the equipment or facilities is necessary to the enjoyment of a privilege for which a general admission is charged, the combined charges shall be considered as the admission charge;
(5) Automobile parking charges if the amount of the charge is determined according to the number of passengers in the automobile.
NEW SECTION. Sec. 18. A new section is added to chapter 36.100 RCW to read as follows:
A public facility district may levy and fix a tax on any vehicle parking charges imposed at any parking facility that is owned or leased by the public facility district as part of a regional center, as defined in section 2 of this act. No county or city or town within which the regional center is located may impose a tax of the same or similar kind on any vehicle parking charges at the facility. For the purposes of this section, "vehicle parking charges" means only the actual parking charges exclusive of taxes and service charges and the value of any other benefit conferred. The tax authorized under this section shall be at the rate of not more than ten percent.
Sec. 19. RCW 35.21.280 and 1995 3rd sp.s. c 1 s 202 are each amended to read as follows:
Every city and town may levy and fix a tax of not more than one cent on twenty cents or fraction thereof to be paid by the person who pays an admission charge to any place: PROVIDED, No city or town shall impose such tax on persons paying an admission to any activity of any elementary or secondary school or any public facility of a public facility district under chapter 35.-- RCW (sections 1 through 11 of this act) or chapter 36.100 RCW for which a tax is imposed under section 10 or 17 of this act. This includes a tax on persons who are admitted free of charge or at reduced rates to any place for which other persons pay a charge or a regular higher charge for the same privileges or accommodations. A city that is located in a county with a population of one million or more may not levy a tax on events in stadia constructed on or after January 1, 1995, that are owned by a public facilities district under chapter 36.100 RCW and that have seating capacities over forty thousand. The city or town may require anyone who receives payment for an admission charge to collect and remit the tax to the city or town.
The term "admission charge" includes:
(1) A charge made for season tickets or subscriptions;
(2) A cover charge, or a charge made for use of seats and tables reserved or otherwise, and other similar accommodations;
(3) A charge made for food and refreshment in any place where free entertainment, recreation or amusement is provided;
(4) A charge made for rental or use of equipment or facilities for purposes of recreation or amusement; if the rental of the equipment or facilities is necessary to the enjoyment of a privilege for which a general admission is charged, the combined charges shall be considered as the admission charge;
(5) Automobile parking charges if the amount of the charge is determined according to the number of passengers in the automobile.
Sec. 20. RCW 36.38.010 and 1997 c 220 s 301 (Referendum Bill No. 48) are each amended to read as follows:
(1) Any county may by ordinance enacted by its county legislative authority, levy and fix a tax of not more than one cent on twenty cents or fraction thereof to be paid for county purposes by persons who pay an admission charge to any place, including a tax on persons who are admitted free of charge or at reduced rates to any place for which other persons pay a charge or a regular higher charge for the same or similar privileges or accommodations; and require that one who receives any admission charge to any place shall collect and remit the tax to the county treasurer of the county: PROVIDED, No county shall impose such tax on persons paying an admission to any activity of any elementary or secondary school or any public facility of a public facility district under chapter 35.-- RCW (sections 1 through 11 of this act) or chapter 36.100 RCW for which a tax is imposed under section 10 or 17 of this act.
(2) As used in this chapter, the term "admission charge" includes a charge made for season tickets or subscriptions, a cover charge, or a charge made for use of seats and tables, reserved or otherwise, and other similar accommodations; a charge made for food and refreshments in any place where any free entertainment, recreation, or amusement is provided; a charge made for rental or use of equipment or facilities for purpose of recreation or amusement, and where the rental of the equipment or facilities is necessary to the enjoyment of a privilege for which a general admission is charged, the combined charges shall be considered as the admission charge. It shall also include any automobile parking charge where the amount of such charge is determined according to the number of passengers in any automobile.
(3) Subject to subsections (4) and (5) of this section, the tax herein authorized shall not be exclusive and shall not prevent any city or town within the taxing county, when authorized by law, from imposing within its corporate limits a tax of the same or similar kind: PROVIDED, That whenever the same or similar kind of tax is imposed by any such city or town, no such tax shall be levied within the corporate limits of such city or town by the county.
(4) Notwithstanding subsection (3) of this section, the legislative authority of a county with a population of one million or more may exclusively levy taxes on events in baseball stadiums constructed on or after January 1, 1995, that are owned by a public facilities district under chapter 36.100 RCW and that have seating capacities over forty thousand at the rates of:
(a) Not more than one cent on twenty cents or fraction thereof, to be used for the purpose of paying the principal and interest payments on bonds issued by a county to construct a baseball stadium as defined in RCW 82.14.0485. If the revenue from the tax exceeds the amount needed for that purpose, the excess shall be placed in a contingency fund which may only be used to pay unanticipated capital costs on the baseball stadium, excluding any cost overruns on initial construction; and
(b) Not more than one cent on twenty cents or fraction thereof, to be used for the purpose of paying the principal and interest payments on bonds issued by a county to construct a baseball stadium as defined in RCW 82.14.0485. The tax imposed under this subsection (4)(b) shall expire when the bonds issued for the construction of the baseball stadium are retired, but not later than twenty years after the tax is first collected.
(5) Notwithstanding subsection (3) of this section, the legislative authority of a county that has created a public stadium authority to develop a stadium and exhibition center under RCW 36.102.050 may levy and fix a tax on charges for admission to events in a stadium and exhibition center, as defined in RCW 36.102.010, constructed in the county on or after January 1, 1998, that is owned by a public stadium authority under chapter 36.102 RCW. The tax shall be exclusive and shall preclude the city or town within which the stadium and exhibition center is located from imposing a tax of the same or similar kind on charges for admission to events in the stadium and exhibition center, and shall preclude the imposition of a general county admissions tax on charges for admission to events in the stadium and exhibition center. For the purposes of this subsection, "charges for admission to events" means only the actual admission charge, exclusive of taxes and service charges and the value of any other benefit conferred by the admission. The tax authorized under this subsection shall be at the rate of not more than one cent on ten cents or fraction thereof. Revenues collected under this subsection shall be deposited in the stadium and exhibition center account under RCW 43.99N.060 until the bonds issued under RCW 43.99N.020 for the construction of the stadium and exhibition center are retired. After the bonds issued for the construction of the stadium and exhibition center are retired, the tax authorized under this section shall be used exclusively to fund repair, reequipping, and capital improvement of the stadium and exhibition center. The tax under this subsection may be levied upon the first use of any part of the stadium and exhibition center but shall not be collected at any facility already in operation as of July 17, 1997.
Sec. 21. RCW 82.29A.130 and 1997 c 220 s 202 (Referendum Bill No. 48) are each amended to read as follows:
The following leasehold interests shall be exempt from taxes imposed pursuant to RCW 82.29A.030 and 82.29A.040:
(1) All leasehold interests constituting a part of the operating properties of any public utility which is assessed and taxed as a public utility pursuant to chapter 84.12 RCW.
(2) All leasehold interests in facilities owned or used by a school, college or university which leasehold provides housing for students and which is otherwise exempt from taxation under provisions of RCW 84.36.010 and 84.36.050.
(3) All leasehold interests of subsidized housing where the fee ownership of such property is vested in the government of the United States, or the state of Washington or any political subdivision thereof but only if income qualification exists for such housing.
(4) All leasehold interests used for fair purposes of a nonprofit fair association that sponsors or conducts a fair or fairs which receive support from revenues collected pursuant to RCW 67.16.100 and allocated by the director of the department of agriculture where the fee ownership of such property is vested in the government of the United States, the state of Washington or any of its political subdivisions: PROVIDED, That this exemption shall not apply to the leasehold interest of any sublessee of such nonprofit fair association if such leasehold interest would be taxable if it were the primary lease.
(5) All leasehold interests in any property of any public entity used as a residence by an employee of that public entity who is required as a condition of employment to live in the publicly owned property.
(6) All leasehold interests held by enrolled Indians of lands owned or held by any Indian or Indian tribe where the fee ownership of such property is vested in or held in trust by the United States and which are not subleased to other than to a lessee which would qualify pursuant to this chapter, RCW 84.36.451 and 84.40.175.
(7) All leasehold interests in any real property of any Indian or Indian tribe, band, or community that is held in trust by the United States or is subject to a restriction against alienation imposed by the United States: PROVIDED, That this exemption shall apply only where it is determined that contract rent paid is greater than or equal to ninety percent of fair market rental, to be determined by the department of revenue using the same criteria used to establish taxable rent in RCW 82.29A.020(2)(b).
(8) All leasehold interests for which annual taxable rent is less than two hundred fifty dollars per year. For purposes of this subsection leasehold interests held by the same lessee in contiguous properties owned by the same lessor shall be deemed a single leasehold interest.
(9) All leasehold interests which give use or possession of the leased property for a continuous period of less than thirty days: PROVIDED, That for purposes of this subsection, successive leases or lease renewals giving substantially continuous use of possession of the same property to the same lessee shall be deemed a single leasehold interest: PROVIDED FURTHER, That no leasehold interest shall be deemed to give use or possession for a period of less than thirty days solely by virtue of the reservation by the public lessor of the right to use the property or to allow third parties to use the property on an occasional, temporary basis.
(10) All leasehold interests under month-to-month leases in residential units rented for residential purposes of the lessee pending destruction or removal for the purpose of constructing a public highway or building.
(11) All leasehold interests in any publicly owned real or personal property to the extent such leasehold interests arises solely by virtue of a contract for public improvements or work executed under the public works statutes of this state or of the United States between the public owner of the property and a contractor.
(12) All leasehold interests that give use or possession of state adult correctional facilities for the purposes of operating correctional industries under RCW 72.09.100.
(13) All leasehold interests used to provide organized and supervised recreational activities for disabled persons of all ages in a camp facility and for public recreational purposes by a nonprofit organization, association, or corporation that would be exempt from property tax under RCW 84.36.030(1) if it owned the property. If the publicly owned property is used for any taxable purpose, the leasehold excise taxes set forth in RCW 82.29A.030 and 82.29A.040 shall be imposed and shall be apportioned accordingly.
(14) All leasehold interests in the public or entertainment areas of a baseball stadium with natural turf and a retractable roof or canopy that is in a county with a population of over one million, that has a seating capacity of over forty thousand, and that is constructed on or after January 1, 1995. "Public or entertainment areas" include ticket sales areas, ramps and stairs, lobbies and concourses, parking areas, concession areas, restaurants, hospitality and stadium club areas, kitchens or other work areas primarily servicing other public or entertainment areas, public rest room areas, press and media areas, control booths, broadcast and production areas, retail sales areas, museum and exhibit areas, scoreboards or other public displays, storage areas, loading, staging, and servicing areas, seating areas and suites, the playing field, and any other areas to which the public has access or which are used for the production of the entertainment event or other public usage, and any other personal property used for these purposes. "Public or entertainment areas" does not include locker rooms or private offices exclusively used by the lessee.
(15) All leasehold interests in the public or entertainment areas of a stadium and exhibition center, as defined in RCW 36.102.010, that is constructed on or after January 1, 1998. For the purposes of this subsection, "public or entertainment areas" has the same meaning as in subsection (14) of this section, and includes exhibition areas.
(16) All leasehold interests in public facilities districts, as provided in chapter 36.100 RCW or chapter 35.-- RCW (sections 1 through 11 of this act).
NEW SECTION. Sec. 22. Sections 1 through 11 of this act constitute a new chapter in Title 35 RCW.
NEW SECTION. Sec. 23. 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."
On page 1, line 2 of the title, after "centers;" strike the remainder of the title and insert "amending RCW 82.14.048, 82.14.050, 36.100.060, 36.100.030, 35.21.280, 36.38.010, and 82.29A.130; adding a new section to chapter 82.14 RCW; adding new sections to chapter 36.100 RCW; and adding a new chapter to Title 35 RCW."
MOTION
Senator Bauer moved that the Senate concur in the House amendments to Second Substitute Senate Bill No. 5452.
Debate ensued.
The President declared the question before the Senate to be the motion by Senator Bauer that the Senate concur in the House amendments to Second Substitute Senate Bill No. 5452.
The motion by Senator Bauer carried and the Senate concurred in the House amendments to Second Substitute Senate Bill No. 5452.
The President declared the question before the Senate to be the roll call on the final passage of Second Substitute Senate Bill No. 5452, as amended by the House.
ROLL CALL
The Secretary called the roll on the final passage of Second Substitute Senate Bill No. 5452, as amended by the House, and the bill passed the Senate by the following vote: Yeas, 39; Nays, 7; Absent, 0; Excused, 3.
Voting yea: Senators Bauer, Benton, Brown, Costa, Deccio, Eide, Finkbeiner, Franklin, Fraser, Gardner, Goings, Hale, Hargrove, Haugen, Heavey, Hochstatter, Horn, Jacobsen, Kline, Kohl-Welles, Long, Loveland, McCaslin, Morton, Patterson, Prentice, Rasmussen, Rossi, Sellar, Sheahan, Sheldon, B., Shin, Snyder, Spanel, Thibaudeau, West, Winsley, Wojahn and Zarelli - 39.
Voting nay: Senators Fairley, Honeyford, Johnson, Oke, Roach, Sheldon, T. and Stevens - 7.
Excused: Senators McAuliffe, McDonald and Swecker - 3. SECOND SUBSTITUTE SENATE BILL NO. 5452, as amended by the House, 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.
MESSAGE FROM THE HOUSE
April 12, 1999
MR. PRESIDENT:
The House has passed ENGROSSED SUBSTITUTE SENATE BILL NO. 5508 with the following amendment(s):
Strike everything after the enacting clause and insert the following:
"NEW SECTION. Sec. 1. The legislature finds that the department of fish and wildlife manages the recreational crab fishery through an imprecise system of catch estimation. Increased harvest data accuracy is needed for the recreational crab fishery and this goal can be accomplished through the establishment of a crab catch record card system.
The department shall utilize data from the crab catch record cards in preparing catch reports and in catch-sharing negotiations.
NEW SECTION. Sec. 2. A new section is added to chapter 77.32 RCW to read as follows:
A crab catch record card is required to fish for and harvest Dungeness crabs (Cancer magister) in the recreational fishery. The crab catch record card shall be administered under the rules of the commission.
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 takes effect July 15, 1999.
NEW SECTION. Sec. 4. If specific funding for the purposes of this act, referencing this act by bill or chapter number, is not provided by June 30, 1999, in the omnibus appropriations act, this act is null and void."
Correct the title., and the same are herewith transmitted.
TIMOTHY A. MARTIN, Co-Chief Clerk
DEAN R. FOSTER, Co-Chief Clerk
MOTION
On motion of Senator Jacobsen, the Senate concurred in the House amendment to Engrossed Substitute Senate Bill No. 5508.
The President declared the question before the Senate to be the roll call on the final passage of Engrossed Substitute Senate Bill No. 5508, as amended by the House.
ROLL CALL
The Secretary called the roll on the final passage of Engrossed Substitute Senate Bill No. 5508, as amended by the House, and the bill passed the Senate by the following vote: Yeas, 44; Nays, 0; Absent, 2; Excused, 3.
Voting yea: Senators Bauer, Benton, Brown, Costa, Deccio, Eide, Fairley, Franklin, Fraser, Gardner, Goings, Hale, Haugen, Heavey, Hochstatter, Honeyford, Horn, Jacobsen, Johnson, Kline, Kohl-Welles, Long, Loveland, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sellar, Sheahan, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Stevens, Thibaudeau, West, Winsley, Wojahn and Zarelli - 44.
Absent: Senators Finkbeiner and Hargrove - 2.
Excused: Senators McAuliffe, McDonald and Swecker - 3. ENGROSSED SUBSTITUTE SENATE BILL NO. 5508, as amended by the House, 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.
MESSAGE FROM THE HOUSE
April 17, 1999
MR. PRESIDENT:
The House refuses to concur in the Senate amendment(s) to SUBSTITUTE HOUSE BILL NO. 1673 and asks the Senate to recede therefrom, and the same are herewith transmitted.
TIMOTHY A. MARTIN, Co-Chief Clerk
DEAN R. FOSTER, Co-Chief Clerk
MOTION
On motion of Senator Patterson, the rules were suspended, Substitute House Bill No. 1673 was returned to second reading and read the second time.
MOTIONS
On motion of Senator Goings, the Senate will reconsider the vote by which the Committee on State and Local Government striking amendment was adopted on April 12, 1999.
On motion of Senator Patterson, the following amendment by Senators Patterson and Horn to the Committee on State and Local Government striking amendment, on reconsideration, was adopted:
On page 1, beginning on line 25 of the amendment, after "(a)" strike everything through "agent;" on line 28, and insert "Political advertising that contains a false statement of material fact about a candidate for public office. However, this subsection (1)(a) does not apply to statements made by a candidate or the candidate's agent about the candidate himself or herself;"
The President declared the question before the Senate to be the adoption of the Committee on State and Local Government striking amendment, as amended on reconsideration.
The Committee on State and Local Government striking amendment, as amended on reconsideration, was adopted.
MOTION
On motion of Senator Patterson, the rules were suspended, Substitute House Bill No. 1673, as amended by the Senate under suspension of the rules, 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 Substitute House Bill No. 1673, as amended by the Senate under suspension of the rules.
ROLL CALL
The Secretary called the roll on the final passage of Substitute House Bill No. 1673, as amended by the Senate under suspension of the rules, and the bill passed the Senate by the following vote: Yeas, 41; Nays, 3; Absent, 2; Excused, 3.
Voting yea: Senators Bauer, Benton, Brown, Costa, Deccio, Eide, Fairley, Franklin, Fraser, Gardner, Goings, Hale, Hargrove, Haugen, Heavey, Honeyford, Horn, Jacobsen, Kline, Kohl-Welles, Long, Loveland, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sellar, Sheahan, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Stevens, Thibaudeau, Winsley and Wojahn - 41. Voting nay: Senators Johnson, West and Zarelli - 3. Absent: Senators Finkbeiner and Hochstatter - 2. Excused: Senators McAuliffe, McDonald and Swecker - 3. SUBSTITUTE HOUSE BILL NO. 1673, as amended by the Senate under suspension of the rules, 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 Betti Sheldon, the Senate advanced to the sixth order of business.
MOTION
On motion of Senator Honeyford, Senators Finkbeiner and Hochstatter were excused.
SECOND READING
SENATE BILL NO. 5967, by Senators Loveland and Rasmussen
Relating to human services.
MOTIONS
On motion of Senator Loveland, Substitute Senate Bill No. 5967 was substituted for Senate Bill No. 5967 and the substitute bill was placed on second reading and read the second time.
On motion of Senator Loveland, the rules were suspended, Substitute Senate Bill No. 5967 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 Substitute Senate Bill No. 5967.
ROLL CALL
The Secretary called the roll on the final passage of Substitute Senate Bill No. 5967 and the bill passed the Senate by the following vote: Yeas, 44; Nays, 0; Absent, 0; Excused, 5.
Voting yea: Senators Bauer, Benton, Brown, Costa, Deccio, Eide, Fairley, Franklin, Fraser, Gardner, Goings, Hale, Hargrove, Haugen, Heavey, Honeyford, Horn, Jacobsen, Johnson, Kline, Kohl-Welles, Long, Loveland, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sellar, Sheahan, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Stevens, Thibaudeau, West, Winsley, Wojahn and Zarelli - 44.
Excused: Senators Finkbeiner, Hochstatter, McAuliffe, McDonald and Swecker - 5.
SUBSTITUTE SENATE BILL NO. 5967, 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. 5968, by Senators Loveland and Rasmussen
Relating to human services.
MOTIONS
On motion of Senator Loveland, Substitute Senate Bill No. 5968 was substituted for Senate Bill No. 5968 and the substitute bill was placed on second reading and read the second time.
On motion of Senator Loveland, the rules were suspended, Substitute Senate Bill No. 5968 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 Substitute Senate Bill No. 5968.
ROLL CALL
The Secretary called the roll on the final passage of Substitute Senate Bill No. 5968 and the bill passed the Senate by the following vote: Yeas, 43; Nays, 0; Absent, 1; Excused, 5.
Voting yea: Senators Bauer, Benton, Costa, Deccio, Eide, Fairley, Franklin, Fraser, Gardner, Goings, Hale, Hargrove, Haugen, Heavey, Honeyford, Horn, Jacobsen, Johnson, Kline, Kohl-Welles, Long, Loveland, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sellar, Sheahan, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Stevens, Thibaudeau, West, Winsley, Wojahn and Zarelli - 43.
Absent: Senator Brown - 1.
Excused: Senators Finkbeiner, Hochstatter, McAuliffe, McDonald and Swecker - 5.
SUBSTITUTE SENATE BILL NO. 5968, 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
ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 1484, by House Committee on Health Care (originally sponsored by Representatives Parlette, Cody, Alexander, Conway and Edwards)
Modifying property valuation methods for reimbursing nursing facilities.
The bill was read the second time.
MOTION
On motion of Senator Thibaudeau, the following Committee on Ways and Means striking amendment was adopted:
Strike everything after the enacting clause and insert the following:
"Sec. 1. RCW 74.46.020 and 1998 c 322 s 2 are each amended to read as follows:
Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.
(1) "Accrual method of accounting" means a method of accounting in which revenues are reported in the period when they are earned, regardless of when they are collected, and expenses are reported in the period in which they are incurred, regardless of when they are paid.
(2) "Appraisal" means the process of estimating the fair market value or reconstructing the historical cost of an asset acquired in a past period as performed by a professionally designated real estate appraiser with no pecuniary interest in the property to be appraised. It includes a systematic, analytic determination and the recording and analyzing of property facts, rights, investments, and values based on a personal inspection and inventory of the property.
(3) "Arm's-length transaction" means a transaction resulting from good-faith bargaining between a buyer and seller who are not related organizations and have adverse positions in the market place. Sales or exchanges of nursing home facilities among two or more parties in which all parties subsequently continue to own one or more of the facilities involved in the transactions shall not be considered as arm's-length transactions for purposes of this chapter. Sale of a nursing home facility which is subsequently leased back to the seller within five years of the date of sale shall not be considered as an arm's-length transaction for purposes of this chapter.
(4) "Assets" means economic resources of the contractor, recognized and measured in conformity with generally accepted accounting principles.
(5) "Audit" or "department audit" means an examination of the records of a nursing facility participating in the medicaid payment system, including but not limited to: The contractor's financial and statistical records, cost reports and all supporting documentation and schedules, receivables, and resident trust funds, to be performed as deemed necessary by the department and according to department rule.
(6) "Bad debts" means amounts considered to be uncollectible from accounts and notes receivable.
(7) "Beneficial owner" means:
(a) Any person who, directly or indirectly, through any contract, arrangement, understanding, relationship, or otherwise has or shares:
(i) Voting power which includes the power to vote, or to direct the voting of such ownership interest; and/or
(ii) Investment power which includes the power to dispose, or to direct the disposition of such ownership interest;
(b) Any person who, directly or indirectly, creates or uses a trust, proxy, power of attorney, pooling arrangement, or any other contract, arrangement, or device with the purpose or effect of divesting himself or herself of beneficial ownership of an ownership interest or preventing the vesting of such beneficial ownership as part of a plan or scheme to evade the reporting requirements of this chapter;
(c) Any person who, subject to (b) of this subsection, has the right to acquire beneficial ownership of such ownership interest within sixty days, including but not limited to any right to acquire:
(i) Through the exercise of any option, warrant, or right;
(ii) Through the conversion of an ownership interest;
(iii) Pursuant to the power to revoke a trust, discretionary account, or similar arrangement; or
(iv) Pursuant to the automatic termination of a trust, discretionary account, or similar arrangement;
except that, any person who acquires an ownership interest or power specified in (c)(i), (ii), or (iii) of this subsection with the purpose or effect of changing or influencing the control of the contractor, or in connection with or as a participant in any transaction having such purpose or effect, immediately upon such acquisition shall be deemed to be the beneficial owner of the ownership interest which may be acquired through the exercise or conversion of such ownership interest or power;
(d) Any person who in the ordinary course of business is a pledgee of ownership interest under a written pledge agreement shall not be deemed to be the beneficial owner of such pledged ownership interest until the pledgee has taken all formal steps necessary which are required to declare a default and determines that the power to vote or to direct the vote or to dispose or to direct the disposition of such pledged ownership interest will be exercised; except that:
(i) The pledgee agreement is bona fide and was not entered into with the purpose nor with the effect of changing or influencing the control of the contractor, nor in connection with any transaction having such purpose or effect, including persons meeting the conditions set forth in (b) of this subsection; and
(ii) The pledgee agreement, prior to default, does not grant to the pledgee:
(A) The power to vote or to direct the vote of the pledged ownership interest; or
(B) The power to dispose or direct the disposition of the pledged ownership interest, other than the grant of such power(s) pursuant to a pledge agreement under which credit is extended and in which the pledgee is a broker or dealer.
(8) "Capital portion of the rate" means the sum of the property and financing allowance rate allocations, as established in part E of this chapter.
(9) "Capitalization" means the recording of an expenditure as an asset.
(((9))) (10) "Case mix" means a measure of the intensity of care and services needed by the residents of a nursing facility or a group of residents in the facility.
(((10))) (11) "Case mix index" means a number representing the average case mix of a nursing facility.
(((11))) (12) "Case mix weight" means a numeric score that identifies the relative resources used by a particular group of a nursing facility's residents.
(((12))) (13) "Contractor" means a person or entity licensed under chapter 18.51 RCW to operate a medicare and medicaid certified nursing facility, responsible for operational decisions, and contracting with the department to provide services to medicaid recipients residing in the facility.
(((13))) (14) "Default case" means no initial assessment has been completed for a resident and transmitted to the department by the cut-off date, or an assessment is otherwise past due for the resident, under state and federal requirements.
(((14))) (15) "Department" means the department of social and health services (DSHS) and its employees.
(((15))) (16) "Depreciation" means the systematic distribution of the cost or other basis of tangible assets, less salvage, over the estimated useful life of the assets.
(((16))) (17) "Direct care" means nursing care and related care provided to nursing facility residents. Therapy care shall not be considered part of direct care.
(((17))) (18) "Direct care supplies" means medical, pharmaceutical, and other supplies required for the direct care of a nursing facility's residents.
(((18))) (19) "Entity" means an individual, partnership, corporation, limited liability company, or any other association of individuals capable of entering enforceable contracts.
(((19))) (20) "Equity" means the net book value of all tangible and intangible assets less the recorded value of all liabilities, as recognized and measured in conformity with generally accepted accounting principles.
(((20))) (21) "Facility" or "nursing facility" means a nursing home licensed in accordance with chapter 18.51 RCW, excepting nursing homes certified as institutions for mental diseases, or that portion of a multiservice facility licensed as a nursing home, or that portion of a hospital licensed in accordance with chapter 70.41 RCW which operates as a nursing home.
(((21))) (22) "Fair market value" means the replacement cost of an asset less observed physical depreciation on the date for which the market value is being determined.
(((22))) (23) "Financial statements" means statements prepared and presented in conformity with generally accepted accounting principles including, but not limited to, balance sheet, statement of operations, statement of changes in financial position, and related notes.
(((23))) (24) "Generally accepted accounting principles" means accounting principles approved by the financial accounting standards board (FASB).
(((24))) (25) "Goodwill" means the excess of the price paid for a nursing facility business over the fair market value of all net identifiable tangible and intangible assets acquired, as measured in accordance with generally accepted accounting principles.
(((25))) (26) "Grouper" means a computer software product that groups individual nursing facility residents into case mix classification groups based on specific resident assessment data and computer logic.
(((26))) (27) "Historical cost" means the actual cost incurred in acquiring and preparing an asset for use, including feasibility studies, architect's fees, and engineering studies.
(((27))) (28) "Imprest fund" means a fund which is regularly replenished in exactly the amount expended from it.
(((28))) (29) "Joint facility costs" means any costs which represent resources which benefit more than one facility, or one facility and any other entity.
(((29))) (30) "Lease agreement" means a contract between two parties for the possession and use of real or personal property or assets for a specified period of time in exchange for specified periodic payments. Elimination (due to any cause other than death or divorce) or addition of any party to the contract, expiration, or modification of any lease term in effect on January 1, 1980, or termination of the lease by either party by any means shall constitute a termination of the lease agreement. An extension or renewal of a lease agreement, whether or not pursuant to a renewal provision in the lease agreement, shall be considered a new lease agreement. A strictly formal change in the lease agreement which modifies the method, frequency, or manner in which the lease payments are made, but does not increase the total lease payment obligation of the lessee, shall not be considered modification of a lease term.
(((30))) (31) "Medical care program" or "medicaid program" means medical assistance, including nursing care, provided under RCW 74.09.500 or authorized state medical care services.
(((31))) (32) "Medical care recipient," "medicaid recipient," or "recipient" means an individual determined eligible by the department for the services provided under chapter 74.09 RCW.
(((32))) (33) "Minimum data set" means the overall data component of the resident assessment instrument, indicating the strengths, needs, and preferences of an individual nursing facility resident.
(((33))) (34) "Net book value" means the historical cost of an asset less accumulated depreciation.
(((34))) (35) "Net invested funds" means the net book value of tangible fixed assets employed by a contractor to provide services under the medical care program, including land, buildings, and equipment as recognized and measured in conformity with generally accepted accounting principles((, plus an allowance for working capital which shall be five percent of the product of the per patient day rate multiplied by the prior calendar year reported total patient days of each contractor)).
(((35))) (36) "Noncapital portion of the rate" means the sum of the direct care, therapy care, operations, support services, and variable return rate allocations, as established in part E of this chapter.
(37) "Operating lease" means a lease under which rental or lease expenses are included in current expenses in accordance with generally accepted accounting principles.
(((36))) (38) "Owner" means a sole proprietor, general or limited partners, members of a limited liability company, and beneficial interest holders of five percent or more of a corporation's outstanding stock.
(((37))) (39) "Ownership interest" means all interests beneficially owned by a person, calculated in the aggregate, regardless of the form which such beneficial ownership takes.
(((38))) (40) "Patient day" or "resident day" means a calendar day of care provided to a nursing facility resident, regardless of payment source, which will include the day of admission and exclude the day of discharge; except that, when admission and discharge occur on the same day, one day of care shall be deemed to exist. A "medicaid day" or "recipient day" means a calendar day of care provided to a medicaid recipient determined eligible by the department for services provided under chapter 74.09 RCW, subject to the same conditions regarding admission and discharge applicable to a patient day or resident day of care.
(((39))) (41) "Professionally designated real estate appraiser" means an individual who is regularly engaged in the business of providing real estate valuation services for a fee, and who is deemed qualified by a nationally recognized real estate appraisal educational organization on the basis of extensive practical appraisal experience, including the writing of real estate valuation reports as well as the passing of written examinations on valuation practice and theory, and who by virtue of membership in such organization is required to subscribe and adhere to certain standards of professional practice as such organization prescribes.
(((40))) (42) "Qualified therapist" means:
(a) A mental health professional as defined by chapter 71.05 RCW;
(b) A mental retardation professional who is a therapist approved by the department who has had specialized training or one year's experience in treating or working with the mentally retarded or developmentally disabled;
(c) A speech pathologist who is eligible for a certificate of clinical competence in speech pathology or who has the equivalent education and clinical experience;
(d) A physical therapist as defined by chapter 18.74 RCW;
(e) An occupational therapist who is a graduate of a program in occupational therapy, or who has the equivalent of such education or training; and
(f) A respiratory care practitioner certified under chapter 18.89 RCW.
(((41))) (43) "Rate" or "rate allocation" means the medicaid per-patient-day payment amount for medicaid patients calculated in accordance with the allocation methodology set forth in part E of this chapter.
(((42))) (44) "Real property," whether leased or owned by the contractor, means the building, allowable land, land improvements, and building improvements associated with a nursing facility.
(((43))) (45) "Rebased rate" or "cost-rebased rate" means a facility-specific component rate assigned to a nursing facility for a particular rate period established on desk-reviewed, adjusted costs reported for that facility covering at least six months of a prior calendar year designated as a year to be used for cost-rebasing payment rate allocations under the provisions of this chapter.
(((44))) (46) "Records" means those data supporting all financial statements and cost reports including, but not limited to, all general and subsidiary ledgers, books of original entry, and transaction documentation, however such data are maintained.
(((45))) (47) "Related organization" means an entity which is under common ownership and/or control with, or has control of, or is controlled by, the contractor.
(a) "Common ownership" exists when an entity is the beneficial owner of five percent or more ownership interest in the contractor and any other entity.
(b) "Control" exists where an entity has the power, directly or indirectly, significantly to influence or direct the actions or policies of an organization or institution, whether or not it is legally enforceable and however it is exercisable or exercised.
(((46))) (48) "Related care" means only those services that are directly related to providing direct care to nursing facility residents. These services include, but are not limited to, nursing direction and supervision, medical direction, medical records, pharmacy services, activities, and social services.
(((47))) (49) "Resident assessment instrument," including federally approved modifications for use in this state, means a federally mandated, comprehensive nursing facility resident care planning and assessment tool, consisting of the minimum data set and resident assessment protocols.
(((48))) (50) "Resident assessment protocols" means those components of the resident assessment instrument that use the minimum data set to trigger or flag a resident's potential problems and risk areas.
(((49))) (51) "Resource utilization groups" means a case mix classification system that identifies relative resources needed to care for an individual nursing facility resident.
(((50))) (52) "Restricted fund" means those funds the principal and/or income of which is limited by agreement with or direction of the donor to a specific purpose.
(((51))) (53) "Secretary" means the secretary of the department of social and health services.
(((52))) (54) "Support services" means food, food preparation, dietary, housekeeping, and laundry services provided to nursing facility residents.
(((53))) (55) "Therapy care" means those services required by a nursing facility resident's comprehensive assessment and plan of care, that are provided by qualified therapists, or support personnel under their supervision, including related costs as designated by the department.
(((54))) (56) "Title XIX" or "medicaid" means the 1965 amendments to the social security act, P.L. 89-07, as amended and the medicaid program administered by the department.
Sec. 2. RCW 74.46.360 and 1997 c 277 s 1 are each amended to read as follows:
(1) For all partial or whole rate periods after December 31, 1984, the cost basis of land and depreciation base of depreciable assets shall be the historical cost of the contractor or lessor, when the assets are leased by the contractor, in acquiring the asset in an arm's-length transaction and preparing it for use, less goodwill, and less accumulated depreciation, if applicable, which has been incurred during periods that the assets have been used in or as a facility by any contractor, such accumulated depreciation to be measured in accordance with subsections (4), (5), and (6) of this section and RCW 74.46.350 and 74.46.370. If the department challenges the historical cost of an asset, or if the contractor cannot or will not provide the historical costs, the department will have the department of general administration, through an appraisal procedure, determine the fair market value of the assets at the time of purchase. The cost basis of land and depreciation base of depreciable assets will not exceed such fair market value.
(2) For new or replacement building construction or for substantial building additions requiring the acquisition of land and which commenced to operate on or after July 1, 1997, the department shall determine allowable land costs of the additional land acquired for the replacement construction or building additions to be the lesser of:
(a) The contractor's or lessor's actual cost per square foot; or
(b) The square foot land value as established by an appraisal that meets the latest publication of the Uniform Standards of Professional Appraisal Practice (USPAP) and the financial institutions reform, recovery, and enhancement act (FIRREA).
(3) Subject to the provisions of subsection (2) of this section, if, in the course of financing a project, an arm's-length lender has ordered a Uniform Standards of Professional Appraisal Practice appraisal on the land that meets financial institutions reform, recovery, and enhancement act standards and the arm's-length lender has accepted the ordered appraisal, the department shall accept the appraisal value as allowable land costs for calculation of payment.
If the contractor or lessor is unable or unwilling to provide or cause to be provided to the department, or the department is unable to obtain from the arm's-length lender, a lender-approved appraisal that meets the standards of the Uniform Standards of Professional Appraisal Practice and financial institutions reform, recovery, and enhancement act, the department shall order such an appraisal and accept the appraisal as the allowable land costs. If the department orders the Uniform Standards of Professional Appraisal Practice and financial institutions reform, recovery, and enhancement act appraisal, the contractor shall immediately reimburse the department for the costs incurred.
(4) The historical cost of depreciable and nondepreciable donated assets, or of depreciable and nondepreciable assets received through testate or intestate distribution, shall be the lesser of:
(a) Fair market value at the date of donation or death; or
(b) The historical cost base of the owner last contracting with the department, if any.
(5) Estimated salvage value of acquired, donated, or inherited assets shall be deducted from historical cost where the straight-line or sum-of-the-years' digits method of depreciation is used.
(6)(a) For facilities, other than those described under subsection (2) of this section, operating prior to July 1, 1997, where land or depreciable assets are acquired that were used in the medical care program subsequent to January 1, 1980, the cost basis or depreciation base of the assets will not exceed the net book value which did exist or would have existed had the assets continued in use under the previous contract with the department; except that depreciation shall not be assumed to accumulate during periods when the assets were not in use in or as a facility.
(b) The provisions of (a) of this subsection shall not apply to the most recent arm's-length acquisition if it occurs at least ten years after the ownership of the assets has been previously transferred in an arm's-length transaction nor to the first arm's-length acquisition that occurs after January 1, 1980, for facilities participating in the medical care program prior to January 1, 1980. The new cost basis or depreciation base for such acquisitions shall not exceed the fair market value of the assets as determined by the department of general administration through an appraisal procedure. A determination by the department of general administration of fair market value shall be final unless the procedure used to make such determination is shown to be arbitrary and capricious. For all partial or whole rate periods after July 17, 1984, this subsection is inoperative for any transfer of ownership of any asset, depreciable or nondepreciable, occurring on or after July 18, 1984, leaving (a) of this subsection to apply alone to such transfers: PROVIDED, HOWEVER, That this subsection shall apply to transfers of ownership of assets occurring prior to January 1, 1985, if the costs of such assets have never been reimbursed under medicaid cost reimbursement on an owner-operated basis or as a related-party lease: PROVIDED FURTHER, That for any contractor that can document in writing an enforceable agreement for the purchase of a nursing home dated prior to July 18, 1984, and submitted to the department prior to January 1, 1988, the cost basis of allowable land and the depreciation base of the nursing home, for rates established after July 18, 1984, shall not exceed the fair market value of the assets at the date of purchase as determined by the department of general administration through an appraisal procedure. For medicaid cost reimbursement purposes, an agreement to purchase a nursing home dated prior to July 18, 1984, is enforceable, even though such agreement contains no legal description of the real property involved, notwithstanding the statute of frauds or any other provision of law.
(c) In the case of land or depreciable assets leased by the same contractor since January 1, 1980, in an arm's-length lease, and purchased by the lessee/contractor, the lessee/contractor shall have the option:
(i) To have the provisions of subsection (b) of this section apply to the purchase; or
(ii) To have the reimbursement for property and ((return on investment continue to be)) financing allowance calculated pursuant to ((the provisions contained in RCW 74.46.530(1) (e) and (f))) this chapter based upon the provisions of the lease in existence on the date of the purchase, but only if the purchase date meets one of the following criteria:
(A) The purchase date is after the lessor has declared bankruptcy or has defaulted in any loan or mortgage held against the leased property;
(B) The purchase date is within one year of the lease expiration or renewal date contained in the lease;
(C) The purchase date is after a rate setting for the facility in which the reimbursement rate set pursuant to this chapter no longer is equal to or greater than the actual cost of the lease; or
(D) The purchase date is within one year of any purchase option in existence on January 1, 1988.
(d) For all rate periods past or future where land or depreciable assets are acquired from a related organization, the contractor's cost basis and depreciation base shall not exceed the base the related organization had or would have had under a contract with the department.
(e) Where the land or depreciable asset is a donation or distribution between related organizations, the cost basis or depreciation base shall be the lesser of (i) fair market value, less salvage value, or (ii) the cost basis or depreciation base the related organization had or would have had for the asset under a contract with the department.
Sec. 3. RCW 74.46.421 and 1998 c 322 s 18 are each amended to read as follows:
(1) The purpose of part E of this chapter is to determine nursing facility medicaid payment rates that, in the aggregate for all participating nursing facilities, are in accordance with the biennial appropriations act.
(2)(a) The department shall use the nursing facility medicaid payment rate methodologies described in this chapter to determine initial component rate allocations for each medicaid nursing facility.
(b) The initial component rate allocations shall be subject to adjustment as provided in this section in order to assure that the state-wide average payment rate to nursing facilities is less than or equal to the state-wide average payment rate specified in the biennial appropriations act.
(3) Nothing in this chapter shall be construed as creating a legal right or entitlement to any payment that (a) has not been adjusted under this section or (b) would cause the state-wide average payment rate to exceed the state-wide average payment rate specified in the biennial appropriations act.
(4)(a) The state-wide average payment rate for the capital portion of the rate for any state fiscal year under the nursing facility medicaid payment system, weighted by patient days, shall not exceed the annual state-wide weighted average nursing facility payment rate for the capital portion of the rate identified for that fiscal year in the biennial appropriations act.
(b) If the department determines that the weighted average nursing facility payment rate for the capital portion of the rate calculated in accordance with this chapter is likely to exceed the weighted average nursing facility payment rate for the capital portion of the rate identified in the biennial appropriations act, then the department shall adjust all nursing facility property and financing allowance payment rates proportional to the amount by which the weighted average rate allocations would otherwise exceed the budgeted capital portion of the rate amount. Any such adjustments shall only be made prospectively, not retrospectively, and shall be applied proportionately to each component rate allocation for each facility.
(5)(a) The state-wide average payment rate for the noncapital portion of the rate for any state fiscal year under the nursing facility payment system, weighted by patient days, shall not exceed the annual state-wide weighted average nursing facility payment rate for the noncapital portion of the rate identified for that fiscal year in the biennial appropriations act.
(b) If the department determines that the weighted average nursing facility payment rate for the noncapital portion of the rate calculated in accordance with this chapter is likely to exceed the weighted average nursing facility payment rate for the noncapital portion of the rate identified in the biennial appropriations act, then the department shall adjust all nursing facility direct care, therapy care, support services, operations, and variable return payment rates proportional to the amount by which the weighted average rate allocations would otherwise exceed the budgeted noncapital portion of the rate amount. Any such adjustments shall only be made prospectively, not retrospectively, and shall be applied proportionately to each direct care, therapy care, support services, operations, and variable return rate allocation for each facility.
Sec. 4. RCW 74.46.431 and 1998 c 322 s 19 are each amended to read as follows:
(1) Effective ((October 1, 1998)) July 1, 1999, nursing facility medicaid payment rate allocations shall be facility-specific and shall have ((six)) seven components: Direct care, therapy care, support services, operations, property, financing allowance, and variable return ((on investment)). The department shall establish and adjust each of these components, as provided in this section and elsewhere in this chapter, for each medicaid nursing facility in this state.
(2) All component rate allocations shall be based upon a minimum facility occupancy of eighty-five percent of licensed beds, regardless of how many beds are set up or in use.
(3) Information and data sources used in determining medicaid payment rate allocations, including formulas, procedures, cost report periods, resident assessment instrument formats, resident assessment methodologies, and resident classification and case mix weighting methodologies, may be substituted or altered from time to time as determined by the department.
(4)(a) Direct care component rate allocations shall be established using adjusted cost report data covering at least six months. Adjusted cost report data from 1996 will be used for October 1, 1998, through June 30, 2001, direct care component rate allocations; adjusted cost report data from 1999 will be used for July 1, 2001, through June 30, 2004, direct care component rate allocations.
(b) Direct care component rate allocations based on 1996 cost report data shall be adjusted annually for economic trends and conditions by a factor or factors defined in the biennial appropriations act. A different economic trends and conditions adjustment factor or factors may be defined in the biennial appropriations act for facilities whose direct care component rate is set equal to their adjusted June 30, 1998, rate, as provided in RCW 74.46.506(5)(k).
(c) Direct care component rate allocations based on 1999 cost report data shall be adjusted annually for economic trends and conditions by a factor or factors defined in the biennial appropriations act. A different economic trends and conditions adjustment factor or factors may be defined in the biennial appropriations act for facilities whose direct care component rate is set equal to their adjusted June 30, 1998, rate, as provided in RCW 74.46.506(5)(k).
(5)(a) Therapy care component rate allocations shall be established using adjusted cost report data covering at least six months. Adjusted cost report data from 1996 will be used for October 1, 1998, through June 30, 2001, therapy care component rate allocations; adjusted cost report data from 1999 will be used for July 1, 2001, through June 30, 2004, therapy care component rate allocations.
(b) Therapy care component rate allocations shall be adjusted annually for economic trends and conditions by a factor or factors defined in the biennial appropriations act.
(6)(a) Support services component rate allocations shall be established using adjusted cost report data covering at least six months. Adjusted cost report data from 1996 shall be used for October 1, 1998, through June 30, 2001, support services component rate allocations; adjusted cost report data from 1999 shall be used for July 1, 2001, through June 30, 2004, support services component rate allocations.
(b) Support services component rate allocations shall be adjusted annually for economic trends and conditions by a factor or factors defined in the biennial appropriations act.
(7)(a) Operations component rate allocations shall be established using adjusted cost report data covering at least six months. Adjusted cost report data from 1996 shall be used for October 1, 1998, through June 30, 2001, operations component rate allocations; adjusted cost report data from 1999 shall be used for July 1, 2001, through June 30, 2004, operations component rate allocations.
(b) Operations component rate allocations shall be adjusted annually for economic trends and conditions by a factor or factors defined in the biennial appropriations act.
(8) For July 1, 1998, through September 30, 1998, a facility's property and return on investment component rates shall be the facility's June 30, 1998, property and return on investment component rates, without increase. For October 1, 1998, through June 30, 1999, a facility's property and return on investment component rates shall be rebased utilizing 1997 adjusted cost report data covering at least six months of data.
(9) Total payment rates under the nursing facility medicaid payment system shall not exceed facility rates charged to the general public for comparable services.
(10) Medicaid contractors shall pay to all facility staff a minimum wage of the greater of five dollars and fifteen cents per hour or the federal minimum wage.
(11) The department shall establish in rule procedures, principles, and conditions for determining component rate allocations for facilities in circumstances not directly addressed by this chapter, including but not limited to: The need to prorate inflation for partial-period cost report data, newly constructed facilities, existing facilities entering the medicaid program for the first time or after a period of absence from the program, existing facilities with expanded new bed capacity, existing medicaid facilities following a change of ownership of the nursing facility business, facilities banking beds or converting beds back into service, facilities having less than six months of either resident assessment, cost report data, or both, under the current contractor prior to rate setting, and other circumstances.
(12) The department shall establish in rule procedures, principles, and conditions, including necessary threshold costs, for adjusting rates to reflect capital improvements or new requirements imposed by the department or the federal government. Any such rate adjustments are subject to the provisions of RCW 74.46.421.
Sec. 5. RCW 74.46.506 and 1998 c 322 s 25 are each amended to read as follows:
(1) The direct care component rate allocation corresponds to the provision of nursing care for one resident of a nursing facility for one day, including direct care supplies. Therapy services and supplies, which correspond to the therapy care component rate, shall be excluded. The direct care component rate includes elements of case mix determined consistent with the principles of this section and other applicable provisions of this chapter.
(2) Beginning October 1, 1998, the department shall determine and update quarterly for each nursing facility serving medicaid residents a facility-specific per-resident day direct care component rate allocation, to be effective on the first day of each calendar quarter. In determining direct care component rates the department shall utilize, as specified in this section, minimum data set resident assessment data for each resident of the facility, as transmitted to, and if necessary corrected by, the department in the resident assessment instrument format approved by federal authorities for use in this state.
(3) The department may question the accuracy of assessment data for any resident and utilize corrected or substitute information, however derived, in determining direct care component rates. The department is authorized to impose civil fines and to take adverse rate actions against a contractor, as specified by the department in rule, in order to obtain compliance with resident assessment and data transmission requirements and to ensure accuracy.
(4) Cost report data used in setting direct care component rate allocations shall be 1996 and 1999, for rate periods as specified in RCW 74.46.431(4)(a).
(5) Beginning October 1, 1998, the department shall rebase each nursing facility's direct care component rate allocation as described in RCW 74.46.431, adjust its direct care component rate allocation for economic trends and conditions as described in RCW 74.46.431, and update its medicaid average case mix index, consistent with the following:
(a) Reduce total direct care costs reported by each nursing facility for the applicable cost report period specified in RCW 74.46.431(4)(a) to reflect any department adjustments, and to eliminate reported resident therapy costs and adjustments, in order to derive the facility's total allowable direct care cost;
(b) Divide each facility's total allowable direct care cost by its adjusted resident days for the same report period, increased if necessary to a minimum occupancy of eighty-five percent; that is, the greater of actual or imputed occupancy at eighty-five percent of licensed beds, to derive the facility's allowable direct care cost per resident day;
(c) Adjust the facility's per resident day direct care cost by the applicable factor specified in RCW 74.46.431(4) (b) and (c) to derive its adjusted allowable direct care cost per resident day;
(d) Divide each facility's adjusted allowable direct care cost per resident day by the facility average case mix index for the applicable quarters specified by RCW 74.46.501(7)(b) to derive the facility's allowable direct care cost per case mix unit;
(e) Divide nursing facilities into two peer groups: Those located in metropolitan statistical areas as determined and defined by the United States office of management and budget or other appropriate agency or office of the federal government, and those not located in a metropolitan statistical area;
(f) Array separately the allowable direct care cost per case mix unit for all metropolitan statistical area and for all nonmetropolitan statistical area facilities, and determine the median allowable direct care cost per case mix unit for each peer group;
(g) Except as provided in (k) of this subsection, from October 1, 1998, through June 30, 2000, determine each facility's quarterly direct care component rate as follows:
(i) Any facility whose allowable cost per case mix unit is less than eighty-five percent of the facility's peer group median established under (f) of this subsection shall be assigned a cost per case mix unit equal to eighty-five percent of the facility's peer group median, and shall have a direct care component rate allocation equal to the facility's assigned cost per case mix unit multiplied by that facility's medicaid average case mix index from the applicable quarter specified in RCW 74.46.501(7)(c);
(ii) Any facility whose allowable cost per case mix unit is greater than one hundred fifteen percent of the peer group median established under (f) of this subsection shall be assigned a cost per case mix unit equal to one hundred fifteen percent of the peer group median, and shall have a direct care component rate allocation equal to the facility's assigned cost per case mix unit multiplied by that facility's medicaid average case mix index from the applicable quarter specified in RCW 74.46.501(7)(c);
(iii) Any facility whose allowable cost per case mix unit is between eighty-five and one hundred fifteen percent of the peer group median established under (f) of this subsection shall have a direct care component rate allocation equal to the facility's allowable cost per case mix unit multiplied by that facility's medicaid average case mix index from the applicable quarter specified in RCW 74.46.501(7)(c);
(h) Except as provided in (k) of this subsection, from July 1, 2000, through June 30, 2002, determine each facility's quarterly direct care component rate as follows:
(i) Any facility whose allowable cost per case mix unit is less than ninety percent of the facility's peer group median established under (f) of this subsection shall be assigned a cost per case mix unit equal to ninety percent of the facility's peer group median, and shall have a direct care component rate allocation equal to the facility's assigned cost per case mix unit multiplied by that facility's medicaid average case mix index from the applicable quarter specified in RCW 74.46.501(7)(c);
(ii) Any facility whose allowable cost per case mix unit is greater than one hundred ten percent of the peer group median established under (f) of this subsection shall be assigned a cost per case mix unit equal to one hundred ten percent of the peer group median, and shall have a direct care component rate allocation equal to the facility's assigned cost per case mix unit multiplied by that facility's medicaid average case mix index from the applicable quarter specified in RCW 74.46.501(7)(c);
(iii) Any facility whose allowable cost per case mix unit is between ninety and one hundred ten percent of the peer group median established under (f) of this subsection shall have a direct care component rate allocation equal to the facility's allowable cost per case mix unit multiplied by that facility's medicaid average case mix index from the applicable quarter specified in RCW 74.46.501(7)(c);
(i) From July 1, 2002, through June 30, 2004, determine each facility's quarterly direct care component rate as follows:
(i) Any facility whose allowable cost per case mix unit is less than ninety-five percent of the facility's peer group median established under (f) of this subsection shall be assigned a cost per case mix unit equal to ninety-five percent of the facility's peer group median, and shall have a direct care component rate allocation equal to the facility's assigned cost per case mix unit multiplied by that facility's medicaid average case mix index from the applicable quarter specified in RCW 74.46.501(7)(c);
(ii) Any facility whose allowable cost per case mix unit is greater than one hundred five percent of the peer group median established under (f) of this subsection shall be assigned a cost per case mix unit equal to one hundred five percent of the peer group median, and shall have a direct care component rate allocation equal to the facility's assigned cost per case mix unit multiplied by that facility's medicaid average case mix index from the applicable quarter specified in RCW 74.46.501(7)(c);
(iii) Any facility whose allowable cost per case mix unit is between ninety-five and one hundred five percent of the peer group median established under (f) of this subsection shall have a direct care component rate allocation equal to the facility's allowable cost per case mix unit multiplied by that facility's medicaid average case mix index from the applicable quarter specified in RCW 74.46.501(7)(c);
(j) Beginning July 1, 2004, determine each facility's quarterly direct care component rate by multiplying the facility's peer group median allowable direct care cost per case mix unit by that facility's medicaid average case mix index from the applicable quarter as specified in RCW 74.46.501(7)(c).
(k)(i) Between October 1, 1998, and June 30, 2000, the department shall compare each facility's direct care component rate allocation calculated under (g) of this subsection with the facility's nursing services component rate in effect on June 30, 1998, less therapy costs, plus any exceptional care offsets as reported on the cost report, adjusted for economic trends and conditions as provided in RCW 74.46.431. A facility shall receive the higher of the two rates;
(ii) Between July 1, 2000, and June 30, 2002, the department shall compare each facility's direct care component rate allocation calculated under (h) of this subsection with the facility's direct care component rate in effect on June 30, 2000. A facility shall receive the higher of the two rates.
(6) The direct care component rate allocations calculated in accordance with this section shall be adjusted to the extent necessary to comply with RCW 74.46.421. ((If the department determines that the weighted average rate allocations for all rate components for all facilities is likely to exceed the weighted average total rate specified in the state biennial appropriations act, the department shall adjust the rate allocations calculated in this section proportional to the amount by which the total weighted average rate allocations would otherwise exceed the budgeted level. Such adjustments shall only be made prospectively, not retrospectively.))
Sec. 6. RCW 74.46.511 and 1998 c 322 s 26 are each amended to read as follows:
(1) The therapy care component rate allocation corresponds to the provision of medicaid one-on-one therapy provided by a qualified therapist as defined in this chapter, including therapy supplies and therapy consultation, for one day for one medicaid resident of a nursing facility. The therapy care component rate allocation for October 1, 1998, through June 30, 2001, shall be based on adjusted therapy costs and days from calendar year 1996. The therapy component rate allocation for July 1, 2001, through June 30, 2004, shall be based on adjusted therapy costs and days from calendar year 1999. The therapy care component rate shall be adjusted for economic trends and conditions as specified in RCW 74.46.431(5)(b), and shall be determined in accordance with this section.
(2) In rebasing, as provided in RCW 74.46.431(5)(a), the department shall take from the cost reports of facilities the following reported information:
(a) Direct one-on-one therapy charges for all residents by payer including charges for supplies;
(b) The total units or modules of therapy care for all residents by type of therapy provided, for example, speech or physical. A unit or module of therapy care is considered to be fifteen minutes of one-on-one therapy provided by a qualified therapist or support personnel; and
(c) Therapy consulting expenses for all residents.
(3) The department shall determine for all residents the total cost per unit of therapy for each type of therapy by dividing the total adjusted one-on-one therapy expense for each type by the total units provided for that therapy type.
(4) The department shall divide medicaid nursing facilities in this state into two peer groups:
(a) Those facilities located within a metropolitan statistical area; and
(b) Those not located in a metropolitan statistical area.
Metropolitan statistical areas and nonmetropolitan statistical areas shall be as determined by the United States office of management and budget or other applicable federal office. The department shall array the facilities in each peer group from highest to lowest based on their total cost per unit of therapy for each therapy type. The department shall determine the median total cost per unit of therapy for each therapy type and add ten percent of median total cost per unit of therapy. The cost per unit of therapy for each therapy type at a nursing facility shall be the lesser of its cost per unit of therapy for each therapy type or the median total cost per unit plus ten percent for each therapy type for its peer group.
(5) The department shall calculate each nursing facility's therapy care component rate allocation as follows:
(a) To determine the allowable total therapy cost for each therapy type, the allowable cost per unit of therapy for each type of therapy shall be multiplied by the total therapy units for each type of therapy;
(b) The medicaid allowable one-on-one therapy expense shall be calculated taking the allowable total therapy cost for each therapy type times the medicaid percent of total therapy charges for each therapy type;
(c) The medicaid allowable one-on-one therapy expense for each therapy type shall be divided by total adjusted medicaid days to arrive at the medicaid one-on-one therapy cost per patient day for each therapy type;
(d) The medicaid one-on-one therapy cost per patient day for each therapy type shall be multiplied by total adjusted patient days for all residents to calculate the total allowable one-on-one therapy expense. The lesser of the total allowable therapy consultant expense for the therapy type or a reasonable percentage of allowable therapy consultant expense for each therapy type, as established in rule by the department, shall be added to the total allowable one-on-one therapy expense to determine the allowable therapy cost for each therapy type;
(e) The allowable therapy cost for each therapy type shall be added together, the sum of which shall be the total allowable therapy expense for the nursing facility;
(f) The total allowable therapy expense will be divided by the greater of adjusted total patient days from the cost report on which the therapy expenses were reported, or patient days at eighty-five percent occupancy of licensed beds. The outcome shall be the nursing facility's therapy care component rate allocation.
(6) The therapy care component rate allocations calculated in accordance with this section shall be adjusted to the extent necessary to comply with RCW 74.46.421. ((If the department determines that the weighted average rate allocations for all rate components for all facilities is likely to exceed the weighted average total rate specified in the state biennial appropriations act, the department shall adjust the rate allocations calculated in this section proportional to the amount by which the total weighted average rate allocations would otherwise exceed the budgeted level. Such adjustments shall only be made prospectively, not retrospectively.))
Sec. 7. RCW 74.46.515 and 1998 c 322 s 27 are each amended to read as follows:
(1) The support services component rate allocation corresponds to the provision of food, food preparation, dietary, housekeeping, and laundry services for one resident for one day.
(2) Beginning October 1, 1998, the department shall determine each medicaid nursing facility's support services component rate allocation using cost report data specified by RCW 74.46.431(6).
(3) To determine each facility's support services component rate allocation, the department shall:
(a) Array facilities' adjusted support services costs per adjusted resident day for each facility from facilities' cost reports from the applicable report year, for facilities located within a metropolitan statistical area, and for those not located in any metropolitan statistical area and determine the median adjusted cost for each peer group;
(b) Set each facility's support services component rate at the lower of the facility's per resident day adjusted support services costs from the applicable cost report period or the adjusted median per resident day support services cost for that facility's peer group, either metropolitan statistical area or nonmetropolitan statistical area, plus ten percent; and
(c) Adjust each facility's support services component rate for economic trends and conditions as provided in RCW 74.46.431(6).
(4) The support services component rate allocations calculated in accordance with this section shall be adjusted to the extent necessary to comply with RCW 74.46.421. ((If the department determines that the weighted average rate allocations for all rate components for all facilities is likely to exceed the weighted average total rate specified in the state biennial appropriations act, the department shall adjust the rate allocations calculated in this section proportional to the amount by which the total weighted average rate allocations would otherwise exceed the budgeted level. Such adjustments shall only be made prospectively, not retrospectively.))
Sec. 8. RCW 74.46.521 and 1998 c 322 s 28 are each amended to read as follows:
(1) The operations component rate allocation corresponds to the general operation of a nursing facility for one resident for one day, including but not limited to management, administration, utilities, office supplies, accounting and bookkeeping, minor building maintenance, minor equipment repairs and replacements, and other supplies and services, exclusive of direct care, therapy care, support services, property, financing allowance, and variable return ((on investment)).
(2) Beginning October 1, 1998, the department shall determine each medicaid nursing facility's operations component rate allocation using cost report data specified by RCW 74.46.431(7)(a).
(3) To determine each facility's operations component rate the department shall:
(a) Array facilities' adjusted general operations costs per adjusted resident day for each facility from facilities' cost reports from the applicable report year, for facilities located within a metropolitan statistical area and for those not located in a metropolitan statistical area and determine the median adjusted cost for each peer group;
(b) Set each facility's operations component rate at the lower of the facility's per resident day adjusted operations costs from the applicable cost report period or the adjusted median per resident day general operations cost for that facility's peer group, metropolitan statistical area or nonmetropolitan statistical area; and
(c) Adjust each facility's operations component rate for economic trends and conditions as provided in RCW 74.46.431(7)(b).
(4) The operations component rate allocations calculated in accordance with this section shall be adjusted to the extent necessary to comply with RCW 74.46.421. ((If the department determines that the weighted average rate allocations for all rate components for all facilities is likely to exceed the weighted average total rate specified in the state biennial appropriations act, the department shall adjust the rate allocations calculated in this section proportional to the amount by which the total weighted average rate allocations would otherwise exceed the budgeted level. Such adjustments shall only be made prospectively, not retrospectively.))
NEW SECTION. Sec. 9. (1) The department shall establish for each medicaid nursing facility a variable return component rate allocation. In determining the variable return allowance:
(a) The variable return array and percentage assigned at the October 1, 1998, rate setting shall remain in effect until June 30, 2001.
(b) The department shall then compute the variable return allowance by multiplying the appropriate percentage amounts, which shall not be less than one percent and not greater than four percent, by the sum of the facility's direct care, therapy care, support services, and operations rate components. The percentage amounts will be based on groupings of facilities according to the rankings prescribed in (a) of this subsection, as applicable. Those groups of facilities with lower per diem costs shall receive higher percentage amounts than those with higher per diem costs.
(2) The variable return rate allocation calculated in accordance with this section shall be adjusted to the extent necessary to comply with RCW 74.46.421.
Sec. 10. 1998 c 322 s 29 (uncodified) is amended to read as follows:
(1) The property component rate allocation for each facility shall be determined by dividing the sum of the reported allowable prior period actual depreciation, subject to RCW 74.46.310 through 74.46.380, adjusted for any capitalized additions or replacements approved by the department, and the retained savings from such cost center, by the greater of a facility's total resident days for the facility in the prior period or resident days as calculated on eighty-five percent facility occupancy. If a capitalized addition or retirement of an asset will result in a different licensed bed capacity during the ensuing period, the prior period total resident days used in computing the property component rate shall be adjusted to anticipated resident day level.
(2) A nursing facility's property component rate allocation shall be rebased annually, effective July 1st or October 1st as applicable, in accordance with this section and this chapter.
(3) When a certificate of need for a new facility is requested, the department, in reaching its decision, shall take into consideration per-bed land and building construction costs for the facility which shall not exceed a maximum to be established by the secretary.
(4) For the purpose of calculating a nursing facility's property component rate, if a contractor elects to bank licensed beds or to convert banked beds to active service, under chapter 70.38 RCW, the department shall use the facility's anticipated resident occupancy level subsequent to the decrease or increase in licensed bed capacity. However, in no case shall the department use less than eighty-five percent occupancy of the facility's licensed bed capacity after banking or conversion.
(5) The property component rate allocations calculated in accordance with this section shall be adjusted to the extent necessary to comply with ((section 18 of this act)) RCW 74.46.421. ((If the department determines that the weighted average rate allocations for all rate components for all facilities is likely to exceed the weighted average total rate specified in the state biennial appropriations act, the department shall adjust the rate allocations calculated in this section proportional to the amount by which the total weighted average rate allocations would otherwise exceed the budgeted level. Such adjustments shall only be made prospectively, not retrospectively.))
NEW SECTION. Sec. 11. (1) Beginning July 1, 1999, the department shall establish for each medicaid nursing facility a financing allowance component rate allocation. The financing allowance component rate shall be rebased annually, effective July 1st, in accordance with the provisions of this section and this chapter.
(2) The financing allowance shall be determined by multiplying the net invested funds of each facility by .10, and dividing by the greater of a nursing facility's total resident days from the most recent cost report period or resident days calculated on eighty-five percent facility occupancy. However, assets acquired on or after the effective date of this section shall be grouped in a separate financing allowance calculation that shall be multiplied by .085. The financing allowance factor of .085 shall not be applied to the net invested funds pertaining to new construction or major renovations receiving certificate of need approval or an exemption from certificate of need requirements under chapter 70.38 RCW, or to working drawings that have been submitted to the department of health for construction review approval, prior to the effective date of this section. If a capitalized addition or retirement of an asset will result in a different licensed bed capacity during the ensuing period, the prior period total resident days used in computing the financing allowance shall be adjusted to the greater of the anticipated resident day level or eighty-five percent of the new licensed bed capacity.
(3) In computing the portion of net invested funds representing the net book value of tangible fixed assets, the same assets, depreciation bases, lives, and methods referred to in RCW 74.46.330, 74.46.350, 74.46.360, 74.46.370, and 74.46.380, including owned and leased assets, shall be utilized, except that the capitalized cost of land upon which the facility is located and such other contiguous land which is reasonable and necessary for use in the regular course of providing resident care shall also be included. Subject to provisions and limitations contained in this chapter, for land purchased by owners or lessors before July 18, 1984, capitalized cost of land shall be the buyer's capitalized cost. For all partial or whole rate periods after July 17, 1984, if the land is purchased after July 17, 1984, capitalized cost shall be that of the owner of record on July 17, 1984, or buyer's capitalized cost, whichever is lower. In the case of leased facilities where the net invested funds are unknown or the contractor is unable to provide necessary information to determine net invested funds, the secretary shall have the authority to determine an amount for net invested funds based on an appraisal conducted according to RCW 74.46.360(1).
(4) For the purpose of calculating a nursing facility's financing allowance component rate, if a contractor elects to bank licensed beds or to convert banked beds to active service, under chapter 70.38 RCW, the department shall use the facility's anticipated resident occupancy level subsequent to the decrease or increase in licensed bed capacity. However, in no case shall the department use less than eighty-five percent occupancy of the facility's licensed bed capacity after banking or conversion.
(5) The financing allowance rate allocation calculated in accordance with this section shall be adjusted to the extent necessary to comply with RCW 74.46.421.
NEW SECTION. Sec. 12. (1) In the case of a facility that was leased by the contractor as of January 1, 1980, in an arm's-length agreement, which continues to be leased under the same lease agreement, and for which the annualized lease payment, plus any interest and depreciation expenses associated with contractor-owned assets, for the period covered by the prospective rates, divided by the contractor's total resident days, minus the property component rate allocation, is more than the sum of the financing allowance and the variable return rate determined according to this chapter, the following shall apply:
(a) The financing allowance shall be recomputed substituting the fair market value of the assets as of January 1, 1982, as determined by the department of general administration through an appraisal procedure, less accumulated depreciation on the lessor's assets since January 1, 1982, for the net book value of the assets in determining net invested funds for the facility. A determination by the department of general administration of fair market value shall be final unless the procedure used to make such a determination is shown to be arbitrary and capricious.
(b) The sum of the financing allowance computed under (a) of this subsection and the variable return rate shall be compared to the annualized lease payment, plus any interest and depreciation associated with contractor-owned assets, for the period covered by the prospective rates, divided by the contractor's total resident days, minus the property component rate. The lesser of the two amounts shall be called the alternate return on investment rate.
(c) The sum of the financing allowance and variable return rate determined according to this chapter or the alternate return on investment rate, whichever is greater, shall be added to the prospective rates of the contractor.
(2) In the case of a facility that was leased by the contractor as of January 1, 1980, in an arm's-length agreement, if the lease is renewed or extended under a provision of the lease, the treatment provided in subsection (1) of this section shall be applied, except that in the case of renewals or extensions made subsequent to April 1, 1985, reimbursement for the annualized lease payment shall be no greater than the reimbursement for the annualized lease payment for the last year prior to the renewal or extension of the lease.
(3) The alternate return on investment component rate allocations calculated in accordance with this section shall be adjusted to the extent necessary to comply with RCW 74.46.421.
Sec. 13. RCW 74.46.350 and 1980 c 177 s 35 are each amended to read as follows:
(1) Buildings, land improvements, and fixed equipment shall be depreciated using the straight-line method of depreciation. For new or replacement building construction or for major renovations, either of which receives certificate of need approval or certificate of need exemption under chapter 70.38 RCW on or after the effective date of this section, the number of years used to depreciate fixed equipment shall be the same number of years as the life of the building to which it is affixed. Major-minor equipment shall be depreciated using either the straight-line method, the sum-of-the-years' digits method, or declining balance method not to exceed one hundred fifty percent of the straight line rate. Contractors who have elected to take either the sum-of-the-years' digits method or the declining balance method of depreciation on major-minor equipment may change to the straight-line method without permission of the department.
(2) The annual provision for depreciation shall be reduced by the portion allocable to use of the asset for purposes which are neither necessary nor related to patient care.
(3) No further depreciation shall be claimed after an asset has been fully depreciated unless a new depreciation base is established pursuant to RCW 74.46.360.
Sec. 14. RCW 74.46.370 and 1997 c 277 s 2 are each amended to read as follows:
(1) Except for new buildings, major remodels, and major repair projects, as defined in subsection (2) of this section, the contractor shall use lives which reflect the estimated actual useful life of the asset and which shall be no shorter than guideline lives as established by the department. Lives shall be measured from the date on which the assets were first used in the medical care program or from the date of the most recent arm's-length acquisition of the asset, whichever is more recent. In cases where RCW 74.46.360(6)(a) does apply, the shortest life that may be used for buildings is the remaining useful life under the prior contract. In all cases, lives shall be extended to reflect periods, if any, when assets were not used in or as a facility.
(2) Effective July 1, 1997, for asset acquisitions and new facilities, major remodels, and major repair projects that begin operations on or after July 1, 1997, the department shall use the most current edition of Estimated Useful Lives of Depreciable Hospital Assets, or as it may be renamed, published by the American Hospital Publishing, Inc., an American hospital association company, for determining the useful life of new buildings, major remodels, and major repair projects, however, the shortest life that may be used for new buildings receiving certificate of need approval or certificate of need exemptions under chapter 70.38 RCW on or after the effective date of this section, is ((thirty)) forty years. New buildings, major remodels, and major repair projects include those projects that meet or exceed the expenditure minimum established by the department of health pursuant to chapter 70.38 RCW.
(3) Building improvements, other than major remodels and major repairs, shall be depreciated over the remaining useful life of the building, as modified by the improvement.
(4) Improvements to leased property which are the responsibility of the contractor under the terms of the lease shall be depreciated over the useful life of the improvement.
(5) A contractor may change the estimate of an asset's useful life to a longer life for purposes of depreciation.
(6) For new or replacement building construction or for major renovations, either of which receives certificate of need approval or certificate of need exemption under chapter 70.38 RCW on or after the effective date of this section, the number of years used to depreciate fixed equipment shall be the same number of years as the life of the building to which it is affixed.
NEW SECTION. Sec. 15. If a contractor experiences an increase in state or county property taxes as a result of new building construction, replacement building construction, or substantial building additions that require the acquisition of land, then the department shall adjust the contractor's prospective rates to cover the medicaid share of the tax increase. The rate adjustments shall only apply to construction and additions completed on or after July 1, 1997. The rate adjustments authorized by this section are effective on the first day after July 1, 1999, on which the increased tax payment is due. Rate adjustments made under this section are subject to all applicable cost limitations contained in this chapter.
NEW SECTION. Sec. 16. Sections 9 through 12 and 15 of this act are each added to part E of chapter 74.46 RCW.
NEW SECTION. Sec. 17. The following acts or parts of acts, as now existing or hereafter amended, are each repealed, effective June 30, 2001:
(1) RCW 74.46.--- and 1999 c . . . s 9 (section 9 of this act);
(2) RCW 74.46.--- and 1999 c . . . s 10 (section 10 of this act) & 1998 c 322 s 29 (uncodified);
(3) RCW 74.46.--- and 1999 c . . . s 11 (section 11 of this act);
(4) RCW 74.46.--- and 1999 c . . . s 12 (section 12 of this act);
(5) RCW 74.46.350 (Methods of depreciation) and 1999 c . . . s 13 (section 13 of this act) & 1980 c 177 s 35;
(6) RCW 74.46.370 (Lives of assets) and 1999 c . . . s 14 (section 14 of this act), 1997 c 277 s 2, & 1980 c 177 s 37; and
(7) RCW 74.46.--- and 1999 c . . . s 15 (section 15 of this act).
NEW SECTION. Sec. 18. 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. Section 11 of this act takes effect immediately, and sections 1 through 10 and 12 through 17 take effect July 1, 1999."
MOTIONS
On motion of Senator Thibaudeau, the following title amendment was adopted:
On page 1, line 2 of the title, after "facilities;" strike the remainder of the title and insert "amending RCW 74.46.020, 74.46.360, 74.46.421, 74.46.431, 74.46.506, 74.46.511, 74.46.515, 74.46.521, 74.46.350, and 74.46.370; amending 1998 c 322 s 29 (uncodified); adding new sections to chapter 74.46 RCW; repealing RCW 74.46.350 and 74.46.370; repealing 1998 c 322 s 29 (uncodified); providing an effective date; and declaring an emergency.”
On motion of Senator Thibaudeau, the rules were suspended, Engrossed Second Substitute House Bill No. 1484, as amended by the Senate, 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 Second Substitute House Bill No. 1484, as amended by the Senate.
ROLL CALL
The Secretary called the roll on the final passage of Engrossed Second Substitute House Bill No. 1484, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 45; Nays, 0; Absent, 0; Excused, 4.
Voting yea: Senators Bauer, Benton, Brown, Costa, Deccio, Eide, Fairley, Finkbeiner, Franklin, Fraser, Gardner, Goings, Hale, Hargrove, Haugen, Heavey, Honeyford, Horn, Jacobsen, Johnson, Kline, Kohl-Welles, Long, Loveland, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sellar, Sheahan, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Stevens, Thibaudeau, West, Winsley, Wojahn and Zarelli - 45.
Excused: Senators Hochstatter, McAuliffe, McDonald and Swecker - 4.
ENGROSSED SECOND SUBSTITUTE HOUSE BILL NO. 1484, as amended by the Senate, 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 Eide, Senator Brown was excused.
SECOND READING
SUBSTITUTE HOUSE BILL NO. 1663 by House Committee on Judiciary (originally sponsored by Representatives Lambert, Constantine, McDonald, Kagi, Carrell, Edwards, Kastama, and Santos)
Creating a unified family court.
The bill was read the second time.
MOTION
On motion of Senator Heavey, the following Committee on Judiciary striking amendment was adopted:
Strike everything after the enacting clause and insert the following:
"NEW SECTION. Sec. 1. The legislature recognizes the increasing incidence of concurrent involvement of family members in multiple areas of the justice system. Analysis shows significant case overlap in the case types of juvenile offender, juvenile dependency, at-risk youth, child in need of services, truancy, domestic violence, and domestic relations. Also recognized is the increased complexity of the problems facing family members and the increased complexity of the laws affecting families. It is believed that in such situations, an efficient and effective response is through the creation of a unified court system centered around the family that: Provides a dedicated, trained, and informed judiciary; incorporates case management practices based on a family's judicial system needs; enables multiple case type resolution by one judicial officer or judicial team; provides coordinated legal and social services; and considers and evaluates the needs of the family as a whole.
NEW SECTION. Sec. 2. The administrator for the courts shall conduct a unified family court pilot program.
(1) Pilot program sites shall be selected through a request for proposal process, and shall be established in no more than three superior court judicial districts.
(2) To be eligible for consideration as a pilot project site, judicial districts must have a statutorily authorized judicial complement of at least five judges.
(3) The administrator for the courts shall develop criteria for the unified family court pilot program. The pilot program shall include: (a) All case types under Title 13 RCW, chapters 26.09, 26.10, 26.12, 26.18, 26.19, 26.20, 26.26, 26.50, 26.27, and 28A.225 RCW;
(b) Unified family court judicial officers, who volunteer for the program, and meet training requirements established by local court rule;
(c) Case management practices that provide a flexible response to the diverse court-related needs of families involved in multiple areas of the justice system. Case management practices should result in a reduction in process redundancies and an efficient use of time and resources, and create a system enabling multiple case type resolution by one judicial officer or judicial team;
(d) A court facilitator to provide assistance to parties with matters before the unified family court; and
(e) An emphasis on providing nonadversarial methods of dispute resolution such as a settlement conference, evaluative mediation by attorney mediators, and facilitative mediation by nonattorney mediators.
(4) The office of the administrator for the courts shall publish and disseminate a state-approved listing of definitions of nonadversarial methods of dispute resolution so that court officials, practitioners, and users can choose the most appropriate process for the matter at hand.
(5) The office of the administrator for the courts shall provide to the judicial districts selected for the pilot program the computer resources needed by each judicial district to implement the unified family court pilot program.
(6) The office of the administrator for the courts shall conduct a study of the pilot program measuring improvements in the judicial system's response to family involvement in the judicial system. The administrator for the courts shall report preliminary findings and final results of the study to the governor, the chief justice of the supreme court, and the legislature on a biennial basis. The initial report is due by July 1, 2000, and the final report is due by December 1, 2004.
NEW SECTION. Sec. 3. The judges of the superior court judicial districts with unified family court pilot programs shall adopt local court rules directing the program. The local court rules shall comply with the criteria established by the administrator for the courts and shall include:
(1) A requirement that all judicial officers hearing cases in unified family court:
(a) Complete an initial training program including the topic areas of childhood development, domestic violence, cultural awareness, child abuse and neglect, chemical dependency, and mental illness; and
(b) Subsequent to the training in (a) of this subsection, annually attend a minimum of eight hours of continuing education of pertinence to the unified family court;
(2) Case management that is based on the practice of one judge or judicial team handling all matters relating to a family;
(3) An emphasis on coordinating or consolidating, to the extent possible, all cases before the unified family court relating to a family; and
(4) Programs that provide for record confidentiality to protect the confidentiality of court records in accordance with the law. However law enforcement agencies shall have access to the records to the extent permissible under the law.
Sec. 4. RCW 10.14.200 and 1995 c 246 s 35 are each amended to read as follows:
Any order available under this chapter may be issued in actions under chapter 13.32A, 26.09, 26.10, or 26.26 RCW. An order available under this chapter that is issued under those chapters shall be fully enforceable and shall be enforced pursuant to the provisions of this chapter.
Sec. 5. RCW 13.04.021 and 1994 sp.s. c 7 s 538 are each amended to read as follows:
(1) The juvenile court shall be a division of the superior court. In judicial districts having more than one judge of the superior court, the judges of such court shall annually assign one or more of their number to the juvenile court division. In any judicial district having a court commissioner, the court commissioner shall have the power, authority, and jurisdiction, concurrent with a juvenile court judge, to hear all cases under this chapter and to enter judgment and make orders with the same power, force, and effect as any judge of the juvenile court, subject to motion or demand by any party within ten days from the entry of the order or judgment by the court commissioner as provided in RCW 2.24.050. In any judicial district having a family law commissioner appointed pursuant to chapter 26.12 RCW, the family law commissioner shall have the power, authority, and jurisdiction, concurrent with a juvenile court judge, to hear cases ((under chapter 13.34 RCW or any other case)) under Title 13 RCW and chapter 28A.225 RCW as provided in RCW 26.12.010, and to enter judgment and make orders with the same power, force, and effect as any judge of the juvenile court, subject to motion or demand by any party within ten days from the entry of the order or judgment by the court commissioner as provided in RCW 2.24.050.
(2) Cases in the juvenile court shall be tried without a jury.
Sec. 6. RCW 26.12.010 and 1994 sp.s. c 7 s 537 are each amended to read as follows:
(((1))) Each superior court shall exercise the jurisdiction conferred by this chapter and while sitting in the exercise of such jurisdiction shall be known and referred to as the "family court." A family ((law)) court proceeding under this chapter is: (1) Any proceeding under this title or any proceeding in which the family court is requested to adjudicate or enforce the rights of the parties or their children regarding the determination or modification of parenting plans, child custody, visitation, or support, or the distribution of property or obligations, or (2) concurrent with the juvenile court, any proceeding under Title 13 or chapter 28A.225 RCW.
(((2) Superior court judges of a county may by majority vote, grant to the family court the power, authority, and jurisdiction, concurrent with the juvenile court, to hear and decide cases under Title 13 RCW.))
Sec. 7. RCW 26.12.060 and 1993 c 289 s 3 are each amended to read as follows:
The court commissioners shall: (1) Make appropriate referrals to county family court services program if the county has a family court services program or appoint a guardian ad litem pursuant to RCW 26.12.175; (2) order investigation and reporting of the facts upon which to base warrants, subpoenas, orders or directions in actions or proceedings under this chapter; (3) exercise all the powers and perform all the duties of court commissioners; (4) make written reports of all proceedings had which shall become a part of the record of the family court; (5) provide supervision over the exercise of its jurisdiction as the judge of the family court may order; (6) cause the orders and findings of the family court to be entered in the same manner as orders and findings are entered in cases in the superior court; (7) cause other reports to be made and records kept as will indicate the value and extent of reconciliation, mediation, investigation, and treatment services; and (8) conduct hearings under ((chapter 13.34 RCW)) Title 13 and chapter 28A.225 RCW, as provided in RCW 13.04.021.
Sec. 8. RCW 36.18.016 and 1996 c 56 s 5 are each amended to read as follows:
(1) Revenue collected under this section is not subject to division under RCW 36.18.025 or 27.24.070.
(2) For the filing of a petition for modification of a decree of dissolution or paternity, within the same case as the original action, a fee of twenty dollars must be paid.
(3)(a) The party making a demand for a jury of six in a civil action shall pay, at the time, a fee of ((fifty)) one hundred twenty-five dollars; if the demand is for a jury of twelve, a fee of ((one)) two hundred fifty dollars. If, after the party demands a jury of six and pays the required fee, any other party to the action requests a jury of twelve, an additional ((fifty-dollar)) one hundred twenty-five dollar fee will be required of the party demanding the increased number of jurors.
(b) Upon conviction in criminal cases a jury demand charge of fifty dollars for a jury of six, or one hundred dollars for a jury of twelve may be imposed as costs under RCW 10.46.190.
(4) For preparing, transcribing, or certifying an instrument on file or of record in the clerk's office, with or without seal, for the first page or portion of the first page, a fee of two dollars, and for each additional page or portion of a page, a fee of one dollar must be charged. For authenticating or exemplifying an instrument, a fee of one dollar for each additional seal affixed must be charged.
(5) For executing a certificate, with or without a seal, a fee of two dollars must be charged.
(6) For a garnishee defendant named in an affidavit for garnishment and for a writ of attachment, a fee of twenty dollars must be charged.
(7) For approving a bond, including justification on the bond, in other than civil actions and probate proceedings, a fee of two dollars must be charged.
(8) For the issuance of a certificate of qualification and a certified copy of letters of administration, letters testamentary, or letters of guardianship, there must be a fee of two dollars.
(9) For the preparation of a passport application, the clerk may collect an execution fee as authorized by the federal government.
(10) For clerk's special services such as processing ex parte orders by mail, performing historical searches, compiling statistical reports, and conducting exceptional record searches, the clerk may collect a fee not to exceed twenty dollars per hour or portion of an hour.
(11) For duplicated recordings of court's proceedings there must be a fee of ten dollars for each audio tape and twenty-five dollars for each video tape.
(12) For the filing of oaths and affirmations under chapter 5.28 RCW, a fee of twenty dollars must be charged.
(13) For filing a disclaimer of interest under RCW 11.86.031(4), a fee of two dollars must be charged.
(14) For registration of land titles, Torrens Act, under RCW 65.12.780, a fee of five dollars must be charged.
(15) For the issuance of extension of judgment under RCW 6.17.020 and chapter 9.94A RCW, a fee of one hundred ten dollars must be charged.
(16) A facilitator surcharge of ten dollars must be charged as authorized under RCW 26.12.240.
(17) For filing a water rights statement under RCW 90.03.180, a fee of twenty-five dollars must be charged.
(18) For filing a warrant for overpayment of state retirement systems benefits under chapter 41.50 RCW, a fee of five dollars shall be charged pursuant to RCW 41.50.136.
(19) A service fee of three dollars for the first page and one dollar for each additional page must be charged for receiving faxed documents, pursuant to Washington state rules of court, general rule 17.
(20) For preparation of clerk's papers under RAP 9.7, a fee of fifty cents per page must be charged.
(21) For copies and reports produced at the local level as permitted by RCW 2.68.020 and supreme court policy, a variable fee must be charged.
(22) Investment service charge and earnings under RCW 36.48.090 must be charged.
(23) Costs for nonstatutory services rendered by clerk by authority of local ordinance or policy must be charged.
(24) For filing a request for trial de novo of an arbitration award, a fee not to exceed two hundred fifty dollars as established by authority of local ordinance must be charged."
MOTIONS
On motion of Senator Heavey, the following title amendment was adopted:
On page 1, line 1 of the title, after "Relating to" strike the remainder of the title and insert "court operations; amending RCW 10.14.200, 13.04.021, 26.12.010, 26.12.060, and 36.18.016; and creating new sections."
On motion of Senator Heavey, the rules were suspended, Substitute House Bill No. 1663, as amended by the Senate, 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 Substitute House Bill No. 1663, as amended by the Senate.
ROLL CALL
The Secretary called the roll on the final passage of Substitute House Bill No. 1663, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 44; Nays, 0; Absent, 0; Excused, 5.
Voting yea: Senators Bauer, Benton, Costa, Deccio, Eide, Fairley, Finkbeiner, Franklin, Fraser, Gardner, Goings, Hale, Hargrove, Haugen, Heavey, Honeyford, Horn, Jacobsen, Johnson, Kline, Kohl-Welles, Long, Loveland, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sellar, Sheahan, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Stevens, Thibaudeau, West, Winsley, Wojahn and Zarelli - 44.
Excused: Senators Brown, Hochstatter, McAuliffe, McDonald and Swecker - 5.
SUBSTITUTE HOUSE BILL NO. 1663, as amended by the Senate, 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 Franklin, Senator Loveland was excused.
MOTION
On motion of Senator Betti Sheldon, the Senate reverted to the fourth order of business.
MESSAGE FROM THE HOUSE
April 7, 1999
MR. PRESIDENT:
Under suspension of the rules, SUBSTITUTE SENATE BILL NO. 5513 was returned to second reading and the House adopted the following amendment and passed the bill as amended by the House:
On page 2, line 4, after “representatives.” strike “The chief law enforcement officer of the jurisdiction where the crime was committed shall designate the law enforcement representatives.” and insert “The chief executive officer of the agency that investigated the crime shall designate the law enforcement representatives.”, and the same are herewith transmitted.
TIMOTHY A. MARTIN, Co-Chief Clerk
DEAN R. FOSTER, Co-Chief Clerk
MOTION
On motion of Senator Costa, the Senate concurred in the House amendment to Substitute Senate Bill No. 5513.
The President declared the question before the Senate to be the roll call on the final passage of Substitute Senate Bill No. 5513, as amended by the House.
ROLL CALL
The Secretary called the roll on the final passage of Substitute Senate Bill No. 5513, as amended by the House, and the bill passed the Senate by the following vote: Yeas, 43; Nays, 1; Absent, 0; Excused, 5.
Voting yea: Senators Bauer, Benton, Costa, Deccio, Eide, Finkbeiner, Franklin, Fraser, Gardner, Goings, Hale, Hargrove, Haugen, Heavey, Honeyford, Horn, Jacobsen, Johnson, Kline, Kohl-Welles, Long, McAuliffe, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sellar, Sheahan, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Stevens, Thibaudeau, West, Winsley, Wojahn and Zarelli - 43.
Voting nay: Senator Fairley - 1.
Excused: Senators Brown, Hochstatter, Loveland, McDonald and Swecker - 5.
SUBSTITUTE SENATE BILL NO. 5513, as amended by the House, 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.
MESSAGE FROM THE HOUSE
April 9, 1999
MR. PRESIDENT:
The House has passed SUBSTITUTE SENATE BILL NO. 5619 with the following amendment(s):
Strike everything after the enacting clause and insert the following:
"Sec. 1. RCW 76.04.610 and 1993 c 36 s 1 are each amended to read as follows:
(1) If any owner of forest land within a forest protection zone neglects or fails to provide adequate fire protection as required by RCW 76.04.600, the department shall provide such protection and shall annually impose the following assessments on each parcel of such land: (a) A flat fee assessment of fourteen dollars and fifty cents; and (b) twenty-two cents on each acre exceeding fifty acres. Assessors may, at their option, collect the assessment on tax exempt lands. If the assessor elects not to collect the assessment, the department may bill the landowner directly.
(2) An owner who has paid assessments on two or more parcels, each containing fewer than fifty acres and each within the same county, may obtain the following refund:
(a) If all the parcels together contain less than fifty acres, then the refund is equal to the flat fee assessments paid, reduced by the total of (i) fourteen dollars and (ii) the total of the amounts retained by the county from such assessments under subsection (((5))) (6) of this section.
(b) If all the parcels together contain fifty or more acres, then the refund is equal to the flat fee assessments paid, reduced by the total of (i) fourteen dollars, (ii) twenty-two cents for each acre exceeding fifty acres, and (iii) the total of the amounts retained by the county from such assessments under subsection (((5))) (6) of this section.
Applications for refunds shall be submitted to the department on a form prescribed by the department and in the same year in which the assessments were paid. The department may not provide refunds to applicants who do not provide verification that all assessments and property taxes on the property have been paid. Applications may be made by mail.
(3) In addition to the procedures under subsection (2) of this section, property owners with parcels in a county subject to a forest fire protection assessment may apply to the department on an application listing the parcels owned. Property owners with the following number of parcels may apply to the department in the year indicated:
Year Number of Parcels
2000 10 or more parcels
2001 8 or more parcels
2002 6 or more parcels
2003 4 or more parcels
2004 and thereafter 2 or more parcels
There shall be one application per county. The department shall compute the correct assessment and allocate one parcel to use to collect the assessment. The county shall then only bill the forest fire protection assessment on the one identified parcel. The landowner is responsible for notifying the department of any changes in parcel ownership.
(4) Beginning January 1, 1991, under the administration and at the discretion of the department up to two hundred thousand dollars per year of this assessment shall be used in support of those rural fire districts assisting the department in fire protection services on forest lands.
(((4))) (5) For the purpose of this chapter, the department may divide the forest lands of the state, or any part thereof, into districts, for fire protection and assessment purposes, may classify lands according to the character of timber prevailing, and the fire hazard existing, and place unprotected lands under the administration of the proper district. Amounts paid or contracted to be paid by the department for protection of forest lands from funds at its disposal shall be a lien upon the property protected, unless reimbursed by the owner within ten days after October 1st of the year in which they were incurred. The department shall be prepared to make statement thereof, upon request, to a forest owner whose own protection has not been previously approved as to its adequacy, the department shall report the same to the assessor of the county in which the property is situated. The assessor shall extend the amounts upon the tax rolls covering the property, and upon authorization from the department shall levy the forest protection assessment against the amounts of unimproved land as shown in each ownership on the county assessor's records. The assessor may then segregate on the records to provide that the improved land and improvements thereon carry the millage levy designed to support the rural fire protection districts as provided for in RCW 52.16.170.
(((5))) (6) The amounts assessed shall be collected at the time, in the same manner, by the same procedure, and with the same penalties attached that general state and county taxes on the same property are collected, except that errors in assessments may be corrected at any time by the department certifying them to the treasurer of the county in which the land involved is situated. Assessments shall be known and designated as assessments of the year in which the amounts became reimbursable. Upon the collection of assessments the county treasurer shall place fifty cents of the total assessments paid on a parcel for fire protection into the county current expense fund to defray the costs of listing, billing, and collecting these assessments. The treasurer shall then transmit the balance to the department. Collections shall be applied against expenses incurred in carrying out the provisions of this section, including necessary and reasonable administrative costs incurred by the department in the enforcement of these provisions. The department may also expend sums collected from owners of forest lands or received from any other source for necessary administrative costs in connection with the enforcement of RCW 76.04.660.
(((6))) (7) When land against which forest protection assessments are outstanding is acquired for delinquent taxes and sold at public auction, the state shall have a prior lien on the proceeds of sale over and above the amount necessary to satisfy the county's delinquent tax judgment. The county treasurer, in case the proceeds of sale exceed the amount of the delinquent tax judgment, shall immediately remit to the department the amount of the outstanding forest protection assessments.
(((7))) (8) All nonfederal public bodies owning or administering forest land included in a forest protection zone shall pay the forest protection assessments provided in this section and the special forest fire suppression account assessments under RCW 76.04.630. The forest protection assessments and special forest fire suppression account assessments shall be payable by nonfederal public bodies from available funds within thirty days following receipt of the written notice from the department which is given after October 1st of the year in which the protection was provided. Unpaid assessments shall not be a lien against the nonfederal publicly owned land but shall constitute a debt by the nonfederal public body to the department and shall be subject to interest charges at the legal rate.
(((8))) (9) A public body, having failed to previously pay the forest protection assessments required of it by this section, which fails to suppress a fire on or originating from forest lands owned or administered by it, shall be liable for the costs of suppression incurred by the department or its agent and shall not be entitled to reimbursement of costs incurred by the public body in the suppression activities.
(((9))) (10) The department may adopt rules to implement this section, including, but not limited to, rules on levying and collecting forest protection assessments.", and the same are herewith transmitted.
TIMOTHY A. MARTIN, Co-Chief Clerk
DEAN R. FOSTER, Co-Chief Clerk
MOTION
On motion of Senator Jacobsen, the Senate concurred in the House amendment to Substitute Senate Bill No. 5619.
The President declared the question before the Senate to be the roll call on the final passage of Substitute Senate Bill No. 5619, as amended by the House.
ROLL CALL
The Secretary called the roll on the final passage of Substitute Senate Bill No. 5619, as amended by the House, and the bill passed the Senate by the following vote: Yeas, 44; Nays, 0; Absent, 0; Excused, 5.
Voting yea: Senators Bauer, Benton, Costa, Deccio, Eide, Fairley, Finkbeiner, Franklin, Fraser, Gardner, Goings, Hale, Hargrove, Haugen, Heavey, Honeyford, Horn, Jacobsen, Johnson, Kline, Kohl-Welles, Long, McAuliffe, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sellar, Sheahan, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Stevens, Thibaudeau, West, Winsley, Wojahn and Zarelli - 44.
Excused: Senators Brown, Hochstatter, Loveland, McDonald and Swecker - 5.
SUBSTITUTE SENATE BILL NO. 5619, as amended by the House, 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.
MESSAGE FROM THE HOUSE
April 7, 1999
MR. PRESIDENT:
The House has passed SENATE BILL NO. 5628 with the following amendment(s):
Strike everything after the enacting clause and insert the following:
"Sec. 1. RCW 18.04.025 and 1994 c 211 s 1401 are each amended to read as follows:
Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.
(1) "Board" means the board of accountancy created by RCW 18.04.035.
(2) "Certified public accountant" or "CPA" means a person holding a certified public accountant certificate.
(3) "State" includes the states of the United States, the District of Columbia, Puerto Rico, Guam, and the United States Virgin Islands.
(4) "Reports on financial statements" means any reports or opinions prepared by certified public accountants, based on services performed in accordance with generally accepted auditing standards, standards for attestation engagements, or standards for accounting and review services as to whether the presentation of information used for guidance in financial transactions or for accounting for or assessing the status or performance of commercial and noncommercial enterprises, whether public, private, or governmental, conforms with generally accepted accounting principles or other comprehensive bases of accounting.
(5) The "practice of public accounting" means performing or offering to perform by a person or firm holding itself out to the public as a licensee, for a client or potential client, one or more kinds of services involving the use of accounting or auditing skills, including the issuance of "audit reports," "review reports," or "compilation reports" on financial statements, or one or more kinds of management advisory, or consulting services, or the preparation of tax returns, or the furnishing of advice on tax matters. The "practice of public accounting" shall not include practices that are permitted under the provisions of RCW 18.04.350(6) by persons or firms not required to be licensed under this chapter.
(6) "Firm" means a sole proprietorship, a corporation, or a partnership. "Firm" also means a limited liability company formed under chapter 25.15 RCW.
(7) "CPE" means continuing professional education.
(8) "Certificate" means a certificate as a certified public accountant issued under this chapter, or a corresponding certificate issued by another state or foreign jurisdiction that is recognized in accordance with the reciprocity provisions of RCW 18.04.180 and 18.04.183.
(9) "Licensee" means the holder of a valid license issued under this chapter.
(10) "License" means a ((biennial)) license to practice public accountancy issued to an individual or firm under this chapter.
(11) "Quality assurance review" means a process established by and conducted at the direction of the board of study, appraisal, or review of one or more aspects of the professional work of a person or firm in the practice of public accountancy, by a person or persons who hold certificates and who are not affiliated with the person or firm being reviewed.
(12) "Quality review" means a study, appraisal, or review of one or more aspects of the professional work of a person or firm in the practice of public accountancy, by a person or persons who hold certificates and who are not affiliated with the person or firm being reviewed, including a peer review, or any internal review or inspection intended to comply with quality control policies and procedures, but not including the "quality assurance review" under subsection (11) of this section.
(13) "Review committee" means any person carrying out, administering or overseeing a quality review authorized by the reviewee.
(14) "Rule" means any rule adopted by the board under authority of this chapter.
(15) "Holding out" means any representation to the public by the use of restricted titles as set forth in RCW 18.04.345 by a person or firm that the person or firm is a certified public accountant and that the person or firm offers to perform any professional services to the public as a certified public accountant. "Holding out" shall not affect or limit a person not required to hold a certificate under this chapter or a person or firm not required to hold a license under this chapter from engaging in practices identified in RCW 18.04.350(6).
Sec. 2. RCW 18.04.105 and 1992 c 103 s 7 are each amended to read as follows:
(1) The certificate of "certified public accountant" shall be granted by the board to any person:
(a) Who is of good character. Good character, for purposes of this section, means lack of a history of dishonest or felonious acts. The board may refuse to grant a certificate on the ground of failure to satisfy this requirement only if there is a substantial connection between the lack of good character of the applicant and the professional responsibilities of a certified public accountant and if the finding by the board of lack of good character is supported by a preponderance of evidence. When an applicant is found to be unqualified for a certificate because of a lack of good character, the board shall furnish the applicant a statement containing the findings of the board and a notice of the applicant's right of appeal;
(b) Who has met the educational standards established by rule as the board determines to be appropriate;
The board may, in its discretion, waive the educational requirements for any person if it is satisfied through review of documentation of successful completion of an equivalency examination that the person's educational qualifications are an acceptable substitute for the requirements of (b) of this subsection; and
(c) Who has passed a written examination.
(2) The examination described in subsection (1)(c) of this section shall be in writing, shall be held twice a year, and shall test the applicant's knowledge of the subjects of accounting and auditing, and other related fields the board may specify by rule. The time for holding the examination is fixed by the board and may be changed from time to time. The board shall prescribe by rule the methods of applying for and taking the examination, including methods for grading papers and determining a passing grade required of an applicant for a certificate. The board shall to the extent possible see to it that the grading of the examination, and the passing grades, are uniform with those applicable to all other states. The board may make use of all or a part of the uniform certified public accountant examination and advisory grading service of the American Institute of Certified Public Accountants and may contract with third parties to perform administrative services with respect to the examination as the board deems appropriate to assist it in performing its duties under this chapter.
(3) An applicant is required to pass all sections of the examination provided for in subsection (2) of this section in order to qualify for a certificate. If at a given sitting of the examination an applicant passes two or more but not all sections, then the applicant shall be given credit for those sections that he or she passed, and need not take those sections again: PROVIDED, That:
(a) The applicant took all sections of the examination at that sitting;
(b) The applicant attained a minimum grade of fifty on each section not passed at that sitting;
(c) The applicant passes the remaining sections of the examination within six consecutive examinations given after the one at which the first sections were passed;
(d) At each subsequent sitting at which the applicant seeks to pass additional sections, the applicant takes all sections not yet passed; and
(e) In order to receive credit for passing additional sections in a subsequent sitting, the applicant attains a minimum grade of fifty on sections written but not passed on the sitting.
(4) The board may waive or defer any of the requirements of subsection (3) of this section for candidates transferring conditional CPA exam credits from other states or for qualifying reciprocity certification applicants who met the conditioning requirements of the state or foreign jurisdiction issuing their original certificate.
(5) The board shall charge each applicant an examination fee for the initial examination under subsection (1) of this section, or for reexamination under subsection (3) of this section for each subject in which the applicant is reexamined. The applicable fee shall be paid by the person at the time he or she applies for examination, reexamination, or evaluation of educational qualifications. Fees for examination, reexamination, or evaluation of educational qualifications shall be determined by the board under chapter 18.04 RCW. There is established in the state treasury an account to be known as the certified public accountants' account. All fees received from candidates to take any or all sections of the certified public accountant examination shall be used only for costs related to the examination.
(6) Persons who on June 30, 1986, held certified public accountant certificates previously issued under the laws of this state shall not be required to obtain additional certificates under this chapter, but shall otherwise be subject to this chapter. Certificates previously issued shall, for all purposes, be considered certificates issued under this chapter and subject to its provisions.
(7) A certificate of a "certified public accountant" under this chapter is issued ((on a biennial basis)) every three years with renewal subject to requirements of continuing professional education and payment of fees, prescribed by the board.
(8) The board shall adopt rules providing for continuing professional education for certified public accountants. The rules shall:
(a) Provide that a certified public accountant shall verify to the board that he or she has completed at least an accumulation of ((eighty)) one hundred twenty hours of continuing professional education during the last ((two-year)) three-year period to maintain the certificate;
(b) Establish continuing professional education requirements;
(c) Establish when newly certificated public accountants shall verify that they have completed the required continuing professional education; ((and))
(d) Provide that failure to furnish verification of the completion of the continuing professional education requirement shall make the certificate invalid and subject to reinstatement, unless the board determines that the failure was due to retirement, reasonable cause, or excusable neglect; and
(e) Provide for transition from existing to new continuing professional education requirements.
(9) The board may adopt by rule new CPE standards that differ from those in subsection (8) of this section or RCW 18.04.215 if the new standards are consistent with the continuing professional education standards of other states so as to provide to the greatest extent possible, consistent national standards.
Sec. 3. RCW 18.04.183 and 1992 c 103 s 18 are each amended to read as follows:
The board shall grant a certificate or license as a certified public accountant to a holder of a permit, license, or certificate issued by a foreign country's board, agency, or institute, provided that:
(1) The foreign country where the foreign permit, license, or certificate was issued is a party to an agreement on trade with the United States that encourages the mutual recognition of licensing and certification requirements for the provision of covered services by the parties under the trade agreement; and
(2) Such foreign country's board, agency, or institute makes similar provision to allow a person who holds a valid certificate issued by this state to obtain such foreign country's comparable permit, license, or certificate; and
(3) The foreign permit, license, or certificate:
(a) Was duly issued by such foreign country's board, agency, or institute that regulates the practice of public accountancy; and
(b) Is in good standing at the time of the application; and
(c) Was issued upon the basis of educational, examination, and ethical requirements substantially equivalent currently or at the time of issuance of the foreign permit, license, or certificate to those in this state; and
(4) The applicant has within the ((twenty-four)) thirty-six months prior to application completed an accumulation of ((eighty)) one hundred twenty hours of continuing professional education as required under RCW 18.04.105(8). The board shall provide for transition from existing to new continuing professional education requirements; and
(5) If the application is for a certificate:
(a) The applicant's foreign permit, license, or certificate was the type of permit, license, or certificate requiring the most stringent qualifications if, in the foreign country, more than one type of permit, license, or certificate is issued. This state's board shall decide which are the most stringent qualifications; and
(b) The applicant has passed a written examination or its equivalent, approved by the board, that tests knowledge in the areas of United States accounting principles, auditing standards, commercial law, income tax law, and Washington state rules of professional ethics; or
(6) If the application is for a certificate and license:
(a) The requirements of subsections (1) through (5) of this section are satisfied; and
(b) The applicant has within the five years prior to applying for the certificate and license under this section, demonstrated, in accordance with the rules issued by the board, one year of public accounting experience, within the foreign country where the foreign permit, license, or certificate was issued, equivalent to the experience required under RCW 18.04.215(1)(a) or such other experience or employment which the board in its discretion regards as substantially equivalent.
The board may adopt by rule new CPE standards that differ from those in subsection (4) of this section or RCW 18.04.215 if the new standards are consistent with the continuing professional education standards of other states so as to provide to the greatest extent possible, consistent national standards.
Sec. 4. RCW 18.04.185 and 1986 c 295 s 7 are each amended to read as follows:
(1) Application for certification as certified public accountants by persons who are not residents of this state constitutes appointment of the secretary of state as an agent for service of process in any action or proceeding against the applicants arising from any transaction, activity, or operation connected with or incidental to the practice of public accounting in this state by nonresident holders of certified public accountant certificates.
(2) Application for a ((biennial)) license to practice public accounting in this state by a certified public accountant or CPA firm who holds a license or permit to practice issued by another state constitutes the appointment of the secretary of state as an agent for service of process in any action or proceeding against the applicant arising from any transaction or operation connected with or incidental to the practice of public accounting in this state by the holder of the ((biennial)) license to practice.
Sec. 5. RCW 18.04.195 and 1994 c 211 s 1402 are each amended to read as follows:
(1) A sole proprietorship engaged in this state in the practice of public accounting shall license ((biennially)) every three years with the board as a firm.
(a) The principal purpose and business of the firm shall be to furnish services to the public which are consistent with this chapter and the rules of the board.
(b) The person shall be a certified public accountant holding a license to practice under RCW 18.04.215.
(c) Each resident licensee in charge of an office of the sole proprietorship engaged in this state in the practice of public accounting shall be a certified public accountant holding a license to practice under RCW 18.04.215.
(2) A partnership engaged in this state in the practice of public accounting shall license ((biennially)) every three years with the board as a partnership of certified public accountants, and shall meet the following requirements:
(a) The principal purpose and business of the partnership shall be to furnish services to the public which are consistent with this chapter and the rules of the board;
(b) At least one general partner of the partnership shall be a certified public accountant holding a license to practice under RCW 18.04.215;
(c) Each resident licensee in charge of an office of the partnership in this state and each resident partner personally engaged within this state in the practice of public accounting shall be a certified public accountant holding a license to practice under RCW 18.04.215.
(3) A corporation organized for the practice of public accounting and engaged in this state in the practice of public accounting shall license ((biennially)) every three years with the board as a corporation of certified public accountants and shall meet the following requirements:
(a) The principal purpose and business of the corporation shall be to furnish services to the public which are consistent with this chapter and the rules of the board; and
(b) Each shareholder of the corporation shall be a certified public accountant of some state holding a license to practice and shall be principally employed by the corporation or actively engaged in its business. No other person may have any interest in the stock of the corporation. The principal officer of the corporation and any officer or director having authority over the practice of public accounting by the corporation shall be a certified public accountant of some state holding a license to practice;
(c) At least one shareholder of the corporation shall be a certified public accountant holding a license to practice under RCW 18.04.215;
(d) Each resident licensee in charge of an office of the corporation in this state and each shareholder or director personally engaged within this state in the practice of public accounting shall be a certified public accountant holding a license to practice under RCW 18.04.215;
(e) A written agreement shall bind the corporation or its shareholders to purchase any shares offered for sale by, or not under the ownership or effective control of, a qualified shareholder, and bind any holder not a qualified shareholder to sell the shares to the corporation or its qualified shareholders. The agreement shall be noted on each certificate of corporate stock. The corporation may purchase any amount of its stock for this purpose, notwithstanding any impairment of capital, as long as one share remains outstanding; and
(f) The corporation shall comply with any other rules pertaining to corporations practicing public accounting in this state as the board may prescribe.
(4) A limited liability company engaged in this state in the practice of public accounting shall license ((biennially)) every three years with the board as a limited liability company of certified public accountants, and shall meet the following requirements:
(a) The principal purpose and business of the limited liability company shall be to furnish services to the public which are consistent with this chapter and the rules of the board;
(b) At least one manager of the limited liability company shall be a certified public accountant holding a license to practice under RCW 18.04.215;
(c) Each resident manager or member in charge of an office of the limited liability company in this state and each resident manager or member personally engaged within this state in the practice of public accounting shall be a certified public accountant holding a license to practice under RCW 18.04.215.
(5) Application for a license as a firm shall be made upon the affidavit of the proprietor or person designated as managing partner or shareholder for Washington. This person shall be a certified public accountant holding a license to practice under RCW 18.04.215. The board shall determine in each case whether the applicant is eligible for a license. A partnership or corporation which is licensed to practice under RCW 18.04.215 may use the designation "certified public accountants" or "CPAs" in connection with its partnership or corporate name. The board shall be given notification within ninety days after the admission or withdrawal of a partner or shareholder engaged in this state in the practice of public accounting from any partnership or corporation so licensed.
(6) Fees for the license as a firm and for notification of the board of the admission or withdrawal of a partner or shareholder shall be determined by the board. Fees shall be paid by the firm at the time the license application form or notice of admission or withdrawal of a partner or shareholder is filed with the board.
Sec. 6. RCW 18.04.205 and 1992 c 103 s 9 are each amended to read as follows:
(1) Each office established or maintained in this state for the practice of public accounting in this state by a certified public accountant, or a partnership or corporation of certified public accountants, shall register with the board under this chapter ((biennially)) every three years.
(2) Each office shall be under the direct supervision of a resident licensee holding a license under RCW 18.04.215 who may be a sole proprietor, partner, principal shareholder, or a staff employee.
(3) The board shall by rule prescribe the procedure to be followed to register and maintain offices established in this state for the practice of public accounting.
(4) Fees for the registration of offices shall be determined by the board. Fees shall be paid by the applicant at the time the registration form is filed with the board.
Sec. 7. RCW 18.04.215 and 1992 c 103 s 10 are each amended to read as follows:
(1) ((Biennial)) Three-year licenses shall be issued by the board:
(a) To holders of certificates as certified public accountants who have demonstrated, in accordance with rules issued by the board, one year of public accounting experience, or such other experience or employment which the board in its discretion regards as substantially equivalent and who, if their certificate was issued more than forty-eight months prior to application under this section, submit to the board satisfactory proof of having completed an accumulation of ((eighty)) one hundred twenty hours of continuing professional education during the ((twenty-four)) thirty-six months preceding the application;
(b) To firms under RCW 18.04.195, if all offices of the firm in this state are maintained and registered as required under RCW 18.04.205.
(2) The board shall, by rule, provide for a system of certificate and license renewal. Applicants for issuance or renewal of certificates or licenses shall, at the time of filing their applications, list with the board all states and foreign jurisdictions in which they hold or have applied for certificates, permits or licenses to practice.
(3) A certified public accountant who holds a permit or license issued by another state, and applies for a license in this state, may practice in this state from the date of filing a completed application with the board, until the board has acted upon the application provided the application is made prior to holding out as a certified public accountant in this state and no sanctions or investigations, deemed by the board to be pertinent to public accountancy, by other jurisdictions or agencies are in process.
(4) A certified public accountant shall submit to the board satisfactory proof of having completed an accumulation of ((eighty)) one hundred twenty hours of continuing education recognized and approved by the board during the preceding ((two)) three years. Failure to furnish this evidence as required shall make the certificate invalid and subject to reinstatement procedures, unless the board determines the failure to have been due to retirement, reasonable cause, or excusable neglect.
The board in its discretion may renew a certificate or license despite failure to furnish evidence of compliance with requirements of continuing professional education upon condition that the applicant follow a particular program of continuing professional education. In issuing rules and individual orders with respect to continuing professional education requirements, the board, among other considerations, may rely upon guidelines and pronouncements of recognized educational and professional associations, may prescribe course content, duration, and organization, and may take into account the accessibility of continuing education to applicants and instances of individual hardship.
(5) Fees for issuance or renewal of certificates and licenses in this state shall be determined by the board under chapter 18.04 RCW. Fees shall be paid by the applicant at the time the application form is filed with the board. The board, by rule, may provide for proration of fees for certificates and licenses issued between normal renewal dates.
Sec. 8. RCW 18.04.345 and 1992 c 103 s 14 are each amended to read as follows:
(1) No person may assume or use the designation "certified public accountant" or "CPA" or any other title, designation, words, letters, abbreviation, sign, card, or device tending to indicate that the person is a certified public accountant or CPA unless the person holds a valid certificate as a certified public accountant.
(2) No person may hold himself or herself out to the public and assume or use the designation "certified public accountant" or "CPA" or any other title, designation, words, letters, abbreviation, sign, card, or ((devise [device])) device tending to indicate that the person is a certified public accountant or CPA unless the person holds a valid certificate as a certified public accountant and holds a valid license to practice under RCW 18.04.215.
(3) No firm may hold itself out to the public, or assume or use the designation "certified public accountant" or "CPA" or any other title, designation, words, letters, abbreviation, sign, card, or device tending to indicate that the firm is composed of certified public accountants or CPAs, unless the firm is licensed under RCW 18.04.195, holds a valid license to practice under RCW 18.04.215, and all offices of the firm in this state for the practice of public accounting are maintained and registered under RCW 18.04.205.
(4) No person, partnership, or corporation may hold himself, herself, or itself out to the public, or assume or use along, or in connection with his, hers, or its name, or any other name the title or designation "certified accountant," "chartered accountant," "licensed accountant," "licensed public accountant," "public accountant," or any other title or designation likely to be confused with "certified public accountant" or any of the abbreviations "CA," "LA," "LPA," or "PA," or similar abbreviations likely to be confused with "CPA." However, nothing in this chapter prohibits use of the title "accountant" by any person regardless of whether the person has been granted a certificate or holds a license under this chapter.
(5) No person may sign, affix, or associate his or her name or any trade or assumed name used by the person in his or her business to any report designated as an "audit," "review," or "compilation," unless the person holds a ((biennial)) license to practice under RCW 18.04.215 and all of the person's offices in this state for the practice of public accounting are maintained and licensed under RCW 18.04.205.
(6) No person may sign, affix, or associate a firm name to any report designated as an "audit," "review," or "compilation," unless the firm is licensed under RCW 18.04.195 and 18.04.215, and all of its offices in this state for the practice of public accounting are maintained and registered under RCW 18.04.205.
(7) No person, partnership, or corporation not holding a license to practice under RCW 18.04.215 may hold himself, herself, or itself out to the public as an "auditor" with or without any other description or designation by use of such word on any sign, card, letterhead, or in any advertisement or directory.
(8) No person may assume or use the designation "certified public accountant" or "CPA" in conjunction with names indicating or implying that there is a partnership or corporation, if there is in fact no bona fide partnership or corporation registered under RCW 18.04.195.
(9) No person, partnership, or corporation holding a license under RCW 18.04.215 may hold himself, herself, or itself out to the public in conjunction with the designation "and Associates" or "and Assoc." unless he or she has in fact a partner or employee who holds a license under RCW 18.04.215.", and the same are herewith transmitted.
TIMOTHY A. MARTIN, Co-Chief Clerk
DEAN R. FOSTER, Co-Chief Clerk
MOTION
On motion of Senator Prentice, the Senate concurred in the House amendment to Senate Bill No. 5628.
The President declared the question before the Senate to be the roll call on the final passage of Senate Bill No. 5628, as amended by the House.
ROLL CALL
The Secretary called the roll on the final passage of Senate Bill No. 5628, as amended by the House, and the bill passed the Senate by the following vote: Yeas, 44; Nays, 0; Absent, 0; Excused, 5.
Voting yea: Senators Bauer, Benton, Costa, Deccio, Eide, Fairley, Finkbeiner, Franklin, Fraser, Gardner, Goings, Hale, Hargrove, Haugen, Heavey, Honeyford, Horn, Jacobsen, Johnson, Kline, Kohl-Welles, Long, McAuliffe, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sellar, Sheahan, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Stevens, Thibaudeau, West, Winsley, Wojahn and Zarelli - 44.
Excused: Senators Brown, Hochstatter, Loveland, McDonald and Swecker - 5.
SENATE BILL NO. 5628, as amended by the House, 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.
MESSAGE FROM THE HOUSE
April 6, 1999
MR. PRESIDENT:
The House has passed SUBSTITUTE SENATE BILL NO. 5638 with the following amendment(s):
Strike everything after the enacting clause and insert the following:
"Sec. 1. RCW 77.15.030 and 1998 c 190 s 4 are each amended to read as follows:
Where it is unlawful to hunt, take, fish, ((or)) possess, or traffic in big game or protected or endangered fish or wildlife, then each individual animal unlawfully taken or possessed is a separate offense.
Sec. 2. RCW 77.15.400 and 1998 c 190 s 9 are each amended to read as follows:
(1) A person is guilty of unlawful hunting of ((game)) wild birds in the second degree if the person:
(a) Hunts for, takes, or possesses a ((game)) wild bird and the person does not have and possess all licenses, tags, stamps, and permits required under this title;
(b) Maliciously destroys, takes, or harms the eggs or nests of a game bird except when authorized by permit; ((or))
(c) Violates any rule of the commission or director regarding seasons, bag or possession limits but less than two times the bag or possession limit, closed areas ((including game reserves)), closed times, or other rule addressing the manner or method of hunting or possession of ((game)) wild birds; or
(d) Possesses a wild bird taken during a closed season for that wild bird or taken from a closed area for that wild bird.
(2) A person is guilty of unlawful hunting of ((game)) wild birds in the first degree if the person ((hunts game birds and the person)) takes or possesses two times or more than the possession or bag limit for ((such)) game birds allowed by rule of the commission or director.
(3)(a) Unlawful hunting of ((game)) wild birds in the second degree is a misdemeanor.
(b) Unlawful hunting of ((game)) wild birds in the first degree is a gross misdemeanor.
Sec. 3. RCW 77.15.410 and 1998 c 190 s 10 are each amended to read as follows:
(1) A person is guilty of unlawful hunting of big game in the second degree if the person:
(a) Hunts for, takes, or possesses big game and the person does not have and possess all licenses, tags, or permits required under this title; ((or))
(b) Violates any rule of the commission or director regarding seasons, bag or possession limits, closed areas including game reserves, closed times, or any other rule governing the hunting, taking, or possession of big game; or
(c) Possesses big game taken during a closed season for that big game or taken from a closed area for that big game.
(2) A person is guilty of unlawful hunting of big game in the first degree if the person was previously convicted of any crime under this title involving unlawful hunting, killing, possessing, or taking big game, and within five years of the date that the prior conviction was entered the person:
(a) Hunts for big game and((:
(a) The person)) does not have and possess all licenses, tags, or permits required under this title; ((or))
(b) ((The act was)) Acts in violation of any rule of the commission or director regarding seasons, bag or possession limits, closed areas including game reserves, or closed times; or
(c) Possesses big game taken during a closed season for that big game or taken from a closed area for that big game.
(3)(a) Unlawful hunting of big game in the second degree is a gross misdemeanor.
(b) Unlawful hunting of big game in the first degree is a class C felony. Upon conviction, the department shall revoke all licenses or tags involved in the crime and the department shall order the person's hunting privileges suspended for two years.
Sec. 4. RCW 77.15.430 and 1998 c 190 s 11 are each amended to read as follows:
(1) A person is guilty of unlawful hunting of ((game)) wild animals in the second degree if the person:
(a) Hunts for, takes, or possesses a ((game)) wild animal that is not classified as big game, and does not have and possess all licenses, tags, or permits required by this title; ((or))
(b) Violates any rule of the commission or director regarding seasons, bag or possession limits but less than two times the bag or possession limit, closed areas including game reserves, closed times, or other rule addressing the manner or method of hunting or possession of ((game)) wild animals not classified as big game; or
(c) Possesses a wild animal that is not classified as big game taken during a closed season for that wild animal or from a closed area for that wild animal.
(2)(((a))) A person is guilty of unlawful hunting of ((game)) wild animals in the first degree if the person ((hunts a game animal that is not classified as big game; and
(b) The person)) takes or possesses two times or more than the possession or bag limit for ((such game)) wild animals that are not classified as big game animals as allowed by rule of the commission or director.
(3)(a) Unlawful hunting of ((game)) wild animals in the second degree is a misdemeanor.
(b) Unlawful hunting of ((game)) wild animals in the first degree is a gross misdemeanor.
Sec. 5. RCW 77.15.170 and 1998 c 190 s 21 are each amended to read as follows:
(1) A person is guilty of waste of fish and wildlife in the second degree if:
(a) The person kills, takes, or possesses fish, shellfish, or wildlife and the value of the fish, shellfish, or wildlife is greater than twenty dollars but less than two hundred fifty dollars; and
(b) The person recklessly allows such fish, shellfish, or wildlife to be wasted.
(2) A person is guilty of waste of fish and wildlife in the first degree if:
(a) The person kills, takes, or possesses ((food)) fish, shellfish, ((game fish, game birds,)) or ((game animals)) wildlife having a value of two hundred fifty dollars or more or wildlife classified as big game; and
(b) The person recklessly allows such fish, shellfish, or wildlife to be wasted.
(3)(a) Waste of fish and wildlife in the second degree is a misdemeanor.
(b) Waste of fish and wildlife in the first degree is a gross misdemeanor. Upon conviction, the department shall revoke any license or tag used in the crime and shall order suspension of the person's privileges to engage in the activity in which the person committed waste of fish and wildlife in the first degree for a period of one year.
(4) It is prima facie evidence of waste if a processor purchases or engages a quantity of food fish, shellfish, or game fish that cannot be processed within sixty hours after the food fish, game fish, or shellfish are taken from the water, unless the food fish, game fish, or shellfish are preserved in good marketable condition.
Sec. 6. RCW 77.15.230 and 1998 c 190 s 26 are each amended to read as follows:
(1) A person is guilty of unlawful use of department lands or facilities if the person enters upon, uses, or remains upon department-owned or department-controlled lands or facilities in violation of any rule of the department.
(2) Unlawful use of department lands or facilities is a misdemeanor.
Sec. 7. RCW 77.15.460 and 1998 c 190 s 28 are each amended to read as follows:
(1) A person is guilty of unlawful possession of a loaded firearm in a motor vehicle if:
(a) The person carries, transports, conveys, possesses, or controls a rifle or shotgun in or on a motor vehicle; and
(b) The rifle or shotgun contains shells or cartridges in the magazine or chamber, or is a muzzle-loading firearm that is loaded and capped or primed.
(2) A person is guilty of unlawful use of a loaded firearm if the person negligently shoots a firearm from, across, or along the maintained portion of a public highway.
(3) Unlawful possession of a loaded firearm in a motor vehicle or unlawful use of a loaded firearm is a misdemeanor.
(4) This section does not apply if the person:
(a) Is a law enforcement officer who is authorized to carry a firearm and is on duty within the officer's respective jurisdiction;
(b) Possesses a disabled hunter's permit as provided by RCW 77.32.237 and complies with all rules of the department concerning hunting by persons with disabilities.
(5) For purposes of this section, a firearm shall not be considered loaded if the detachable clip or magazine is not inserted in or attached to the firearm.
Sec. 8. RCW 77.15.600 and 1998 c 190 s 32 are each amended to read as follows:
(1) A person is guilty of engaging in commercial wildlife activity without a license if the person:
(a) Deals in raw furs for commercial purposes and does not hold a fur dealer license required by chapter 77.32 RCW; or
(b) Practices taxidermy for ((profit)) commercial purposes and does not hold a taxidermy license required by chapter 77.32 RCW((; or
(c) Operates a game farm without a license required by chapter 77.32 RCW)).
(2) Engaging in commercial wildlife activities without a license is a gross misdemeanor.
Sec. 9. RCW 77.15.190 and 1998 c 190 s 34 are each amended to read as follows:
(1) A person is guilty of unlawful trapping if the person:
(a) Sets out traps that are capable of taking wild animals, game animals, or furbearing mammals and does not possess all licenses, tags, or permits required under this title; ((or))
(b) Violates any rule of the commission or director regarding seasons, bag or possession limits, closed areas including game reserves, closed times, or any other rule governing the trapping of wild animals; or
(c) Fails to identify the owner of the traps or devices by neither (i) attaching a metal tag with the owner's department-assigned identification number or the name and address of the trapper legibly written in numbers or letters not less than one-eighth inch in height nor (ii) inscribing into the metal of the trap such number or name and address.
(2) Unlawful trapping is a misdemeanor.
Sec. 10. RCW 77.15.550 and 1998 c 190 s 40 are each amended to read as follows:
(1) A person is guilty of violating commercial fishing area or time in the second degree if the person acts for commercial purposes and takes, fishes for, possesses, delivers, or receives food fish or shellfish:
(a) At a time not authorized by statute or rule; ((or))
(b) From an area that was closed to the taking of such food fish or shellfish for commercial purposes by statute or rule; or
(c) If such fish or shellfish do not conform to the special restrictions or physical descriptions established by rule of the department.
(2) A person is guilty of violating commercial fishing area or time in the first degree if the person commits the act described by subsection (1) of this section and:
(a) The person acted with knowledge that the area or time was not open to the taking or fishing of food fish or shellfish for commercial purposes; and
(b) The violation involved two hundred fifty dollars or more worth of food fish or shellfish.
(3)(a) Violating commercial fishing area or time in the second degree is a gross misdemeanor.
(b) Violating commercial fishing area or time in the first degree is a class C felony.
Sec. 11. RCW 77.15.670 and 1998 c 190 s 60 are each amended to read as follows:
(1) A person is guilty of ((unlawful hunting or fishing when)) violating a suspension of department privileges ((are revoked or suspended)) in the second degree if the person ((hunts or fishes and the person's privilege to engage in such hunting or fishing)) engages in any activity that is licensed by the department and the person's privileges to engage in that activity were revoked or suspended by any court or the department.
\ (2) A person is guilty of ((unlawful hunting or fishing when)) violating a suspension of department privileges ((are revoked or suspended)) in the first degree if the person commits the act described by subsection (1) of this section and:
(a) The suspension of privileges that was violated was a permanent suspension;
(b) The person takes or possesses more than two hundred fifty dollars' worth of unlawfully taken food fish, wildlife, game fish, seaweed, or shellfish; or
(c) The violation involves the hunting, taking, or possession of fish or wildlife classified as endangered or threatened or big game.
(3)(a) ((Unlawful hunting or fishing when)) Violating a suspension of department privileges ((are revoked or suspended)) in the second degree is a gross misdemeanor. Upon conviction, the department shall order permanent suspension of the person's privileges to engage in such hunting or fishing activities.
(b) ((Unlawful hunting or fishing when)) Violating a suspension of department privileges ((are revoked or suspended)) in the first degree is a class C felony. Upon conviction, the department shall order permanent suspension of all privileges to hunt, fish, trap, or take wildlife, food fish, or shellfish.
(4) As used in this section, hunting includes trapping with a trapping license.
Sec. 12. RCW 77.16.070 and 1980 c 78 s 75 are each amended to read as follows:
((It is unlawful to hunt)) (1) A person is guilty of hunting while under the influence of intoxicating liquor or drugs if the person hunts wild animals or wild birds while under the influence of intoxicating liquor or drugs.
(2) Hunting while under the influence of intoxicating liquor or drugs is a gross misdemeanor.
NEW SECTION. Sec. 13. The following acts or parts of acts are each repealed:
(1) RCW 77.15.200 (Furbearing animal traps--Failure to identify--Penalty) and 1998 c 190 s 23; and
(2) RCW 77.32.094 (Validity of licenses issued by department of fisheries and department of wildlife) and 1994 c 255 s 14."
Correct the title., and the same are herewith transmitted.
DEAN R. FOSTER, Co-Chief Clerk
TIMOTHY A. MARTIN, Co-Chief Clerk
MOTION
On motion of Senator Jacobsen, the Senate concurred in the House amendment to Substitute Senate Bill No. 5638.
The President declared the question before the Senate to be the roll call on the final passage of Substitute Senate Bill No. 5638, as amended by the House.
ROLL CALL
The Secretary called the roll on the final passage of Substitute Senate Bill No. 5638, as amended by the House, and the bill passed the Senate by the following vote: Yeas, 43; Nays, 0; Absent, 1; Excused, 5.
Voting yea: Senators Benton, Costa, Deccio, Eide, Fairley, Finkbeiner, Franklin, Fraser, Gardner, Goings, Hale, Hargrove, Haugen, Heavey, Honeyford, Horn, Jacobsen, Johnson, Kline, Kohl-Welles, Long, McAuliffe, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sellar, Sheahan, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Stevens, Thibaudeau, West, Winsley, Wojahn and Zarelli - 43.
Absent: Senator Bauer - 1.
Excused: Senators Brown, Hochstatter, Loveland, McDonald and Swecker - 5.
SUBSTITUTE SENATE BILL NO. 5638, as amended by the House, 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 Franklin, Senator McAuliffe was excused.
MESSAGE FROM THE HOUSE
April 7, 1999
MR. PRESIDENT:
The House has passed SENATE BILL NO. 5643 with the following amendment(s):
Strike everything after the enacting clause and insert the following:
"NEW SECTION. Sec. 1. The secretary of state shall, whenever at least one state-wide measure or office is scheduled to appear on the general election ballot, print and distribute a voters' pamphlet.
The secretary of state shall distribute the voters' pamphlet to each household in the state, to public libraries, and to any other locations he or she deems appropriate. The secretary of state shall also produce taped or Braille transcripts of the voters' pamphlet, publicize their availability, and mail without charge a copy to any person who requests one.
The secretary of state may make the material required to be distributed by this chapter available to the public in electronic form. The secretary of state may provide the material in electronic form to computer bulletin boards, print and broadcast news media, community computer networks, and similar services at the cost of reproduction or transmission of the data.
NEW SECTION. Sec. 2. The voters' pamphlet must contain:
(1) Information about each ballot measure initiated by or referred to the voters for their approval or rejection as required by section 5 of this act;
(2) In even-numbered years, statements, if submitted, advocating the candidacies of nominees for the office of president and vice-president of the United States, United States senator, United States representative, governor, lieutenant governor, secretary of state, state treasurer, state auditor, attorney general, commissioner of public lands, superintendent of public instruction, insurance commissioner, state senator, state representative, justice of the supreme court, judge of the court of appeals, or judge of the superior court. Candidates may also submit a campaign mailing address and telephone number and a photograph not more than five years old and of a size and quality that the secretary of state determines to be suitable for reproduction in the voters' pamphlet;
(3) In odd-numbered years, if any office voted upon state-wide appears on the ballot due to a vacancy, then statements and photographs for candidates for any vacant office listed in subsection (2) of this section must appear;
(4) In even-numbered years, a section explaining how voters may participate in the election campaign process; the address and telephone number of the public disclosure commission established under RCW 42.17.350; and a summary of the disclosure requirements that apply when contributions are made to candidates and political committees;
(5) In even-numbered years the name, address, and telephone number of each political party with nominees listed in the pamphlet, if filed with the secretary of state by the state committee of a major political party or the presiding officer of the convention of a minor political party;
(6) In each odd-numbered year immediately before a year in which a president of the United States is to be nominated and elected, information explaining the precinct caucus and convention process used by each major political party to elect delegates to its national presidential candidate nominating convention. The pamphlet must also provide a description of the statutory procedures by which minor political parties are formed and the statutory methods used by the parties to nominate candidates for president;
(7) In even-numbered years, a description of the office of precinct committee officer and its duties;
(8) An application form for an absentee ballot;
(9) A brief statement explaining the deletion and addition of language for proposed measures under section 6 of this act;
(10) Any additional information pertaining to elections as may be required by law or in the judgment of the secretary of state is deemed informative to the voters.
NEW SECTION. Sec. 3. (1) Explanatory statements prepared by the attorney general under section 5 (3) and (4) of this act must be written in clear and concise language, avoiding legal and technical terms when possible, and filed with the secretary of state.
(2) When the explanatory statement for a measure initiated by petition is filed with the secretary of state, the secretary of state shall immediately provide the text of the explanatory statement to the person proposing the measure and any others who have made written request for notification of the exact language of the explanatory statement. When the explanatory statement for a measure referred to the ballot by the legislature is filed with the secretary of state, the secretary of state shall immediately provide the text of the explanatory statement to the presiding officer of the senate and the presiding officer of the house of representatives and any others who have made written request for notification of the exact language of the explanatory statement.
(3) A person dissatisfied with the explanatory statement may appeal to the superior court of Thurston County within five days of the filing date. A copy of the petition and a notice of the appeal must be served on the secretary of state and the attorney general. The court shall examine the measure, the explanatory statement, and objections, and may hear arguments. The court shall render its decision and certify to and file with the secretary of state an explanatory statement it determines will meet the requirements of this chapter.
The decision of the superior court is final, and its explanatory statement is the established explanatory statement. The appeal must be heard without costs to either party.
NEW SECTION. Sec. 4. Committees shall write and submit arguments advocating the approval or rejection of each state-wide ballot issue and rebuttals of those arguments. The secretary of state, the presiding officer of the senate, and the presiding officer of the house of representatives shall appoint the initial two members of each committee. In making these committee appointments the secretary of state and presiding officers of the senate and house of representatives shall consider legislators, sponsors of initiatives and referendums, and other interested groups known to advocate or oppose the ballot measure.
The initial two members may select up to four additional members, and the committee shall elect a chairperson. The remaining committee member or members may fill vacancies through appointment.
After the committee submits its initial argument statements to the secretary of state, the secretary of state shall transmit the statements to the opposite committee. The opposite committee may then prepare rebuttal arguments. Rebuttals may not interject new points.
The voters' pamphlet may contain only argument statements prepared according to this section. Arguments may contain graphs and charts supported by factual statistical data and pictures or other illustrations. Cartoons or caricatures are not permitted.
NEW SECTION. Sec. 5. The secretary of state shall determine the format and layout of the voters' pamphlet. The secretary of state shall print the pamphlet in clear, readable type on a size, quality, and weight of paper that in the judgment of the secretary of state best serves the voters. The pamphlet must contain a table of contents. Federal and state offices must appear in the pamphlet in the same sequence as they appear on the ballot. Measures and arguments must be printed in the order specified by RCW 29.79.300.
The voters' pamphlet must provide the following information for each state-wide issue on the ballot:
(1) The legal identification of the measure by serial designation or number;
(2) The official ballot title of the measure;
(3) A statement prepared by the attorney general explaining the law as it presently exists;
(4) A statement prepared by the attorney general explaining the effect of the proposed measure if it becomes law;
(5) The total number of votes cast for and against the measure in the senate and house of representatives, if the measure has been passed by the legislature;
(6) An argument advocating the voters' approval of the measure together with any statement in rebuttal of the opposing argument;
(7) An argument advocating the voters' rejection of the measure together with any statement in rebuttal of the opposing argument;
(8) Each argument or rebuttal statement must be followed by the names of the committee members who submitted them, and may be followed by a telephone number that citizens may call to obtain information on the ballot measure;
(9) The full text of each measure.
NEW SECTION. Sec. 6. State-wide ballot measures that amend existing law must be printed in the voters' pamphlet so that language proposed for deletion is enclosed by double parentheses and has a line through it. Proposed new language must be underlined. A statement explaining the deletion and addition of language must appear as follows: "Any language in double parentheses with a line through it is existing state law and will be taken out of the law if this measure is approved by voters. Any underlined language does not appear in current state law but will be added to the law if this measure is approved by voters."
NEW SECTION. Sec. 7. The secretary of state shall adopt rules setting deadlines for submitting candidate statements, candidate photographs, arguments, rebuttals, and explanatory statements. The secretary of state shall also adopt rules setting deadlines for filing ballot titles for referendum bills or constitutional amendments if none have been provided by the legislature.
NEW SECTION. Sec. 8. (1) If in the opinion of the secretary of state any argument or statement offered for inclusion in the voters' pamphlet in support of or opposition to a measure or candidate contains obscene matter or matter that is otherwise prohibited by law from distribution through the mail, the secretary may petition the superior court of Thurston County for a judicial determination that the argument or statement may be rejected for publication or edited to delete the matter. The court shall not enter such an order unless it concludes that the matter is obscene or otherwise prohibited for distribution through the mail.
(2)(a) A person who believes that he or she may be defamed by an argument or statement offered for inclusion in the voters' pamphlet in support of or opposition to a measure or candidate may petition the superior court of Thurston County for a judicial determination that the argument or statement may be rejected for publication or edited to delete the defamatory statement.
(b) The court shall not enter such an order unless it concludes that the statement is untrue and that the petitioner has a very substantial likelihood of prevailing in a defamation action.
(c) An action under this subsection (2) must be filed and served no later than the tenth day after the deadline for the submission of the argument or statement to the secretary of state.
(d) If the secretary of state notifies a person named or identified in an argument or statement of the contents of the argument or statement within three days after the deadline for submission to the secretary, then neither the state nor the secretary is liable for damages resulting from publication of the argument or statement unless the secretary publishes the argument or statement in violation of an order entered under this section. Nothing in this section creates a duty on the part of the secretary of state to identify, locate, or notify the person.
(3) Parties to a dispute under this section may agree to resolve the dispute by rephrasing the argument or statement, even if the deadline for submission to the secretary has elapsed, unless the secretary determines that the process of publication is too far advanced to permit the change. The secretary shall promptly provide any such revision to any committee entitled to submit a rebuttal argument. If that committee has not yet submitted its rebuttal, its deadline to submit a rebuttal is extended by five days. If it has submitted a rebuttal, it may revise it to address the change within five days of the filing of the revised argument with the secretary.
(4) In an action under this section the committee or candidate must be named as a defendant, and may be served with process by certified mail directed to the address contained in the secretary's records for that party. The secretary of state shall be a nominal party to an action brought under subsection (2) of this section, solely for the purpose of determining the content of the voters' pamphlet. The superior court shall give such an action priority on its calendar.
NEW SECTION. Sec. 9. (1) An argument or statement submitted to the secretary of state for publication in the voters' pamphlet is not available for public inspection or copying until:
(a) In the case of candidate statements, (i) all statements by all candidates who have filed for a particular office have been received, except those who informed the secretary that they will not submit statements, or (ii) the deadline for submission of statements has elapsed;
(b) In the case of arguments supporting or opposing a measure, (i) the arguments on both sides have been received, unless a committee was not appointed for one side, or (ii) the deadline for submission of arguments has elapsed; and
(c) In the case of rebuttal arguments, (i) the rebuttals on both sides have been received, unless a committee was not appointed for one side, or (ii) the deadline for submission of arguments has elapsed.
(2) Nothing in this section prohibits the secretary from releasing information under section 8(2)(d) of this act.
NEW SECTION. Sec. 10. All photographs of candidates submitted for publication must conform to standards established by the secretary of state by rule. No photograph may reveal clothing or insignia suggesting the holding of a public office.
NEW SECTION. Sec. 11. (1) The maximum number of words for statements submitted by candidates is as follows: State representative, one hundred words; state senator, judge of the superior court, judge of the court of appeals, justice of the supreme court, and all state offices voted upon throughout the state, except that of governor, two hundred words; president and vice-president, United States senator, United States representative, and governor, three hundred words.
(2) Arguments written by committees under section 3 of this act may not exceed two hundred fifty words in length.
(3) Rebuttal arguments written by committees may not exceed seventy-five words in length.
(4) The secretary of state shall allocate space in the pamphlet based on the number of candidates or nominees for each office.
NEW SECTION. Sec. 12. The secretary of state, as chief election officer, shall adopt rules consistent with this chapter to facilitate and clarify procedures related to the voters' pamphlet.
NEW SECTION. Sec. 13. The following acts or parts of acts are each repealed:
(1) RCW 29.80.010 and 1987 c 295 s 17, 1984 c 54 s 1, 1977 ex.s. c 361 s 106, 1975-'76 2nd ex.s. c 4 s 2, 1973 c 4 s 8, & 1965 c 9 s 29.80.010;
(2) RCW 29.80.020 and 1984 c 54 s 2, 1971 ex.s. c 145 s 1, 1971 c 81 s 78, & 1965 c 9 s 29.80.020;
(3) RCW 29.80.030 and 1979 ex.s. c 57 s 4 & 1965 c 9 s 29.80.030;
(4) RCW 29.80.040 and 1984 c 54 s 3, 1971 ex.s. c 145 s 2, & 1965 c 9 s 29.80.040;
(5) RCW 29.80.050 and 1971 ex.s. c 145 s 3 & 1965 c 9 s 29.80.050;
(6) RCW 29.80.060 and 1965 c 9 s 29.80.060;
(7) RCW 29.80.070 and 1965 c 9 s 29.80.070;
(8) RCW 29.80.080 and 1981 c 243 s 1;
(9) RCW 29.80.090 and 1984 c 54 s 7;
(10) RCW 29.81.010 and 1984 c 54 s 4, 1973 1st ex.s. c 143 s 1, & 1965 c 9 s 29.81.010;
(11) RCW 29.81.011 and 1984 c 54 s 5;
(12) RCW 29.81.012 and 1984 c 54 s 6 & 1969 ex.s. c 72 s 1;
(13) RCW 29.81.014 and 1977 c 56 s 1;
(14) RCW 29.81.020 and 1973 1st ex.s. c 143 s 2 & 1965 c 9 s 29.81.020;
(15) RCW 29.81.030 and 1973 1st ex.s. c 143 s 3 & 1965 c 9 s 29.81.030;
(16) RCW 29.81.040 and 1973 1st ex.s. c 143 s 4, 1971 ex.s. c 145 s 4, & 1965 c 9 s 29.81.040;
(17) RCW 29.81.042 and 1973 1st ex.s. c 143 s 6;
(18) RCW 29.81.043 and 1973 1st ex.s. c 143 s 7;
(19) RCW 29.81.050 and 1973 1st ex.s. c 143 s 5 & 1965 c 9 s 29.81.050;
(20) RCW 29.81.052 and 1973 1st ex.s. c 143 s 8;
(21) RCW 29.81.053 and 1973 1st ex.s. c 143 s 9;
(22) RCW 29.81.060 and 1965 c 9 s 29.81.060;
(23) RCW 29.81.070 and 1965 c 9 s 29.81.070;
(24) RCW 29.81.080 and 1965 c 9 s 29.81.080;
(25) RCW 29.81.090 and 1979 ex.s. c 57 s 5 & 1965 c 9 s 29.81.090;
(26) RCW 29.81.100 and 1973 c 4 s 9, 1971 ex.s. c 145 s 5, & 1965 c 9 s 29.81.100;
(27) RCW 29.81.110 and 1965 c 9 s 29.81.110;
(28) RCW 29.81.120 and 1971 ex.s. c 145 s 6 & 1965 c 9 s 29.81.120;
(29) RCW 29.81.130 and 1965 c 9 s 29.81.130;
(30) RCW 29.81.140 and 1971 ex.s. c 145 s 7 & 1965 c 9 s 29.81.140;
(31) RCW 29.81.150 and 1965 c 9 s 29.81.150;
(32) RCW 29.81.160 and 1965 c 9 s 29.81.160; and
(33) RCW 29.81.180 and 1981 c 243 s 2.
NEW SECTION. Sec. 14. Sections 1 through 12 of this act are added to chapter 29.81 RCW."
Correct the title., and the same are herewith transmitted.
DEAN R. FOSTER, Co-Chief Clerk
TIMOTHY A. MARTIN, Co-Chief Clerk
MOTION
Senator Patterson moved that the Senate concur in the House amendment to Senate Bill No. 5643.
Debate ensued.
The President declared the question before the Senate to be the motion by Senator Patterson that the Senate concur in the House amendment to Senate Bill No. 5643.
The motion by Senator Patterson carried and the Senate concurred in the House amendment to Senate Bill No. 5643.
The President declared the question before the Senate to be the roll call on the final passage of Senate Bill No. 5643, as amended by the House.
ROLL CALL
The Secretary called the roll on the final passage of Senate Bill No. 5643, as amended by the House, and the bill passed the Senate by the following vote: Yeas, 41; Nays, 0; Absent, 2; Excused, 6.
Voting yea: Senators Benton, Costa, Deccio, Eide, Fairley, Finkbeiner, Franklin, Fraser, Gardner, Goings, Hale, Hargrove, Haugen, Heavey, Honeyford, Horn, Jacobsen, Johnson, Kline, Kohl-Welles, Long, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sellar, Sheahan, Sheldon, B., Sheldon, T., Shin, Spanel, Stevens, Thibaudeau, West, Winsley, Wojahn and Zarelli - 41.
Absent: Senators Bauer and Snyder - 2.
Excused: Senators Brown, Hochstatter, Loveland, McAuliffe, McDonald and Swecker - 6. SENATE BILL NO. 5643, as amended by the House, 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 Goings, Senator Bauer was excused.
MESSAGE FROM THE HOUSE
April 13, 1999
MR. PRESIDENT:
The House has passed ENGROSSED SENATE BILL NO. 5649 with the following amendment(s)
Strike everything after the enacting clause and insert the following:
"Sec. 1. RCW 18.11.070 and 1989 c 307 s 43 are each amended to read as follows:
(1) It is unlawful for any person to act as an auctioneer or for an auction company to engage in any business in this state without a license.
(2) This chapter does not apply to:
(a) An auction of goods conducted by an individual who personally owns those goods and who did not acquire those goods for resale;
(b) An auction conducted by or under the direction of a public authority;
(c) An auction held under judicial order in the settlement of a decedent's estate;
(d) An auction which is required by law to be at auction;
(e) An auction conducted by or on behalf of a political organization or a charitable corporation or association if the person conducting the sale receives no compensation;
(f) An auction of livestock or agricultural products which is conducted under chapter 16.65 or 20.01 RCW. Auctions not regulated under chapter 16.65 or 20.01 RCW shall be fully subject to the provisions of this chapter;
(g) An auction held under chapter 19.150 RCW; ((or))
(h) An auction of an abandoned vehicle under chapter 46.55 RCW; or
(i) An auction of fur pelts conducted by any cooperative association organized under chapter 23.86 RCW or its wholly owned subsidiary. In order to qualify for this exemption, the fur pelts must be from members of the association. However, the association, without loss of the exemption, may auction pelts that it purchased from nonmembers for the purpose of completing lots or orders, so long as the purchased pelts do not exceed fifteen percent of the total pelts auctioned.
Sec. 2. RCW 46.55.010 and 1998 c 203 s 8 are each amended to read as follows:
The definitions set forth in this section apply throughout this chapter:
(1) "Abandoned vehicle" means a vehicle that a registered tow truck operator has impounded and held in the operator's possession for one hundred twenty consecutive hours.
(2) "Abandoned vehicle report" means the document prescribed by the state that the towing operator forwards to the department after a vehicle has become abandoned.
(3) "Impound" means to take and hold a vehicle in legal custody. There are two types of impounds--public and private.
(a) "Public impound" means that the vehicle has been impounded at the direction of a law enforcement officer or by a public official having jurisdiction over the public property upon which the vehicle was located.
(b) "Private impound" means that the vehicle has been impounded at the direction of a person having control or possession of the private property upon which the vehicle was located.
(4) "Junk vehicle" means a vehicle certified under RCW 46.55.230 as meeting at least three of the following requirements:
(a) Is three years old or older;
(b) Is extensively damaged, such damage including but not limited to any of the following: A broken window or windshield, or missing wheels, tires, motor, or transmission;
(c) Is apparently inoperable;
(d) Has an approximate fair market value equal only to the approximate value of the scrap in it.
(5) "Master log" means the document or an electronic facsimile prescribed by the department and the Washington state patrol in which an operator records transactions involving impounded vehicles.
(6) "Registered tow truck operator" or "operator" means any person who engages in the impounding, transporting, or storage of unauthorized vehicles or the disposal of abandoned vehicles.
(7) "Residential property" means property that has no more than four living units located on it.
(8) "Suspended license impound" means an impound ordered under RCW 46.55.113 because the operator was arrested for a violation of RCW 46.20.342 or 46.20.420.
(9) "Tow truck" means a motor vehicle that is equipped for and used in the business of towing vehicles with equipment as approved by the state patrol.
(((9))) (10) "Tow truck number" means the number issued by the department to tow trucks used by a registered tow truck operator in the state of Washington.
(((10))) (11) "Tow truck permit" means the permit issued annually by the department that has the classification of service the tow truck may provide stamped upon it.
(((11))) (12) "Tow truck service" means the transporting upon the public streets and highways of this state of vehicles, together with personal effects and cargo, by a tow truck of a registered operator.
(((12))) (13) "Unauthorized vehicle" means a vehicle that is subject to impoundment after being left unattended in one of the following public or private locations for the indicated period of time:
Subject to removal after:
(a) Public locations:
(i) Constituting an accident or a traffic hazard as defined in RCW 46.55.113. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Immediately
(ii) On a highway and tagged as described in RCW 46.55.085. . 24 hours
(iii) In a publicly owned or controlled parking facility, properly posted under RCW
46.55.070. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Immediately
(b) Private locations:
(i) On residential property. . . . . . . . . . . . . . . . . . . . . . . . . . . .Immediately
(ii) On private, nonresidential property, properly posted under RCW 46.55.070. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Immediately
(iii) On private, nonresidential property,
not posted. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .24 hours NEW SECTION. Sec. 3. A new section is added to chapter 46.55 RCW to read as follows:
The Washington state patrol shall provide by rule for a uniform impound authorization and inventory form. All law enforcement agencies must use this form for all vehicle impounds after June 30, 2001.
Sec. 4. RCW 46.55.080 and 1989 c 111 s 8 are each amended to read as follows:
(1) If a vehicle is in violation of the time restrictions of RCW 46.55.010(((12))) (13), it may be impounded by a registered tow truck operator at the direction of a law enforcement officer or other public official with jurisdiction if the vehicle is on public property, or at the direction of the property owner or an agent if it is on private property. A law enforcement officer may also direct the impoundment of a vehicle pursuant to a writ or court order.
(2) The person requesting a private impound or a law enforcement officer or public official requesting a public impound shall provide a signed authorization for the impound at the time and place of the impound to the registered tow truck operator before the operator may proceed with the impound. A registered tow truck operator, employee, or his or her agent may not serve as an agent of a property owner for the purposes of signing an impound authorization or, independent of the property owner, identify a vehicle for impound.
(3) In the case of a private impound, the impound authorization shall include the following statement: "A person authorizing this impound, if the impound is found in violation of chapter 46.55 RCW, may be held liable for the costs incurred by the vehicle owner."
(4) A registered tow truck operator shall record and keep in the operator's files the date and time that a vehicle is put in the operator's custody and released. The operator shall make an entry into a master log regarding transactions relating to impounded vehicles. The operator shall make this master log available, upon request, to representatives of the department or the state patrol.
(5) A person who engages in or offers to engage in the activities of a registered tow truck operator may not be associated in any way with a person or business whose main activity is authorizing the impounding of vehicles.
Sec. 5. RCW 46.55.100 and 1998 c 203 s 9 are each amended to read as follows:
(1) At the time of impoundment the registered tow truck operator providing the towing service shall give immediate notification, by telephone or radio, to a law enforcement agency having jurisdiction who shall maintain a log of such reports. A law enforcement agency, or a private communication center acting on behalf of a law enforcement agency, shall within six to twelve hours of the impoundment, provide to a requesting operator the name and address of the legal and registered owners of the vehicle, and the registered owner of any personal property registered or titled with the department that is attached to or contained in or on the impounded vehicle, the vehicle identification number, and any other necessary, pertinent information. The initial notice of impoundment shall be followed by a written or electronic facsimile notice within twenty-four hours. In the case of a vehicle from another state, time requirements of this subsection do not apply until the requesting law enforcement agency in this state receives the information.
(2) The operator shall immediately send an abandoned vehicle report to the department for any vehicle, and for any items of personal property registered or titled with the department, that are in the operator's possession after the one hundred twenty hour abandonment period. Such report need not be sent when the impoundment is pursuant to a writ, court order, or police hold that is not a suspended license impound. The owner notification and abandonment process shall be initiated by the registered tow truck operator immediately following notification by a court or law enforcement officer that the writ, court order, or police hold that is not a suspended license impound is no longer in effect.
(3) Following the submittal of an abandoned vehicle report, the department shall provide the registered tow truck operator with owner information within seventy-two hours.
(4) Within fourteen days of the sale of an abandoned vehicle at public auction, the towing operator shall send a copy of the abandoned vehicle report showing the disposition of the abandoned vehicle and any other items of personal property registered or titled with the department to the crime information center of the Washington state patrol.
(5) If the operator sends an abandoned vehicle report to the department and the department finds no owner information, an operator may proceed with an inspection of the vehicle and any other items of personal property registered or titled with the department to determine whether owner identification is within the vehicle.
(6) If the operator finds no owner identification, the operator shall immediately notify the appropriate law enforcement agency, which shall search the vehicle and any other items of personal property registered or titled with the department for the vehicle identification number or other appropriate identification numbers and check the necessary records to determine the vehicle's or other property's owners.
Sec. 6. RCW 46.55.110 and 1998 c 203 s 3 are each amended to read as follows:
(1) When an unauthorized vehicle is impounded, the impounding towing operator shall notify the legal and registered owners of the impoundment of the unauthorized vehicle and the owners of any other items of personal property registered or titled with the department. The notification shall be sent by first-class mail within twenty-four hours after the impoundment to the last known registered and legal owners of the vehicle, and the owners of any other items of personal property registered or titled with the department, as provided by the law enforcement agency, and shall inform the owners of the identity of the person or agency authorizing the impound. The notification shall include the name of the impounding tow firm, its address, and telephone number. The notice shall also include the location, time of the impound, and by whose authority the vehicle was impounded. The notice shall also include the written notice of the right of redemption and opportunity for a hearing to contest the validity of the impoundment pursuant to RCW 46.55.120.
(2) In addition, if a suspended license impound has been ordered, the notice must state the length of the impound, the requirement of the posting of a security deposit to ensure payment of the costs of removal, towing, and storage, notification that if the security deposit is not posted the vehicle will immediately be processed and sold at auction as an abandoned vehicle, and the requirements set out in RCW 46.55.120(1)(b) regarding the payment of the costs of removal, towing, and storage as well as providing proof of satisfaction of any penalties, fines, or forfeitures before redemption. The notice must also state that the registered owner is ineligible to purchase the vehicle at the abandoned vehicle auction, if held.
(3) In the case of an abandoned vehicle, or other item of personal property registered or titled with the department, within twenty-four hours after receiving information on the owners from the department through the abandoned vehicle report, the tow truck operator shall send by certified mail, with return receipt requested, a notice of custody and sale to the legal and registered owners.
(((3))) (4) If the date on which a notice required by subsection (((2))) (3) of this section is to be mailed falls upon a Saturday, Sunday, or a postal holiday, the notice may be mailed on the next day that is neither a Saturday, Sunday, nor a postal holiday.
(((4))) (5) No notices need be sent to the legal or registered owners of an impounded vehicle or other item of personal property registered or titled with the department, if the vehicle or personal property has been redeemed.
Sec. 7. RCW 46.55.120 and 1998 c 203 s 5 are each amended to read as follows:
(1) Vehicles or other items of personal property registered or titled with the department that are impounded by registered tow truck operators pursuant to RCW 46.55.080, 46.55.085, or 46.55.113 may be redeemed only under the following circumstances:
(a) Only the legal owner, the registered owner, a person authorized in writing by the registered owner or the vehicle's insurer, a person who is determined and verified by the operator to have the permission of the registered owner of the vehicle or other item of personal property registered or titled with the department, or one who has purchased a vehicle or item of personal property registered or titled with the department from the registered owner who produces proof of ownership or written authorization and signs a receipt therefor, may redeem an impounded vehicle or items of personal property registered or titled with the department. In addition, a vehicle impounded because the operator is in violation of RCW 46.20.342(1)(c) shall not be released until a person eligible to redeem it under this subsection (1)(a) satisfies the requirements of (((b))) (e) of this subsection, including paying all towing, removal, and storage fees, notwithstanding the fact that the hold was ordered by a government agency. If the department's records show that the operator has been convicted of a violation of RCW 46.20.342 or a similar local ordinance within the past five years, the vehicle may be held for up to thirty days at the written direction of the agency ordering the vehicle impounded. A vehicle impounded because the operator is arrested for a violation of RCW 46.20.342 may be released only pursuant to a written order from the agency that ordered the vehicle impounded or from the court having jurisdiction. An agency may issue a written order to release pursuant to a provision of an applicable state agency rule or local ordinance authorizing release on the basis of economic or personal hardship to the spouse of the operator, taking into consideration public safety factors, including the operator's criminal history and driving record.
If a vehicle is impounded because the operator is in violation of RCW 46.20.342(1) (a) or (b), the vehicle may be held for up to thirty days at the written direction of the agency ordering the vehicle impounded. However, if the department's records show that the operator has been convicted of a violation of RCW 46.20.342(1) (a) or (b) or a similar local ordinance within the past five years, the vehicle may be held at the written direction of the agency ordering the vehicle impounded for up to sixty days, and for up to ninety days if the operator has two or more such prior offenses. If a vehicle is impounded because the operator is arrested for a violation of RCW 46.20.342, the vehicle may not be released until a person eligible to redeem it under this subsection (1)(a) satisfies the requirements of (((b))) (e) of this subsection, including paying all towing, removal, and storage fees, notwithstanding the fact that the hold was ordered by a government agency.
(b) If the vehicle is directed to be held for a suspended license impound, a person who desires to redeem the vehicle at the end of the period of impound shall within five days of the impound at the request of the tow truck operator pay a security deposit to the tow truck operator of not more than one-half of the applicable impound storage rate for each day of the proposed suspended license impound. The tow truck operator shall credit this amount against the final bill for removal, towing, and storage upon redemption. The tow truck operator may accept other sufficient security in lieu of the security deposit. If the person desiring to redeem the vehicle does not pay the security deposit or provide other security acceptable to the tow truck operator, the tow truck operator may process and sell at auction the vehicle as an abandoned vehicle within the normal time limits set out in RCW 46.55.130(1). The security deposit required by this section may be paid and must be accepted at any time up to twenty-four hours before the beginning of the auction to sell the vehicle as abandoned. The registered owner is not eligible to purchase the vehicle at the auction, and the tow truck operator shall sell the vehicle to the highest bidder who is not the registered owner.
(c) Notwithstanding (b) of this subsection, a rental car business may immediately redeem a rental vehicle it owns by payment of the costs of removal, towing, and storage, whereupon the vehicle will not be held for a suspended license impound.
(d) Notwithstanding (b) of this subsection, a motor vehicle dealer or lender with a perfected security interest in the vehicle may redeem or lawfully repossess a vehicle immediately by payment of the costs of removal, towing, and storage, whereupon the vehicle will not be held for a suspended license impound. A motor vehicle dealer or lender with a perfected security interest in the vehicle may not knowingly and intentionally engage in collusion with a registered owner to repossess and then return or resell a vehicle to the registered owner in an attempt to avoid a suspended license impound. However, this provision does not preclude a vehicle dealer or a lender with a perfected security interest in the vehicle from repossessing the vehicle and then selling, leasing, or otherwise disposing of it in accordance with chapter 62A.9 RCW, including providing redemption rights to the debtor under RCW 62A.9-506. If the debtor is the registered owner of the vehicle, the debtor's right to redeem the vehicle under chapter 62A.9 RCW is conditioned upon the debtor obtaining and providing proof from the impounding authority or court having jurisdiction that any fines, penalties, and forfeitures owed by the registered owner, as a result of the suspended license impound, have been paid, and proof of the payment must be tendered to the vehicle dealer or lender at the time the debtor tenders all other obligations required to redeem the vehicle. Vehicle dealers or lenders are not liable for damages if they rely in good faith on an order from the impounding agency or a court in releasing a vehicle held under a suspended license impound.
(e) The vehicle or other item of personal property registered or titled with the department shall be released upon the presentation to any person having custody of the vehicle of commercially reasonable tender sufficient to cover the costs of towing, storage, or other services rendered during the course of towing, removing, impounding, or storing any such vehicle, with credit being given for the amount of any security deposit paid under (b) of this subsection. In addition, if a vehicle is impounded because the operator was arrested for a violation of RCW 46.20.342 or 46.20.420 and was being operated by the registered owner when it was impounded under local ordinance or agency rule, it must not be released to any person until the registered owner establishes with the agency that ordered the vehicle impounded or the court having jurisdiction that any penalties, fines, or forfeitures owed by him or her have been satisfied. Registered tow truck operators are not liable for damages if they rely in good faith on an order from the impounding agency or a court in releasing a vehicle held under a suspended license impound. Commercially reasonable tender shall include, without limitation, cash, major bank credit cards, or personal checks drawn on in-state banks if accompanied by two pieces of valid identification, one of which may be required by the operator to have a photograph. If the towing firm can determine through the customer's bank or a check verification service that the presented check would not be paid by the bank or guaranteed by the service, the towing firm may refuse to accept the check. Any person who stops payment on a personal check or credit card, or does not make restitution within ten days from the date a check becomes insufficient due to lack of funds, to a towing firm that has provided a service pursuant to this section or in any other manner defrauds the towing firm in connection with services rendered pursuant to this section shall be liable for damages in the amount of twice the towing and storage fees, plus costs and reasonable attorney's fees.
(2)(a) The registered tow truck operator shall give to each person who seeks to redeem an impounded vehicle, or item of personal property registered or titled with the department, written notice of the right of redemption and opportunity for a hearing, which notice shall be accompanied by a form to be used for requesting a hearing, the name of the person or agency authorizing the impound, and a copy of the towing and storage invoice. The registered tow truck operator shall maintain a record evidenced by the redeeming person's signature that such notification was provided.
(b) Any person seeking to redeem an impounded vehicle under this section has a right to a hearing in the district or municipal court for the jurisdiction in which the vehicle was impounded to contest the validity of the impoundment or the amount of towing and storage charges. The district court has jurisdiction to determine the issues involving all impoundments including those authorized by the state or its agents. The municipal court has jurisdiction to determine the issues involving impoundments authorized by agents of the municipality. Any request for a hearing shall be made in writing on the form provided for that purpose and must be received by the appropriate court within ten days of the date the opportunity was provided for in subsection (2)(a) of this section and more than five days before the date of the auction. At the time of the filing of the hearing request, the petitioner shall pay to the court clerk a filing fee in the same amount required for the filing of a suit in district court. If the hearing request is not received by the court within the ten-day period, the right to a hearing is waived and the registered owner is liable for any towing, storage, or other impoundment charges permitted under this chapter. Upon receipt of a timely hearing request, the court shall proceed to hear and determine the validity of the impoundment.
(3)(a) The court, within five days after the request for a hearing, shall notify the registered tow truck operator, the person requesting the hearing if not the owner, the registered and legal owners of the vehicle or other item of personal property registered or titled with the department, and the person or agency authorizing the impound in writing of the hearing date and time.
(b) At the hearing, the person or persons requesting the hearing may produce any relevant evidence to show that the impoundment, towing, or storage fees charged were not proper. The court may consider a written report made under oath by the officer who authorized the impoundment in lieu of the officer's personal appearance at the hearing.
(c) At the conclusion of the hearing, the court shall determine whether the impoundment was proper, whether the towing or storage fees charged were in compliance with the posted rates, and who is responsible for payment of the fees. The court may not adjust fees or charges that are in compliance with the posted or contracted rates.
(d) If the impoundment is found proper, the impoundment, towing, and storage fees as permitted under this chapter together with court costs shall be assessed against the person or persons requesting the hearing, unless the operator did not have a signed and valid impoundment authorization from a private property owner or an authorized agent.
(e) If the impoundment is determined to be in violation of this chapter, then the registered and legal owners of the vehicle or other item of personal property registered or titled with the department shall bear no impoundment, towing, or storage fees, and any security shall be returned or discharged as appropriate, and the person or agency who authorized the impoundment shall be liable for any towing, storage, or other impoundment fees permitted under this chapter. The court shall enter judgment in favor of the registered tow truck operator against the person or agency authorizing the impound for the impoundment, towing, and storage fees paid. In addition, the court shall enter judgment in favor of the registered and legal owners of the vehicle, or other item of personal property registered or titled with the department, for the amount of the filing fee required by law for the impound hearing petition as well as reasonable damages for loss of the use of the vehicle during the time the same was impounded, for not less than fifty dollars per day, against the person or agency authorizing the impound. However, if an impoundment arising from an alleged violation of RCW 46.20.342 or 46.20.420 is determined to be in violation of this chapter, then the law enforcement officer directing the impoundment and the government employing the officer are not liable for damages if the officer relied in good faith and without gross negligence on the records of the department in ascertaining that the operator of the vehicle had a suspended or revoked driver's license. If any judgment entered is not paid within fifteen days of notice in writing of its entry, the court shall award reasonable attorneys' fees and costs against the defendant in any action to enforce the judgment. Notice of entry of judgment may be made by registered or certified mail, and proof of mailing may be made by affidavit of the party mailing the notice. Notice of the entry of the judgment shall read essentially as follows:
TO: . . . . . .
YOU ARE HEREBY NOTIFIED JUDGMENT was entered against you in the . . . . . . Court located at . . . . . . in the sum of $. . . . . ., in an action entitled . . . . . ., Case No. . . . . YOU ARE FURTHER NOTIFIED that attorneys fees and costs will be awarded against you under RCW . . . if the judgment is not paid within 15 days of the date of this notice.
DATED this . . . . day of . . . . . ., (year) . . .
Signature .. . . . . . . . . . . . . . . . . . . . . . . . . . .
Typed name and address
of party mailing notice
(4) Any impounded abandoned vehicle or item of personal property registered or titled with the department that is not redeemed within fifteen days of mailing of the notice of custody and sale as required by RCW 46.55.110(((2))) (3) shall be sold at public auction in accordance with all the provisions and subject to all the conditions of RCW 46.55.130. A vehicle or item of personal property registered or titled with the department may be redeemed at any time before the start of the auction upon payment of the applicable towing and storage fees.
Sec. 8. RCW 46.55.130 and 1998 c 203 s 6 are each amended to read as follows:
(1) If, after the expiration of fifteen days from the date of mailing of notice of custody and sale required in RCW 46.55.110(((2))) (3) to the registered and legal owners, the vehicle remains unclaimed and has not been listed as a stolen vehicle, or for which a suspended license impound has been directed but no security paid under RCW 46.55.120, then the registered tow truck operator having custody of the vehicle shall conduct a sale of the vehicle at public auction after having first published a notice of the date, place, and time of the auction in a newspaper of general circulation in the county in which the vehicle is located not less than three days and no more than ten days before the date of the auction. The notice shall contain a description of the vehicle including the make, model, year, and license number and a notification that a three-hour public viewing period will be available before the auction. The auction shall be held during daylight hours of a normal business day or a Saturday.
(2) The following procedures are required in any public auction of such abandoned vehicles:
(a) The auction shall be held in such a manner that all persons present are given an equal time and opportunity to bid;
(b) All bidders must be present at the time of auction unless they have submitted to the registered tow truck operator, who may or may not choose to use the preauction bid method, a written bid on a specific vehicle. Written bids may be submitted up to five days before the auction and shall clearly state which vehicle is being bid upon, the amount of the bid, and who is submitting the bid;
(c) The open bid process, including all written bids, shall be used so that everyone knows the dollar value that must be exceeded;
(d) The highest two bids received shall be recorded in written form and shall include the name, address, and telephone number of each such bidder;
(e) In case the high bidder defaults, the next bidder has the right to purchase the vehicle for the amount of his or her bid;
(f) The successful bidder shall apply for title within fifteen days;
(g) The registered tow truck operator shall post a copy of the auction procedure at the bidding site. If the bidding site is different from the licensed office location, the operator shall post a clearly visible sign at the office location that describes in detail where the auction will be held. At the bidding site a copy of the newspaper advertisement that lists the vehicles for sale shall be posted;
(h) All surplus moneys derived from the auction after satisfaction of the registered tow truck operator's lien shall be remitted within thirty days to the ((department for deposit in the state motor vehicle fund. A report identifying the vehicles resulting in any surplus shall accompany the remitted funds. If the director subsequently receives a valid claim from the)) registered vehicle owner of record as determined by the department ((within one year from the date of the auction, the surplus moneys shall be remitted to such owner));
(i) If an operator receives no bid, or if the operator is the successful bidder at auction, the operator shall, within forty-five days sell the vehicle to a licensed vehicle wrecker, hulk hauler, or scrap processor by use of the abandoned vehicle report-affidavit of sale, or the operator shall apply for title to the vehicle.
(3) In no case may an operator hold a vehicle for longer than ninety days without holding an auction on the vehicle, except for vehicles that are under a police or judicial hold.
(4)(a) In no case may the accumulation of storage charges exceed fifteen days from the date of receipt of the information by the operator from the department as provided by RCW 46.55.110(((2))) (3).
(b) The failure of the registered tow truck operator to comply with the time limits provided in this chapter limits the accumulation of storage charges to five days except where delay is unavoidable. Providing incorrect or incomplete identifying information to the department in the abandoned vehicle report shall be considered a failure to comply with these time limits if correct information is available. However, storage charges begin to accrue again on the date the correct and complete information is provided to the department by the registered tow truck operator.
Sec. 9. RCW 46.61.625 and 1995 c 360 s 10 are each amended to read as follows:
(1) No person or persons shall occupy any trailer while it is being moved upon a public highway, except a person occupying a proper position for steering a trailer designed to be steered from a rear-end position.
(2) No person or persons may occupy a vehicle while it is being towed by a tow truck as defined in RCW 46.55.010(((8))).
Sec. 10. RCW 46.70.180 and 1997 c 153 s 1 are each amended to read as follows:
Each of the following acts or practices is unlawful:
(1) To cause or permit to be advertised, printed, displayed, published, distributed, broadcasted, televised, or disseminated in any manner whatsoever, any statement or representation with regard to the sale or financing of a vehicle which is false, deceptive, or misleading, including but not limited to the following:
(a) That no down payment is required in connection with the sale of a vehicle when a down payment is in fact required, or that a vehicle may be purchased for a smaller down payment than is actually required;
(b) That a certain percentage of the sale price of a vehicle may be financed when such financing is not offered in a single document evidencing the entire security transaction;
(c) That a certain percentage is the amount of the service charge to be charged for financing, without stating whether this percentage charge is a monthly amount or an amount to be charged per year;
(d) That a new vehicle will be sold for a certain amount above or below cost without computing cost as the exact amount of the factory invoice on the specific vehicle to be sold;
(e) That a vehicle will be sold upon a monthly payment of a certain amount, without including in the statement the number of payments of that same amount which are required to liquidate the unpaid purchase price.
(2) To incorporate within the terms of any purchase and sale agreement any statement or representation with regard to the sale or financing of a vehicle which is false, deceptive, or misleading, including but not limited to terms that include as an added cost to the selling price of a vehicle an amount for licensing or transfer of title of that vehicle which is not actually due to the state, unless such amount has in fact been paid by the dealer prior to such sale.
(3) To set up, promote, or aid in the promotion of a plan by which vehicles are to be sold to a person for a consideration and upon further consideration that the purchaser agrees to secure one or more persons to participate in the plan by respectively making a similar purchase and in turn agreeing to secure one or more persons likewise to join in said plan, each purchaser being given the right to secure money, credits, goods, or something of value, depending upon the number of persons joining the plan.
(4) To commit, allow, or ratify any act of "bushing" which is defined as follows: Taking from a prospective buyer of a vehicle a written order or offer to purchase, or a contract document signed by the buyer, which:
(a) Is subject to the dealer's, or his or her authorized representative's future acceptance, and the dealer fails or refuses within three calendar days, exclusive of Saturday, Sunday, or legal holiday, and prior to any further negotiations with said buyer, either (i) to deliver to the buyer the dealer's signed acceptance, or (ii) to void the order, offer, or contract document and tender the return of any initial payment or security made or given by the buyer, including but not limited to money, check, promissory note, vehicle keys, a trade-in, or certificate of title to a trade-in; or
(b) Permits the dealer to renegotiate a dollar amount specified as trade-in allowance on a vehicle delivered or to be delivered by the buyer as part of the purchase price, for any reason except:
(i) Failure to disclose that the vehicle's certificate of ownership has been branded for any reason, including, but not limited to, status as a rebuilt vehicle as provided in RCW 46.12.050 and 46.12.075; or
(ii) Substantial physical damage or latent mechanical defect occurring before the dealer took possession of the vehicle and which could not have been reasonably discoverable at the time of the taking of the order, offer, or contract; or
(iii) Excessive additional miles or a discrepancy in the mileage. "Excessive additional miles" means the addition of five hundred miles or more, as reflected on the vehicle's odometer, between the time the vehicle was first valued by the dealer for purposes of determining its trade-in value and the time of actual delivery of the vehicle to the dealer. "A discrepancy in the mileage" means (A) a discrepancy between the mileage reflected on the vehicle's odometer and the stated mileage on the signed odometer statement; or (B) a discrepancy between the mileage stated on the signed odometer statement and the actual mileage on the vehicle; or
(c) Fails to comply with the obligation of any written warranty or guarantee given by the dealer requiring the furnishing of services or repairs within a reasonable time.
(5) To commit any offense relating to odometers, as such offenses are defined in RCW 46.37.540, 46.37.550, 46.37.560, and 46.37.570. A violation of this subsection is a class C felony punishable under chapter 9A.20 RCW.
(6) For any vehicle dealer or vehicle salesperson to refuse to furnish, upon request of a prospective purchaser, for vehicles previously registered to a business or governmental entity, the name and address of the business or governmental entity.
(7) To commit any other offense under RCW 46.37.423, 46.37.424, or 46.37.425.
(8) To commit any offense relating to a dealer's temporary license permit, including but not limited to failure to properly complete each such permit, or the issuance of more than one such permit on any one vehicle. However, a dealer may issue a second temporary permit on a vehicle if the following conditions are met:
(a) The lienholder fails to deliver the vehicle title to the dealer within the required time period;
(b) The dealer has satisfied the lien; and
(c) The dealer has proof that payment of the lien was made within two calendar days, exclusive of Saturday, Sunday, or a legal holiday, after the sales contract has been executed by all parties and all conditions and contingencies in the sales contract have been met or otherwise satisfied.
(9) For a dealer, salesman, or mobile home manufacturer, having taken an instrument or cash "on deposit" from a purchaser prior to the delivery of the bargained-for vehicle, to commingle the "on deposit" funds with assets of the dealer, salesman, or mobile home manufacturer instead of holding the "on deposit" funds as trustee in a separate trust account until the purchaser has taken delivery of the bargained-for vehicle. Delivery of a manufactured home shall be deemed to occur in accordance with RCW 46.70.135(5). Failure, immediately upon receipt, to endorse "on deposit" instruments to such a trust account, or to set aside "on deposit" cash for deposit in such trust account, and failure to deposit such instruments or cash in such trust account by the close of banking hours on the day following receipt thereof, shall be evidence of intent to commit this unlawful practice: PROVIDED, HOWEVER, That a motor vehicle dealer may keep a separate trust account which equals his or her customary total customer deposits for vehicles for future delivery. For purposes of this section, "on deposit" funds received from a purchaser of a manufactured home means those funds that a seller requires a purchaser to advance before ordering the manufactured home, but does not include any loan proceeds or moneys that might have been paid on an installment contract.
(10) For a dealer or manufacturer to fail to comply with the obligations of any written warranty or guarantee given by the dealer or manufacturer requiring the furnishing of goods and services or repairs within a reasonable period of time, or to fail to furnish to a purchaser, all parts which attach to the manufactured unit including but not limited to the undercarriage, and all items specified in the terms of a sales agreement signed by the seller and buyer.
(11) For a vehicle dealer to pay to or receive from any person, firm, partnership, association, or corporation acting, either directly or through a subsidiary, as a buyer's agent for consumers, any compensation, fee, purchase moneys or funds that have been deposited into or withdrawn out of any account controlled or used by any buyer's agent, gratuity, or reward in connection with the purchase or sale of a new motor vehicle.
(12) For a buyer's agent, acting directly or through a subsidiary, to pay to or to receive from any motor vehicle dealer any compensation, fee, gratuity, or reward in connection with the purchase or sale of a new motor vehicle. In addition, it is unlawful for any buyer's agent to engage in any of the following acts on behalf of or in the name of the consumer:
(a) Receiving or paying any purchase moneys or funds into or out of any account controlled or used by any buyer's agent;
(b) Signing any vehicle purchase orders, sales contract, odometer statements, or title documents, or having the name of the buyer's agent appear on the vehicle purchase order, sales contract, or title; or
(c) Signing any other documentation relating to the purchase, sale, or transfer of any new motor vehicle.
It is unlawful for a buyer's agent to use a power of attorney obtained from the consumer to accomplish or effect the purchase, sale, or transfer of ownership documents of any new motor vehicle by any means which would otherwise be prohibited under (a) through (c) of this subsection. However, the buyer's agent may use a power of attorney for physical delivery of motor vehicle license plates to the consumer.
Further, it is unlawful for a buyer's agent to engage in any false, deceptive, or misleading advertising, disseminated in any manner whatsoever, including but not limited to making any claim or statement that the buyer's agent offers, obtains, or guarantees the lowest price on any motor vehicle or words to similar effect.
(13) For a buyer's agent to arrange for or to negotiate the purchase, or both, of a new motor vehicle through an out-of-state dealer without disclosing in writing to the customer that the new vehicle would not be subject to chapter 19.118 RCW. In addition, it is unlawful for any buyer's agent to fail to have a written agreement with the customer that: (a) Sets forth the terms of the parties' agreement; (b) discloses to the customer the total amount of any fees or other compensation being paid by the customer to the buyer's agent for the agent's services; and (c) further discloses whether the fee or any portion of the fee is refundable. The department of licensing shall by December 31, 1996, in rule, adopt standard disclosure language for buyer's agent agreements under RCW 46.70.011, 46.70.070, and this section.
(14) Being a manufacturer, other than a motorcycle manufacturer governed by chapter 46.94 RCW, to:
(a) Coerce or attempt to coerce any vehicle dealer to order or accept delivery of any vehicle or vehicles, parts or accessories, or any other commodities which have not been voluntarily ordered by the vehicle dealer: PROVIDED, That recommendation, endorsement, exposition, persuasion, urging, or argument are not deemed to constitute coercion;
(b) Cancel or fail to renew the franchise or selling agreement of any vehicle dealer doing business in this state without fairly compensating the dealer at a fair going business value for his or her capital investment which shall include but not be limited to tools, equipment, and parts inventory possessed by the dealer on the day he or she is notified of such cancellation or termination and which are still within the dealer's possession on the day the cancellation or termination is effective, if: (i) The capital investment has been entered into with reasonable and prudent business judgment for the purpose of fulfilling the franchise; and (ii) the cancellation or nonrenewal was not done in good faith. Good faith is defined as the duty of each party to any franchise to act in a fair and equitable manner towards each other, so as to guarantee one party freedom from coercion, intimidation, or threats of coercion or intimidation from the other party: PROVIDED, That recommendation, endorsement, exposition, persuasion, urging, or argument are not deemed to constitute a lack of good faith.
(c) Encourage, aid, abet, or teach a vehicle dealer to sell vehicles through any false, deceptive, or misleading sales or financing practices including but not limited to those practices declared unlawful in this section;
(d) Coerce or attempt to coerce a vehicle dealer to engage in any practice forbidden in this section by either threats of actual cancellation or failure to renew the dealer's franchise agreement;
(e) Refuse to deliver any vehicle publicly advertised for immediate delivery to any duly licensed vehicle dealer having a franchise or contractual agreement for the retail sale of new and unused vehicles sold or distributed by such manufacturer within sixty days after such dealer's order has been received in writing unless caused by inability to deliver because of shortage or curtailment of material, labor, transportation, or utility services, or by any labor or production difficulty, or by any cause beyond the reasonable control of the manufacturer;
(f) To provide under the terms of any warranty that a purchaser of any new or unused vehicle that has been sold, distributed for sale, or transferred into this state for resale by the vehicle manufacturer may only make any warranty claim on any item included as an integral part of the vehicle against the manufacturer of that item.
Nothing in this section may be construed to impair the obligations of a contract or to prevent a manufacturer, distributor, representative, or any other person, whether or not licensed under this chapter, from requiring performance of a written contract entered into with any licensee hereunder, nor does the requirement of such performance constitute a violation of any of the provisions of this section if any such contract or the terms thereof requiring performance, have been freely entered into and executed between the contracting parties. This paragraph and subsection (14)(b) of this section do not apply to new motor vehicle manufacturers governed by chapter 46.96 RCW.
(15) Unlawful transfer of an ownership interest in a motor vehicle as defined in RCW 19.116.050.
(16) To knowingly and intentionally engage in collusion with a registered owner of a vehicle to repossess and return or resell the vehicle to the registered owner in an attempt to avoid a suspended license impound under chapter 46.55 RCW. However, compliance with chapter 62A.9 RCW in repossessing, selling, leasing, or otherwise disposing of the vehicle, including providing redemption rights to the debtor, is not a violation of this section.", and the same are herewith transmitted.
DEAN R. FOSTER, Co-Chief Clerk
TIMOTHY A. MARTIN, Co-Chief Clerk
MOTION
On motion of Senator Goings, the Senate concurred in the House amendment to Engrossed Senate Bill No. 5649.
The President declared the question before the Senate to be the roll call on the final passage of Engrossed Senate Bill No. 5649, as amended by the House.
ROLL CALL
The Secretary called the roll on the final passage of Engrossed Senate Bill No. 5649, as amended by the House, and the bill passed the Senate by the following vote: Passed Yeas, 41; Nays, 0; Absent, 1; Excused, 7.
Voting yea: Senators Benton, Costa, Deccio, Eide, Fairley, Finkbeiner, Franklin, Fraser, Gardner, Goings, Hale, Hargrove, Haugen, Heavey, Honeyford, Horn, Jacobsen, Johnson, Kline, Kohl-Welles, Long, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sellar, Sheahan, Sheldon, B., Sheldon, T., Shin, Spanel, Stevens, Thibaudeau, West, Winsley, Wojahn and Zarelli - 41.
Absent: Senator Snyder - 1.
Excused: Senators Bauer, Brown, Hochstatter, Loveland, McAuliffe, McDonald and Swecker - 7.
ENGROSSED SENATE BILL NO. 5649, as amended by the House, 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 Franklin, Senator Snyder was excused.
MESSAGE FROM THE HOUSE
April 9, 1999
MR. PRESIDENT:
The House has passed ENGROSSED SUBSTITUTE SENATE BILL NO. 5661 with the following amendment(s)
Strike everything after the enacting clause and insert the following:
"Sec. 1. RCW 82.29A.010 and 1975-'76 2nd ex.s. c 61 s 1 are each amended to read as follows:
(1)(a) The legislature hereby recognizes that properties of the state of Washington, counties, school districts, and other municipal corporations are exempted by Article 7, section 1 of the state Constitution from property tax obligations, but that private lessees of such public properties receive substantial benefits from governmental services provided by units of government.
(b) The legislature further recognizes that a uniform method of taxation should apply to such leasehold interests in publicly owned property.
(c) The legislature finds that lessees of publicly owned property are entitled to those same governmental services and does hereby provide for a leasehold excise tax to fairly compensate governmental units for services rendered to such lessees of publicly owned property.
(2) The legislature further finds that experience gained by lessors, lessees, and the department of revenue since enactment of the leasehold excise tax under this chapter has shed light on areas in the leasehold excise statutes that need explanation and clarification. The purpose of chapter . . ., Laws of 1999 (this act) is to make those changes.
Sec. 2. RCW 82.29A.020 and 1991 c 272 s 23 are each amended to read as follows:
As used in this chapter the following terms shall be defined as follows, unless the context otherwise requires:
(1) "Leasehold interest" shall mean an interest in publicly owned real or personal property which exists by virtue of any lease, permit, license, or any other agreement, written or verbal, between the public owner of the property and a person who would not be exempt from property taxes if that person owned the property in fee, granting possession and use, to a degree less than fee simple ownership: PROVIDED, That no interest in personal property (excluding land or buildings) which is owned by the United States, whether or not as trustee, or by any foreign government shall constitute a leasehold interest hereunder when the right to use such property is granted pursuant to a contract solely for the manufacture or production of articles for sale to the United States or any foreign government. The term "leasehold interest" shall include the rights of use or occupancy by others of property which is owned in fee or held in trust by a public corporation, commission, or authority created under RCW 35.21.730 or 35.21.660 if the property is listed on or is within a district listed on any federal or state register of historical sites. The term "leasehold interest" shall not include road or utility easements ((or)), rights of access, occupancy, or use granted solely for the purpose of removing materials or products purchased from a public owner or the lessee of a public owner, or rights of access, occupancy, or use granted solely for the purpose of natural energy resource exploration.
(2) "Taxable rent" shall mean contract rent as defined in subsection (a) of this subsection in all cases where the lease or agreement has been established or renegotiated through competitive bidding, or negotiated or renegotiated in accordance with statutory requirements regarding the rent payable, or negotiated or renegotiated under circumstances, established by public record, clearly showing that the contract rent was the maximum attainable by the lessor: PROVIDED, That after January 1, 1986, with respect to any lease which has been in effect for ten years or more without renegotiation, taxable rent may be established by procedures set forth in subsection (b) of this subsection. All other leasehold interests shall be subject to the determination of taxable rent under the terms of subsection (b) of this subsection.
For purposes of determining leasehold excise tax on any lands on the Hanford reservation subleased to a private or public entity by the department of ecology, taxable rent shall include only the annual cash rental payment made by such entity to the department of ecology as specifically referred to as rent in the sublease agreement between the parties and shall not include any other fees, assessments, or charges imposed on or collected by such entity irrespective of whether the private or public entity pays or collects such other fees, assessments, or charges as specified in the sublease agreement.
(a) "Contract rent" shall mean the amount of consideration due as payment for a leasehold interest, including: The total of cash payments made to the lessor or to another party for the benefit of the lessor according to the requirements of the lease or agreement, including any rents paid by a sublessee; expenditures for the protection of the lessor's interest when required by the terms of the lease or agreement; and expenditures for improvements to the property to the extent that such improvements become the property of the lessor. Where the consideration conveyed for the leasehold interest is made in combination with payment for concession or other rights granted by the lessor, only that portion of such payment which represents consideration for the leasehold interest shall be part of contract rent.
"Contract rent" shall not include: (i) Expenditures made by the lessee, which under the terms of the lease or agreement, are to be reimbursed by the lessor to the lessee or expenditures for improvements and protection made pursuant to a lease or an agreement which requires that the use of the improved property be open to the general public and that no profit will inure to the lessee from the lease; (ii) expenditures made by the lessee for the replacement or repair of facilities due to fire or other casualty including payments for insurance to provide reimbursement for losses or payments to a public or private entity for protection of such property from damage or loss or for alterations or additions made necessary by an action of government taken after the date of the execution of the lease or agreement; (iii) improvements added to publicly owned property by a sublessee under an agreement executed prior to January 1, 1976, which have been taxed as personal property of the sublessee prior to January 1, 1976, or improvements made by a sublessee of the same lessee under a similar agreement executed prior to January 1, 1976, and such improvements shall be taxable to the sublessee as personal property; (iv) improvements added to publicly owned property if such improvements are being taxed as personal property to any person.
Any prepaid contract rent shall be considered to have been paid in the year due and not in the year actually paid with respect to prepayment for a period of more than one year. Expenditures for improvements with a useful life of more than one year which are included as part of contract rent shall be treated as prepaid contract rent and prorated over the useful life of the improvement or the remaining term of the lease or agreement if the useful life is in excess of the remaining term of the lease or agreement. Rent prepaid prior to January 1, 1976, shall be prorated from the date of prepayment.
With respect to a "product lease", the value ((of agricultural products received as rent shall be the value at the place of delivery as of the fifteenth day of the month of delivery; with respect to all other products received as contract rent, the value)) shall be that value determined at the time of sale under terms of the lease.
(b) If it shall be determined by the department of revenue, upon examination of a lessee's accounts or those of a lessor of publicly owned property, that a lessee is occupying or using publicly owned property in such a manner as to create a leasehold interest and that such leasehold interest has not been established through competitive bidding, or negotiated in accordance with statutory requirements regarding the rent payable, or negotiated under circumstances, established by public record, clearly showing that the contract rent was the maximum attainable by the lessor, the department may establish a taxable rent computation for use in determining the tax payable under authority granted in this chapter based upon the following criteria: (i) Consideration shall be given to rental being paid to other lessors by lessees of similar property for similar purposes over similar periods of time; (ii) consideration shall be given to what would be considered a fair rate of return on the market value of the property leased less reasonable deductions for any restrictions on use, special operating requirements or provisions for concurrent use by the lessor, another person or the general public.
(3) "Product lease" as used in this chapter shall mean a lease of property for use in the production of agricultural or marine products to the extent that such lease provides for the contract rent to be paid by the delivery of a stated percentage of the production of such agricultural or marine products to the credit of the lessor or the payment to the lessor of a stated percentage of the proceeds from the sale of such products.
(4) "Renegotiated" means a change in the lease agreement which changes the agreed time of possession, restrictions on use, the rate of the cash rental or of any other consideration payable by the lessee to or for the benefit of the lessor, other than any such change required by the terms of the lease or agreement. In addition "renegotiated" shall mean a continuation of possession by the lessee beyond the date when, under the terms of the lease agreement, the lessee had the right to vacate the premises without any further liability to the lessor.
(5) "City" means any city or town.
(6) "Products" includes natural resource products such as cut or picked evergreen foliage, Cascara bark, wild edible mushrooms, native ornamental trees and shrubs, ore and minerals, natural gas, geothermal water and steam, and forage removed through the grazing of livestock.", and the same are herewith transmitted.
DEAN R. FOSTER, Co-Chief Clerk
TIMOTHY A. MARTIN, Co-Chief Clerk
MOTION
On motion of Senator Goings, the Senate concurred in the House amendment to Engrossed Substitute Senate Bill No. 5661.
The President declared the question before the Senate to be the roll call on the final passage of Engrossed Substitute Senate Bill No. 5661, as amended by the House.
ROLL CALL
The Secretary called the roll on the final passage of Engrossed Substitute Senate Bill No. 5661, as amended by the House, and the bill passed the Senate by the following vote: Yeas, 39; Nays, 0; Absent, 2; Excused, 8.
Voting yea: Senators Benton, Costa, Deccio, Eide, Fairley, Finkbeiner, Franklin, Fraser, Gardner, Goings, Hale, Hargrove, Haugen, Heavey, Honeyford, Horn, Jacobsen, Johnson, Kline, Kohl-Welles, Long, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sellar, Sheahan, Sheldon, T., Shin, Spanel, Stevens, Thibaudeau, Winsley, Wojahn and Zarelli - 39.
Absent: Senators Sheldon, B. and West - 2.
Excused: Senators Bauer, Brown, Hochstatter, Loveland, McAuliffe, McDonald, Snyder and Swecker - 8.
ENGROSSED SUBSTITUTE SENATE BILL NO. 5661, as amended by the House, 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.
MESSAGE FROM THE HOUSE
April 6, 1999
MR. PRESIDENT:
The House has passed SUBSTITUTE SENATE BILL NO. 5706 with the following amendment(s)
Strike everything after the enacting clause and insert the following:
"NEW SECTION. Sec. 1. The legislature recognizes that there are residents of this state who intentionally register motor vehicles in other states to evade payment of taxes and fees required by the laws of this state. This results in a substantial loss of revenue to the state. It is the intent of the legislature to decriminalize license fraud and impose stronger civil penalties upon residents who defraud the state, thereby enhancing compliance with state registration laws and increasing state revenues. To further enhance enforcement and collection efforts, the legislature intends to create a license fraud task force within the Washington state patrol.
NEW SECTION. Sec. 2. The task force consists of staff from the Washington state patrol, the department of revenue, and the attorney general's office. The task force personnel are:
(1) One Washington state patrol sergeant, who has overall responsibility to coordinate the task force;
(2) Three Washington state patrol detectives, to investigate license fraud;
(3) One department of revenue tax discovery agent, to assess and recover delinquent tax, penalties, and interest;
(4) One assistant attorney general, to provide legal services to the task force; and
(5) One clerical support person, for administrative support for the task force as a whole.
NEW SECTION. Sec. 3. A penalty assessed pursuant to RCW 46.16.010 (1)(a) and (2), 47.68.255, or 82.48.020 is due and payable when the person incurring it receives a notice in writing from the state patrol stating the violation and advising the person that the penalty is due. The state patrol may, upon written application for review received within fifteen days from the date of the penalty assessment, remit or mitigate a penalty. Procedures for these actions are governed by chapter 34.05 RCW. The penalty notice has the effect of an agency order.
Sec. 4. RCW 46.16.010 and 1997 c 328 s 2 and 1997 c 241 s 13 are each reenacted and amended to read as follows:
(1) It is ((unlawful)) a violation for a person to operate any vehicle over and along a public highway of this state without first having obtained and having in full force and effect a current and proper vehicle license and display vehicle license number plates therefor as by this chapter provided. ((Failure to make initial registration before operation on the highways of this state is a misdemeanor, and any person convicted thereof shall be punished by a fine of no less than three hundred thirty dollars, no part of which may be suspended or deferred.))
(a) Failure to make initial registration of a vehicle before operating it on the highways of this state is a violation of this section. Anyone who violates this section is liable for a penalty of three hundred fifty dollars for each violation in addition to all other penalties provided by law. Persons violating this subsection shall make payment as prescribed in subsection (2)(b) of this section.
(b) Failure to renew an expired registration before operation on the highways of this state is a traffic infraction, which shall not be resolved through the civil process instituted under this act.
(2)(a) The licensing of a vehicle in another state by a resident of this state, as defined in RCW 46.16.028, ((evading)) to avoid the payment of any tax or license fee imposed in connection with registration, is a ((gross misdemeanor punishable as follows:)) violation of this section, and violators are liable for a monetary penalty not less than one thousand dollars but not more than ten thousand dollars for each violation.
(((a) For a first offense, up to one year in the county jail and a fine equal to twice the amount of delinquent taxes and fees, no part of which may be suspended or deferred;))
(b) ((For a second or subsequent offense, up to one year in the county jail and a fine equal to four times the amount of delinquent taxes and fees, no part of which may be suspended or deferred;)) The penalty provided in subsection (1)(a) of this section and this subsection is due and payable when the person incurring it receives a notice in writing from the state patrol describing the violation and advising the person that the penalty is due. The state patrol may, upon written application for review, received within fifteen days, remit or mitigate a penalty provided for in this section or discontinue an action to recover the penalty upon such terms it deems proper and may ascertain the facts in a manner and under rules it deems proper. If the amount of the penalty is not paid to the state patrol within fifteen days after receipt of the notice imposing the penalty, or application for remission or mitigation has not been made within fifteen days after the violator has received notice of the disposition of the application, the attorney general shall bring an action in the name of the state of Washington in the superior court of Thurston county or of any other county in which the violator resides or does business, to recover the penalty, administrative fees, and attorneys' fees and costs incurred in recovering the penalties. All penalties recovered under this section shall be paid into the state treasury and credited to the state patrol highway account of the motor vehicle fund for the license fraud task force.
(c) ((For fines levied under (b) of this subsection, an amount equal to the avoided taxes and fees owed shall be deposited in the vehicle licensing fraud account created in the state treasury;
(d))) The avoided taxes and fees shall be deposited and distributed in the same manner as if the taxes and fees were properly paid in a timely fashion.
(3) These provisions shall not apply to the following vehicles:
(a) Electric-assisted bicycles;
(b) Farm vehicles if operated within a radius of fifteen miles of the farm where principally used or garaged, farm tractors and farm implements including trailers designed as cook or bunk houses used exclusively for animal herding temporarily operating or drawn upon the public highways, and trailers used exclusively to transport farm implements from one farm to another during the daylight hours or at night when such equipment has lights that comply with the law;
(c) Spray or fertilizer applicator rigs designed and used exclusively for spraying or fertilization in the conduct of agricultural operations and not primarily for the purpose of transportation, and nurse rigs or equipment auxiliary to the use of and designed or modified for the fueling, repairing, or loading of spray and fertilizer applicator rigs and not used, designed, or modified primarily for the purpose of transportation;
(d) Fork lifts operated during daylight hours on public highways adjacent to and within five hundred feet of the warehouses which they serve: PROVIDED FURTHER, That these provisions shall not apply to vehicles used by the state parks and recreation commission exclusively for park maintenance and operations upon public highways within state parks;
(e) "Special highway construction equipment" defined as follows: Any vehicle which is designed and used primarily for grading of highways, paving of highways, earth moving, and other construction work on highways and which is not designed or used primarily for the transportation of persons or property on a public highway and which is only incidentally operated or moved over the highway. It includes, but is not limited to, road construction and maintenance machinery so designed and used such as portable air compressors, air drills, asphalt spreaders, bituminous mixers, bucket loaders, track laying tractors, ditchers, leveling graders, finishing machines, motor graders, paving mixers, road rollers, scarifiers, earth moving scrapers and carryalls, lighting plants, welders, pumps, power shovels and draglines, self-propelled and tractor-drawn earth moving equipment and machinery, including dump trucks and tractor-dump trailer combinations which either (i) are in excess of the legal width, or (ii) which, because of their length, height, or unladen weight, may not be moved on a public highway without the permit specified in RCW 46.44.090 and which are not operated laden except within the boundaries of the project limits as defined by the contract, and other similar types of construction equipment, or (iii) which are driven or moved upon a public highway only for the purpose of crossing such highway from one property to another, provided such movement does not exceed five hundred feet and the vehicle is equipped with wheels or pads which will not damage the roadway surface.
Exclusions:
"Special highway construction equipment" does not include any of the following:
Dump trucks originally designed to comply with the legal size and weight provisions of this code notwithstanding any subsequent modification which would require a permit, as specified in RCW 46.44.090, to operate such vehicles on a public highway, including trailers, truck-mounted transit mixers, cranes and shovels, or other vehicles designed for the transportation of persons or property to which machinery has been attached.
(4) The following vehicles, whether operated solo or in combination, are exempt from license registration and displaying license plates as required by this chapter:
(a) A converter gear used to convert a semitrailer into a trailer or a two-axle truck or tractor into a three or more axle truck or tractor or used in any other manner to increase the number of axles of a vehicle. Converter gear includes an auxiliary axle, booster axle, dolly, and jeep axle.
(b) A tow dolly that is used for towing a motor vehicle behind another motor vehicle. The front or rear wheels of the towed vehicle are secured to and rest on the tow dolly that is attached to the towing vehicle by a tow bar.
Sec. 5. RCW 47.68.240 and 1993 c 238 s 3 are each amended to read as follows:
Any person violating any of the provisions of this chapter, or any of the rules, regulations, or orders issued pursuant thereto, shall be guilty of a misdemeanor and shall be punished as provided under chapter 9A.20 RCW, except that any person violating any of the provisions of RCW 47.68.220((,)) or 47.68.230((, or 47.68.255)) shall be guilty of a gross misdemeanor which shall be punished as provided under chapter 9A.20 RCW. In addition to, or in lieu of, the penalties provided in this section, or as a condition to the suspension of a sentence which may be imposed pursuant thereto, for violations of RCW 47.68.220 and 47.68.230, the court in its discretion may prohibit the violator from operating an aircraft within the state for such period as it may determine but not to exceed one year. Violation of the duly imposed prohibition of the court may be treated as a separate offense under this section or as a contempt of court.
Sec. 6. RCW 47.68.255 and 1996 c 184 s 3 are each amended to read as follows:
(1) A person who is required to register an aircraft under this chapter and who registers an aircraft in another state or foreign country ((evading)) avoiding the Washington aircraft ((excise tax is guilty of a gross misdemeanor)) taxes, commits a violation of this section and is liable for those unpaid taxes and for a monetary penalty not less than one thousand dollars but not more than ten thousand dollars for each violation. ((For a second or subsequent offense, the person convicted is also subject to a fine equal to four times the amount of avoided taxes and fees, no part of which may be suspended or deferred. Excise taxes owed and fines assessed shall be deposited in the manner provided under RCW 46.16.010(2).))
(2) The penalty provided in this section is due and payable when the person incurring it receives a notice in writing from the state patrol describing the violation and advising the person that the penalty is due. The state patrol may, upon written application for review, received within fifteen days, remit or mitigate a penalty provided for in this section or discontinue an action to recover the penalty upon such terms it deems proper and may ascertain the facts in a manner and under rules it deems proper. If the amount of the penalty is not paid to the state patrol within fifteen days after receipt of the notice imposing the penalty, or application for remission or mitigation has not been made within fifteen days after the violator has received notice of the disposition of the application, the attorney general shall bring an action in the name of the state of Washington in the superior court of Thurston county or of any other county in which the violator does business, to recover the penalty, administrative fees, and attorneys' fees. All penalties recovered under this section shall be paid into the state treasury and credited to the state patrol highway account of the motor vehicle fund for the license fraud task force. The department of revenue may assess and collect the unpaid excise tax under chapter 82.32 RCW, including the penalties and interest provided in chapter 82.32 RCW.
Sec. 7. RCW 82.48.020 and 1993 c 238 s 5 are each amended to read as follows:
(1) An annual excise tax is hereby imposed for the privilege of using any aircraft in the state. A current certificate of air worthiness with a current inspection date from the appropriate federal agency and/or the purchase of aviation fuel shall constitute the necessary evidence of aircraft use or intended use. The tax shall be collected annually or under a staggered collection schedule as required by the secretary by rule. No additional tax shall be imposed under this chapter upon any aircraft upon the transfer of ownership thereof, if the tax imposed by this chapter with respect to such aircraft has already been paid for the year in which transfer of ownership occurs. A violation of this subsection is a misdemeanor punishable as provided under chapter 9A.20 RCW.
(2)(a) Persons who are required to register aircraft under chapter 47.68 RCW and who register aircraft in another state or foreign country and avoid the Washington aircraft ((excise tax are liable for such unpaid excise tax)) taxes, violate this section and are liable for a monetary penalty of not less than one thousand dollars but not more than ten thousand dollars for each violation. ((A violation of this subsection is a gross misdemeanor.))
(b) The penalty provided in this section is due and payable when the person incurring it receives a notice in writing from the state patrol describing the violation and advising the person that the penalty is due. The state patrol may, upon written application for review, received within fifteen days, remit or mitigate a penalty provided for in this section or discontinue an action to recover the penalty upon such terms it deems proper and may ascertain the facts in a manner and under rules it deems proper. If the amount of the penalty is not paid to the state patrol within fifteen days after receipt of the notice imposing the penalty, or application for remission or mitigation has not been made within fifteen days after the violator has received notice of the disposition of the application, the attorney general shall bring an action in the name of the state of Washington in the superior court of Thurston county or of any other county in which the violator resides or does business, to recover the penalty, administrative fees, and attorneys' fees. In all such actions, the procedure and rules of evidence are the same as an ordinary civil action except as otherwise provided in this chapter. All penalties recovered under this section shall be paid into the state treasury and credited to the state patrol highway account of the motor vehicle fund for the license fraud task force.
(3) The department of revenue may assess and collect the unpaid excise tax under chapter 82.32 RCW, including the penalties and interest provided in chapter 82.32 RCW.
(((3))) (4) Except as provided under subsections (1) and (2) of this section, a violation of this chapter is a misdemeanor punishable as provided in chapter 9A.20 RCW.
Sec. 8. RCW 82.49.010 and 1993 c 238 s 6 are each amended to read as follows:
(1) An excise tax is imposed for the privilege of using a vessel upon the waters of this state, except vessels exempt under RCW 82.49.020. The annual amount of the excise tax is one-half of one percent of fair market value, as determined under this chapter, or five dollars, whichever is greater. Violation of this subsection is a misdemeanor.
(2)(a) A person((s)) who ((are)) is required under chapter 88.02 RCW to register a vessel in this state and who registers the vessel in another state or foreign country and avoids the Washington watercraft ((excise tax are guilty of a gross misdemeanor and are liable for such unpaid excise tax)) taxes, violates this section
and is liable for those taxes and a monetary penalty not less than one thousand dollars but not more than ten thousand dollars for each violation. ((The department of revenue may assess and collect the unpaid excise tax under chapter 82.32 RCW, including the penalties and interest provided in chapter 82.32 RCW.))
(b) The penalty provided in this section is due and payable when the person incurring it receives a notice in writing from the state patrol describing the violation and advising the person that the penalty is due. The state patrol may, upon written application for review, received within fifteen days, remit or mitigate a penalty provided for in this section or discontinue an action to recover the penalty upon such terms it deems proper and may ascertain the facts in a manner and under rules it deems proper. If the amount of the penalty is not paid to the state patrol within fifteen days after receipt of the notice imposing the penalty, or application for remission or mitigation has not been made within fifteen days after the violator has received notice of the disposition of the application, the attorney general shall bring an action in the name of the state of Washington in the superior court of Thurston county or of any other county in which the violator resides or does business, to recover the penalty, administrative fees, and attorneys' fees. All penalties recovered under this section shall be paid into the state treasury and credited to the state patrol highway account of the motor vehicle fund for the license fraud task force.
(3) The excise tax upon a vessel registered for the first time in this state shall be imposed for a twelve-month period, including the month in which the vessel is registered, unless the director of licensing extends or diminishes vessel registration periods for the purpose of staggered renewal periods under RCW 88.02.050. A vessel is registered for the first time in this state when the vessel was not registered in this state for the immediately preceding registration year, or when the vessel was registered in another jurisdiction for the immediately preceding year. The excise tax on vessels required to be registered in this state on June 30, 1983, shall be paid by June 30, 1983.
Sec. 9. RCW 82.50.400 and 1993 c 238 s 7 are each amended to read as follows:
(1) An annual excise tax is imposed on the owner of any travel trailer or camper for the privilege of using such travel trailer or camper in this state. The excise tax hereby imposed shall be due and payable to the department of licensing or its agents at the time of registration of a travel trailer or camper. Whenever an application is made to the department of licensing or its agents for a license for a travel trailer or camper there shall be collected, in addition to the amount of the license fee or renewal license fee, the amount of the excise tax imposed by this chapter, and no dealer's license or license plates, and no license or license plates for a travel trailer or camper may be issued unless such tax is paid in full. No additional tax shall be imposed under this chapter upon any travel trailer or camper upon the transfer of ownership thereof, if the tax imposed by this chapter with respect to such travel trailer or camper has already been paid for the registration year or fractional part thereof in which such transfer occurs. Violation of this subsection is a ((misdemeanor)) violation of RCW 46.16.010 (1)(a) and (2), and penalties apply.
(2) Persons who are required to license travel trailers or campers under chapter 46.16 RCW and who license travel trailers or campers in another state or foreign country to avoid the Washington travel trailer or camper tax are ((guilty of a gross misdemeanor and are liable for such unpaid excise tax)) in violation of RCW 46.16.010 (1)(a) and (2), and penalties apply. The department of revenue may assess and collect the unpaid excise tax under chapter 82.32 RCW, including the penalties and interest provided in chapter 82.32 RCW.
Sec. 10. RCW 88.02.118 and 1996 c 184 s 4 are each amended to read as follows:
(1)(a) It is a ((gross misdemeanor punishable as provided under chapter 9A.20 RCW)) violation for any person owning a vessel subject to taxation under chapter 82.49 RCW to register a vessel in another state to avoid Washington state vessel ((excise tax)) taxes required under chapter 82.49 RCW or to obtain a vessel dealer's registration for the purpose of ((evading excise tax)) avoiding taxes on vessels under chapter 82.49 RCW. ((For a second or subsequent offense, the person convicted is also subject to a fine equal to four times the amount of avoided taxes and fees, no part of which may be suspended or deferred. Excise taxes owed and fines assessed shall be deposited in the manner provided under RCW 46.16.010(2).))
(b) The monetary penalty is not less than one thousand dollars but not more than ten thousand dollars for each violation.
(2) The penalty provided in this section is due and payable when the person incurring it receives a notice in writing from the state patrol describing the violation and advising the person that the penalty is due. The state patrol may, upon written application for review, received within fifteen days, remit or mitigate a penalty provided for in this section or discontinue an action to recover the penalty upon such terms it deems proper and may ascertain the facts in a manner and under rules it deems proper. If the amount of the penalty is not paid to the state patrol within fifteen days after receipt of the notice imposing the penalty, or application for remission or mitigation has not been made within fifteen days after the violator has received notice of the disposition of the application, the attorney general shall bring an action in the name of the state of Washington in the superior court of Thurston county or of any other county in which the violator resides or does business, to recover the penalty, administrative fees, and attorneys' fees. In all such actions, the procedure and rules of evidence are the same as an ordinary civil action except as otherwise provided in this chapter. All penalties recovered under this section shall be paid into the state treasury and credited to the state patrol highway account of the motor vehicle fund for the license fraud task force.
Sec. 11. RCW 82.32.090 and 1996 c 149 s 15 are each amended to read as follows:
(1) If payment of any tax due on a return to be filed by a taxpayer is not received by the department of revenue by the due date, there shall be assessed a penalty of five percent of the amount of the tax; and if the tax is not received on or before the last day of the month following the due date, there shall be assessed a total penalty of ten percent of the amount of the tax; and if the tax is not received on or before the last day of the second month following the due date, there shall be assessed a total penalty of twenty percent of the amount of the tax. No penalty so added shall be less than five dollars.
(2) If payment of any tax assessed by the department of revenue is not received by the department by the due date specified in the notice, or any extension thereof, the department shall add a penalty of ten percent of the amount of the additional tax found due. No penalty so added shall be less than five dollars.
(3) If a warrant be issued by the department of revenue for the collection of taxes, increases, and penalties, there shall be added thereto a penalty of five percent of the amount of the tax, but not less than ten dollars.
(4) If the department finds that all or any part of a deficiency resulted from the disregard of specific written instructions as to reporting or tax liabilities, the department shall add a penalty of ten percent of the amount of the additional tax found due because of the failure to follow the instructions. A taxpayer disregards specific written instructions when the department of revenue has informed the taxpayer in writing of the taxpayer's tax obligations and the taxpayer fails to act in accordance with those instructions unless the department has not issued final instructions because the matter is under appeal pursuant to this chapter or departmental regulations. The department shall not assess the penalty under this section upon any taxpayer who has made a good faith effort to comply with the specific written instructions provided by the department to that taxpayer. Specific written instructions may be given as a part of a tax assessment, audit, determination, or closing agreement, provided that such specific written instructions shall apply only to the taxpayer addressed or referenced on such documents. Any specific written instructions by the department of revenue shall be clearly identified as such and shall inform the taxpayer that failure to follow the instructions may subject the taxpayer to the penalties imposed by this subsection.
(5)(a) If the department finds that all or any part of the deficiency resulted from an intent to evade the tax payable hereunder, a further penalty of fifty percent of the additional tax found to be due shall be added.
(b) There is a rebuttable presumption of a tax deficiency and intent to avoid and evade the tax under the motor vehicle excise tax under chapter 82.44 RCW, the aircraft excise tax under chapter 82.48 RCW, the watercraft excise tax under chapter 82.49 RCW, the trailers and campers excise tax under chapter 82.50 RCW, or use tax under chapter 82.12 RCW, if there is a finding resulting from a proceeding brought under RCW 46.16.010, 47.68.255, 82.48.020, 82.49.010, or 88.02.118, that the person failed to properly register or license a motor vehicle, an aircraft, a watercraft, a trailer, or a camper.
(6) The aggregate of penalties imposed under subsections (1), (2), and (3) of this section shall not exceed thirty-five percent of the tax due, or twenty dollars, whichever is greater. This subsection does not prohibit or restrict the application of other penalties authorized by law.
(7) The department of revenue may not impose both the evasion penalty and the penalty for disregarding specific written instructions on the same tax found to be due.
(8) For the purposes of this section, "return" means any document a person is required by the state of Washington to file to satisfy or establish a tax or fee obligation that is administered or collected by the department of revenue, and that has a statutorily defined due date."
Correct the title., and the same are herewith transmitted.
TIMOTHY A. MARTIN, Co-Chief Clerk
DEAN R. FOSTER, Co-Chief Clerk
MOTION
On motion of Senator Goings, the Senate concurred in the House amendment to Substitute Senate Bill No. 5706.
The President declared the question before the Senate to be the roll call on the final passage of Substitute Senate Bill No. 5706, as amended by the House.
ROLL CALL
The Secretary called the roll on the final passage of Substitute Senate Bill No. 5706, as amended by the House, and the bill passed the Senate by the following vote: Yeas, 40; Nays, 0; Absent, 1; Excused, 8.
Voting yea: Senators Benton, Costa, Deccio, Eide, Fairley, Finkbeiner, Franklin, Fraser, Gardner, Goings, Hale, Haugen, Heavey, Honeyford, Horn, Jacobsen, Johnson, Kline, Kohl-Welles, Long, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sellar, Sheahan, Sheldon, B., Sheldon, T., Shin, Spanel, Stevens, Thibaudeau, West, Winsley, Wojahn and Zarelli - 40.
Absent: Senator Hargrove - 1.
Excused: Senators Bauer, Brown, Hochstatter, Loveland, McAuliffe, McDonald, Snyder and Swecker - 8.
SUBSTITUTE SENATE BILL NO. 5706, as amended by the House, 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.
MESSAGE FROM THE HOUSE
April 17, 1999
MR. PRESIDENT:
The Co-Speaker ruled the Senate amendment(s) to SUBSTITUTE HOUSE BILL NO. 1053 beyond the scope and object of the bill. The House refuses to concur in said amendment(s) and asks the Senate to recede therefrom, and the same are herewith transmitted.
TIMOTHY A. MARTIN, Co-Chief Clerk
DEAN R. FOSTER, Co-Chief Clerk
MOTION
On motion of Senator Haugen, the Senate receded from the Senate amendment(s) to Substitute House Bill No. 1053.
The President declared the question before the Senate to be the roll call on the final passage of Substitute House Bill No. 1053, without the Senate amendment(s).
ROLL CALL
The Secretary called the roll on the final passage of Substitute House Bill No. 1053, without the Senate amendment(s), and the bill passed the Senate by the following vote: Yeas, 41; Nays, 0; Absent, 0; Excused, 8.
Voting yea: Senators Benton, Costa, Deccio, Eide, Fairley, Finkbeiner, Franklin, Fraser, Gardner, Goings, Hale, Hargrove, Haugen, Heavey, Honeyford, Horn, Jacobsen, Johnson, Kline, Kohl-Welles, Long, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sellar, Sheahan, Sheldon, B., Sheldon, T., Shin, Spanel, Stevens, Thibaudeau, West, Winsley, Wojahn and Zarelli - 41.
Excused: Senators Bauer, Brown, Hochstatter, Loveland, McAuliffe, McDonald, Snyder and Swecker - 8.
SUBSTITUTE HOUSE BILL NO. 1053, without the Senate amendment(s), 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.
MESSAGE FROM THE HOUSE
April 17, 1999
MR. PRESIDENT:
The House refuses to concur in the Senate amendment(s) to SECOND SUBSTITUTE HOUSE BILL NO. 1140 and asks the Senate to recede therefrom, and the same are herewith transmitted.
TIMOTHY A. MARTIN, Co-Chief Clerk
DEAN R. FOSTER, Co-Chief Clerk
MOTION
On motion of Senator Kohl-Welles, the Senate receded from the Committee on Higher Education striking amendment, which was adopted, as amended, April 8, 1999.
MOTIONS
On motion of Senator Kohl-Welles, the rules were suspended, Second Substitute House Bill No. 1140 was returned to second reading and read the second time.
Senator Kohl-Welles moved that the following striking amendment by Senators Kohl-Welles and Sheahan be adopted:
Strike everything after the enacting clause and insert the following:
"NEW SECTION. Sec. 1. A new section is added to chapter 28B.10 RCW to read as follows:
(1) The legislature finds that the higher education coordinating board, in consultation with the higher education community, has completed a review of the state need grant program. It is the intent of the legislature to endorse the board's proposed changes to the state need grant program, including:
(a) Reaffirmation that the primary purpose of the state need grant program is to assist low-income, needy, and disadvantaged Washington residents attending institutions of higher education;
(b) A goal that the base state need grant amount over time be increased to be equivalent to the rate of tuition charged to resident undergraduate students attending Washington state public colleges and universities;
(c) State need grant recipients be required to contribute a portion of the total cost of their education through self-help;
(d) State need grant recipients be required to document their need for dependent care assistance after taking into account other public funds provided for like purposes; and
(e) Institutional aid administrators be allowed to determine whether a student eligible for a state need grant in a given academic year may remain eligible for the ensuing year if the student's family income increases by no more than a marginal amount.
(2) The legislature further finds that the higher education coordinating board, under its authority to implement the proposed changes in subsection (1) of this section, should do so in a timely manner.
(3) The legislature also finds that:
(a) In most circumstances, need grant eligibility should not extend beyond five years or one hundred twenty-five percent of the published length of the program in which the student is enrolled or the credit or clock-hour equivalent; and
(b) State financial aid programs should continue to adhere to the principle that funding follows resident students to their choice of institution of higher education.
Sec. 2. RCW 28B.10.800 and 1993 sp.s. c 18 s 2 are each amended to read as follows:
The ((sole)) purposes of RCW 28B.10.800 through 28B.10.824 ((is)) are to establish ((a)) the principles upon which the state financial aid programs will be based and to establish the state of Washington ((student financial aid)) state need grant program, thus assisting financially needy or disadvantaged students domiciled in Washington to obtain the opportunity of attending an accredited institution of higher education, as defined in RCW 28B.10.802(1). ((Financial aid)) State need grants under RCW 28B.10.800 through 28B.10.824 ((is)) are available only to students who are resident students as defined in RCW 28B.15.012(2) (a) through (d).
Sec. 3. RCW 28B.10.804 and 1995 c 269 s 801 are each amended to read as follows:
The ((commission)) board shall be cognizant of the following guidelines in the performance of its duties:
(1) The ((commission)) board shall be research oriented, not only at its inception but continually through its existence.
(2) The ((commission)) board shall coordinate all existing programs of financial aid except those specifically dedicated to a particular institution by the donor.
(3) The ((commission)) board shall take the initiative and responsibility for coordinating all federal student financial aid programs to ((insure)) ensure that the state recognizes the maximum potential effect of these programs, and shall design ((the)) state programs ((which)) that complement((s)) existing federal, state, and institutional programs. The board shall ensure that state programs continue to follow the principle that state financial aid funding follows the student to the student's choice of institution of higher education.
(4) Counseling is a paramount function of the state need grant and other state student financial aid programs, and in most cases could only be properly implemented at the institutional levels; therefore, state student financial aid programs shall be concerned with the attainment of those goals which, in the judgment of the ((commission)) board, are the reasons for the existence of a student financial aid program, and not solely with administration of the program on an individual basis.
(5) The "package" approach of combining loans, grants and employment for student financial aid shall be the ((conceptional)) conceptual element of the state's involvement.
Sec. 4. RCW 28B.10.806 and 1989 c 254 s 3 are each amended to read as follows:
The ((commission)) board shall have the following powers and duties:
(1) Conduct a full analysis of student financial aid as a means of:
(a) Fulfilling educational aspirations of students of the state of Washington, and
(b) Improving the general, social, cultural, and economic character of the state.
Such an analysis will be a continuous one and will yield current information relevant to needed improvements in the state program of student financial aid. The ((commission)) board will disseminate the information yielded by their analyses to all appropriate individuals and agents.
(((c) This study should include information on the following:
(i) all programs and sources of available student financial aid,
(ii) distribution of Washington citizens by socio-economic class,
(iii) data from federal and state studies useful in identifying:
(A) demands of students for specific educational goals in colleges, and
(B) the discrepancy between high school students' preferences and the colleges they actually selected.))
(2) Design a state program of student financial aid based on the data of the study referred to in this section. The state programs will supplement available federal and local aid programs. The state programs of student financial aid will not exceed the difference between the budgetary costs of attending an institution of higher ((learning)) education and the student's total resources, including family support, personal savings, employment, and federal, state, and local aid programs.
(3) Determine and establish criteria for financial need of the individual applicant based upon the consideration of that particular applicant. In making this determination the ((commission)) board shall consider the following:
(a) Assets and income of the student.
(b) Assets and income of the parents, or the individuals legally responsible for the care and maintenance of the student.
(c) The cost of attending the institution the student is attending or planning to attend.
(d) Any other criteria deemed relevant to the ((commission)) board.
(4) Set the amount of financial aid to be awarded to any individual needy or disadvantaged student in any school year.
(5) Award financial aid to needy or disadvantaged students for a school year based upon only that amount necessary to fill the financial gap between the budgetary cost of attending an institution of higher education and the family and student contribution.
(6) Review the need and eligibility of all applications on an annual basis and adjust financial aid to reflect changes in the financial need of the recipients and the cost of attending the institution of higher education.
Sec. 5. RCW 28B.10.808 and 1991 c 164 s 4 are each amended to read as follows:
In awarding need grants, the ((commission)) board shall proceed substantially as follows: PROVIDED, That nothing contained herein shall be construed to prevent the ((commission)) board, in the exercise of its sound discretion, from following another procedure when the best interest of the program so dictates:
(1) The ((commission)) board shall annually select the financial aid award ((winners)) recipients from among Washington residents applying for student financial aid who have been ranked according to financial need as determined by the amount of the family contribution and other considerations brought to the ((commission's)) board's attention.
(2) The financial need of the highest ranked students shall be met by grants depending upon the evaluation of financial need until the total allocation has been disbursed. Funds from grants which are declined, forfeited or otherwise unused shall be reawarded until dispersed.
(3) ((A grant may be renewed until the course of study is completed, but not for more than an additional four academic years beyond the first year of the award. These shall not be required to be consecutive years)) A student shall be eligible to receive a state need grant for up to five years, or the credit or clock hour equivalent of five years, or up to one hundred twenty-five percent of the published length of time of the student's program. A student may not start a new associate degree program as a state need grant recipient until at least five years have elapsed since earning an associate degree as a need grant recipient, except that a student may earn two associate degrees concurrently. Qualifications for renewal will include maintaining satisfactory academic ((standing)) progress toward completion of ((the course of study, and continued eligibility)) an eligible program as determined by the ((commission)) board. Should the recipient terminate his or her enrollment for any reason during the academic year, the unused portion of the grant shall be returned to the state educational grant fund by the institution according to the institution's own policy for issuing refunds, except as provided in RCW 28B.10.8081.
(4) In computing financial need, the ((commission)) board shall determine a maximum student expense budget allowance, not to exceed an amount equal to the total maximum student expense budget at the public institutions plus the current average state appropriation per student for operating expense in the public institutions.
Sec. 6. RCW 28B.10.810 and 1989 c 254 s 5 are each amended to read as follows:
For a student to be eligible for ((financial aid the)) a state need grant a student must:
(1) Be a "needy student" or "disadvantaged student" as determined by the ((commission)) board in accordance with RCW 28B.10.802 (3) and (4).
(2) Have been domiciled within the state of Washington for at least one year.
(3) Be enrolled or accepted for enrollment on at least a half-time basis at an institution of higher education in Washington as defined in RCW 28B.10.802(1).
(4) Have complied with all the rules and regulations adopted by the ((commission)) board for the administration of RCW 28B.10.800 through 28B.10.824.
Sec. 7. RCW 28B.10.822 and 1973 c 62 s 4 are each amended to read as follows:
The ((commission)) board shall adopt rules ((and regulations)) as may be necessary or appropriate for effecting the provisions of RCW 28B.10.800 through 28B.10.824 and section 1 of this act, and not in conflict with RCW 28B.10.800 through 28B.10.824, in accordance with the provisions of chapter 34.05 RCW, the ((state higher education)) administrative procedure act.
"Debate ensued.
The President declared the question before the Senate to be the adoption of the striking amendment by Senators Kohl-Welles and Sheahan, under suspension of the rules.
The motion by Senator Kohl-Welles carried and the striking amendment was adopted under suspension of the rules.
MOTIONS
On motion of Senator Kohl-Welles, the following title amendment was adopted:
On page 1, line 1 of the title, after "education;" strike the remainder of the title and insert "amending RCW 28B.10.800, 28B.10.804, 28B.10.806, 28B.10.808, 28B.10.810, and 28B.10.822; and adding a new section to chapter 28B.10 RCW."
On motion of Senator Kohl-Welles, the rules were suspended, Second Substitute House Bill No. 1140, as amended by the Senate under suspension of the rules, 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 Second Substitute House Bill No. 1140, as amended by the Senate under suspension of the rules.
ROLL CALL
The Secretary called the roll on the final passage of Second Substitute House Bill No. 1140, as amended by the Senate under suspension of the rules, and the bill passed the Senate by the following vote: Yeas, 43; Nays, 1; Absent, 0; Excused, 5.
Voting yea: Senators Bauer, Benton, Costa, Deccio, Eide, Fairley, Finkbeiner, Franklin, Fraser, Gardner, Goings, Hale, Hargrove, Haugen, Heavey, Honeyford, Horn, Johnson, Kline, Kohl-Welles, Long, McAuliffe, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sellar, Sheahan, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Stevens, Thibaudeau, West, Winsley, Wojahn and Zarelli - 43.
Voting nay: Senator Jacobsen - 1.
Excused: Senators Brown, Hochstatter, Loveland, McDonald and Swecker - 5.
SECOND SUBSTITUTE HOUSE BILL NO. 1140, as amended by the Senate under suspension of the rules, 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.
MESSAGE FROM THE HOUSE
April 17, 1999
MR. PRESIDENT:
The Co-Speaker ruled the Senate amendment(s) to SUBSTITUTE HOUSE BILL NO. 1222 beyond the scope and object of the bill. The House refuses to concur in said amendment(s) and asks the Senate to recede therefrom, and the same are herewith transmitted.
TIMOTHY A. MARTIN, Co-Chief Clerk
DEAN R. FOSTER, Co-Chief Clerk
MOTION
On motion of Senator Bauer, the Senate receded from the Senate amendment(s) to Substitute House Bill No. 1222.
MOTIONS
On motion of Senator Bauer, the rules were suspended, Substitute House Bill No. 1222 was returned to second reading and read the second time.
On motion of Senator Bauer, the following striking amendment by Senators Bauer and Rossi was adopted:
Strike everything after the enacting clause and insert the following:
"NEW SECTION. Sec. 1. A new section is added to chapter 43.63A RCW to read as follows:
(1) A competitive grant program to assist nonprofit organizations in acquiring, constructing, or rehabilitating performing arts, art museums, and cultural facilities is created.
(2)(a) The department shall submit a list of recommended performing arts, art museum projects, and cultural organization projects eligible for funding to the governor and the legislature in the department's biennial capital budget request beginning with the 2001-2003 biennium and thereafter. The list, in priority order, shall include a description of each project, the amount of recommended state funding, and documentation of nonstate funds to be used for the project. The total amount of recommended state funding for projects on a biennial project list shall not exceed four million dollars. The department may provide an additional alternate project list which shall not exceed five hundred thousand dollars.
(b) The department shall establish a competitive process to prioritize applications for state assistance as follows:
(i) The department shall conduct a state-wide solicitation of project applications from nonprofit organizations, local governments, and other entities, as determined by the department. The department shall evaluate and rank applications in consultation with a citizen advisory committee, including a representative from the state arts commission, using objective criteria. The evaluation and ranking process shall also consider local community support for projects and an examination of existing assets that applicants may apply to projects.
(ii) The department may establish the amount of state grant assistance for individual project applications but the amount shall not exceed twenty percent of the estimated total capital cost or actual cost of a project, whichever is less. The remaining portions of the project capital cost shall be a match from nonstate sources. The nonstate match may include cash, the value of real property when acquired solely for the purpose of the project, and in-kind contributions. The department is authorized to set matching requirements for individual projects. State assistance may be used to fund separate definable phases of a project if the project demonstrates adequate progress and has secured the necessary match funding.
(iii) The department shall not sign contracts or otherwise financially obligate funds under this section until the legislature has approved a specific list of projects. In contracts for grants authorized under this section, the department shall include provisions requiring that capital improvements be held by the grantee for a specified period of time appropriate to the amount of the grant and that facilities be used for the express purpose of the grant. If the grantee is found to be out of compliance with provisions of the contract, the grantee shall repay to the state general fund the principal amount of the grant plus interest calculated at the rate of interest on state of Washington general obligation bonds issued most closely to the date of authorization of the grant.
Sec. 2. RCW 27.34.330 and 1995 c 182 s 2 are each amended to read as follows:
The Washington state historical society shall establish a competitive process to solicit proposals for and prioritize heritage capital projects for potential funding in the state capital budget. The society shall adopt rules governing project eligibility and evaluation criteria. Application for funding of specific projects may be made to the society by local governments, public development authorities, nonprofit corporations, tribal governments, and other entities, as determined by the society. The society, with the advice of leaders in the heritage field, including but not limited to representatives from the office of the secretary of state, the eastern Washington state historical society, and the state office of archaeology and historic preservation, shall establish and submit a prioritized list of heritage capital projects to ((be recommended to the governor and the legislature by September 1st of each even-numbered year, beginning in 1996. The prioritized list shall be developed through open and public meetings. The governor and the legislature shall consider the prioritized list of heritage projects as a guide for appropriating funds to heritage capital projects beginning with the 1997-99 biennium and thereafter)) the governor and the legislature in the society's biennial capital budget request. The list shall include a description of each project, the amount of recommended state funding, and documentation of nonstate funds to be used for the project. The total amount of recommended state funding for projects on a biennial project list shall not exceed four million dollars. The department may provide an additional alternate project list which shall not exceed five hundred thousand dollars. The prioritized list shall be developed through open and public meetings and the amount of state funding shall not exceed thirty-three percent of the total cost of the project. The nonstate portion of the total project cost may include cash, the value of real property when acquired solely for the purpose of the project, and in-kind contributions. The department shall not sign contracts or otherwise financially obligate funds under this section until the legislature has approved a specific list of projects. In contracts for grants authorized under this section, the society shall include provisions requiring that capital improvements be held by the grantee for a specified period of time appropriate to the amount of the grant and that facilities be used for the express purpose of the grant. If the grantee is found to be out of compliance with provisions of the contract, the grantee shall repay to the state general fund the principal amount of the grant plus interest calculated at the rate of interest on state of Washington general obligation bonds issued most closely to the date of authorization of the grant.
Sec. 3. RCW 43.63A.125 and 1997 c 374 s 2 are each amended to read as follows:
((If the legislature provides an appropriation to)) (1) The department shall establish a competitive process to solicit proposals for and prioritize projects that assist nonprofit organizations in acquiring, constructing, or rehabilitating facilities used for the delivery of nonresidential social services((, the legislature may direct the department of community, trade, and economic development to)).
(2) The department shall establish a competitive process to prioritize applications for the assistance as follows:
(((1))) (a) The department shall conduct a state-wide solicitation of project applications from local governments, nonprofit organizations, and other entities, as determined by the department. The department shall evaluate and rank applications in consultation with a citizen advisory committee using objective criteria. At a minimum, applicants must demonstrate that the requested assistance will increase the efficiency or quality of the social services it provides to citizens. The evaluation and ranking process shall also include an examination of existing assets that applicants may apply to projects. Grant assistance under this section shall not exceed twenty-five percent of the total cost of the project. The nonstate portion of the total project cost may include((, but is not limited to, land, facilities)) cash, the value of real property when acquired solely for the purpose of the project, and in-kind contributions.
(((2))) (b) The department shall submit a prioritized list of recommended projects to the ((legislature by November 1st following the effective date of the appropriation)) governor and the legislature in the department's biennial capital budget request beginning with the 2001-2003 biennium and thereafter. For the 1999-2001 biennium, the department shall conduct a solicitation and ranking process, as described in (a) of this subsection, for projects to be funded by appropriations provided for this program in the 1999-2001 capital budget. The list shall include a description of each project, the amount of recommended state funding, and documentation of nonstate funds to be used for the project. The total amount of recommended state funding for projects on a biennial project list shall not exceed four million dollars. The department may provide an additional alternate project list which shall not exceed five hundred thousand dollars. Except for the 1999-2001 biennium, the department shall not sign contracts or otherwise financially obligate funds under this section until the legislature has approved a specific list of projects.
(((3))) (c) In contracts for grants authorized under this section the department shall include provisions which require that capital improvements shall be held by the grantee for a specified period of time appropriate to the amount of the grant and that facilities shall be used for the express purpose of the grant. If the grantee is found to be out of compliance with provisions of the contract, the grantee shall repay to the state general fund the principal amount of the grant plus interest calculated at the rate of interest on state of Washington general obligation bonds issued most closely to the date of authorization of the grant.
(((4) The department shall develop model contract provisions for compliance with subsection (3) of this section and shall distribute its recommendations to the appropriate legislative committees, the office of financial management, and to all state agencies which provide capital grants to nonstate entities.))
NEW SECTION. Sec. 4. Section 1 of this act, RCW 27.34.330, and 43.63A.125 shall expire June 30, 2007."
MOTION
On motion of Senator Bauer, the following title amendment was adopted:
On page 1, line 2 of the title, after "organizations;" strike the remainder of the title and insert "amending RCW 27.34.330 and 43.63A.125; adding a new section to chapter 43.63A RCW; and providing an expiration date."
On motion of Senator Bauer, the rules were suspended, Substitute House Bill No. 1222, as amended by the Senate under suspension of the rules, 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 Substitute House Bill No. 1222, as amended by the Senate under suspension of the rules.
ROLL CALL
The Secretary called the roll on the final passage of Substitute House Bill No. 1222, as amended by the Senate under suspension of the rules, and the bill passed the Senate by the following vote: Yeas, 37; Nays, 10; Absent, 0; Excused, 2.
Voting yea: Senators Bauer, Benton, Brown, Costa, Deccio, Eide, Fairley, Finkbeiner, Franklin, Fraser, Gardner, Goings, Hale, Hargrove, Haugen, Heavey, Jacobsen, Kline, Kohl-Welles, Long, Loveland, McAuliffe, Patterson, Prentice, Rasmussen, Rossi, Sellar, Sheahan, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Thibaudeau, West, Winsley and Wojahn - 37.
Voting nay: Senators Hochstatter, Honeyford, Horn, Johnson, McCaslin, Morton, Oke, Roach, Stevens and Zarelli - 10.
Excused: Senators McDonald and Swecker - 2.
SUBSTITUTE HOUSE BILL NO. 1222, as amended by the Senate under suspension of the rules, 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.
MESSAGE FROM THE HOUSE
April 9, 1999
MR. PRESIDENT:
The House has passed ENGROSSED SENATE BILL NO. 5720 with the following amendment(s):
Strike everything after the enacting clause and insert the following:
"NEW SECTION. Sec. 1. A new section is added to chapter 18.85 RCW to read as follows:
(1) A fee of ten dollars is created and shall be assessed on each real estate broker, associate broker, and salesperson originally licensed after October 1, 1999, and upon each renewal of a license with an expiration date after October 1, 1999, including renewals of inactive licenses.
(2) This section expires September 30, 2005.
NEW SECTION. Sec. 2. A new section is added to chapter 18.85 RCW to read as follows:
(1) The Washington real estate research account is created in the state treasury. All receipts from the fee under section 1 of this act shall be deposited into the account. Moneys in the account may be spent only after appropriation. Expenditures from the account may be used only for the purposes of section 3 of this act.
(2) This section expires September 30, 2005.
NEW SECTION. Sec. 3. A new section is added to chapter 18.85 RCW to read as follows:
(1) The purpose of a real estate research center in Washington state is to provide credible research, value-added information, education services, and project-oriented research to real estate licensees, real estate consumers, real estate service providers, institutional customers, public agencies, and communities in Washington state and the Pacific Northwest region. The center may:
(a) Conduct studies and research on affordable housing and strategies to meet the affordable housing needs of the state;
(b) Conduct studies in all areas directly or indirectly related to real estate and urban or rural economics and economically isolated communities;
(c) Disseminate findings and results of real estate research conducted at or by the center or elsewhere, using a variety of dissemination media;
(d) Supply research results and educational expertise to the Washington state real estate commission to support its regulatory functions, as requested;
(e) Prepare information of interest to real estate consumers and make the information available to the general public, universities, or colleges, and appropriate state agencies;
(f) Encourage economic growth and development within the state of Washington;
(g) Support the professional development and continuing education of real estate licensees in Washington; and
(h) Study and recommend changes in state statutes relating to real estate.
(2) The director shall establish a memorandum of understanding with an institution of higher learning that establishes a real estate research center for the purposes under subsection (1) of this section.
(3) This section expires September 30, 2005."
Correct the title., and the same are herewith transmitted.
DEAN R. FOSTER, Co-Chief Clerk
TIMOTHY A. MARTIN, Co-Chief Clerk
MOTION
Senator Shin moved that the Senate concur in the House amendment to Engrossed Senate Bill No. 5720.
Debate ensued.
The President declared the question before the Senate to be the motion by Senator Shin that the Senate concur in the House amendment to Engrossed Senate Bill No. 5720.
The motion by Senator Shin carried and the Senate concurred in the House amendment to Engrossed Senate Bill No. 5720.
The President declared the question before the Senate to be the roll call on the final passage of Engrossed Senate Bill No. 5720, as amended by the House.
ROLL CALL
The Secretary called the roll on the final passage of Engrossed Senate Bill No. 5720, as amended by the House, and the bill passed the Senate by the following vote: Yeas, 43; Nays, 4; Absent, 0; Excused, 2.
Voting yea: Senators Bauer, Brown, Costa, Eide, Fairley, Finkbeiner, Franklin, Fraser, Gardner, Goings, Hale, Hargrove, Haugen, Heavey, Hochstatter, Honeyford, Horn, Jacobsen, Johnson, Kline, Kohl-Welles, Long, Loveland, McAuliffe, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sellar, Sheahan, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Stevens, Thibaudeau, West, Winsley and Wojahn - 43. Voting nay: Senators Benton, Deccio, McCaslin and Zarelli - 4. Excused: Senators McDonald and Swecker - 2. ENGROSSED SENATE BILL NO. 5720, as amended by the House, 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.
MESSAGE FROM THE HOUSE
April 21, 1999
MR. PRESIDENT:
The House concurred in the Senate amendment(s) to the following bills and passed the bills as amended by the Senate.
SUBSTITUTE HOUSE BILL NO. 1024,
SUBSTITUTE HOUSE BILL NO. 1163,
HOUSE BILL NO. 1442,
SUBSTITUTE HOUSE BILL NO. 1569.
DEAN R. FOSTER, Co-Chief Clerk
TIMOTHY A. MARTIN, Co-Chief Clerk
MESSAGE FROM THE HOUSE
April 8, 1999
MR. PRESIDENT:
The House has passed SUBSTITUTE SENATE BILL NO. 5728 with the following amendment(s):
On page 3, beginning on line 14, strike everything through “detainer.” on line 20, and the same are herewith transmitted.
TIMOTHY A. MARTIN, Chief Clerk
DEAN R. FOSTER, Chief Clerk
MOTION
On motion of Senator Patterson, the Senate concurred in the House amendment to Substitute Senate Bill No. 5728.
The President declared the question before the Senate to be the roll call on the final passage of Substitute Senate Bill No. 5728, as amended by the House.
ROLL CALL
The Secretary called the roll on the final passage of Substitute Senate Bill No. 5728, as amended by the House, and the bill passed the Senate by the following vote: Yeas, 47; Nays, 0; Absent, 0; Excused, 2.
Voting yea: Senators Bauer, Benton, Brown, Costa, Deccio, Eide, Fairley, Finkbeiner, Franklin, Fraser, Gardner, Goings, Hale, Hargrove, Haugen, Heavey, Hochstatter, Honeyford, Horn, Jacobsen, Johnson, Kline, Kohl-Welles, Long, Loveland, McAuliffe, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sellar, Sheahan, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Stevens, Thibaudeau, West, Winsley, Wojahn and Zarelli - 47. Excused: Senators McDonald and Swecker - 2. SUBSTITUTE SENATE BILL NO. 5728, as amended by the House, 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.
MESSAGE FROM THE HOUSE
April 6, 1999
MR. PRESIDENT:
The House has passed SENATE BILL NO. 5731 with the following amendment(s):
On page 3, at the beginning of line 27, strike all of subsection (6)(e), and the same are herewith transmitted.
TIMOTHY A. MARTIN, Chief Clerk
DEAN R. FOSTER, Chief Clerk
MOTION
On motion of Senator Patterson, the Senate concurred in the House amendment to Senate Bill No. 5731.
The President declared the question before the Senate to be the roll call on the final passage of Senate Bill No. 5731, as amended by the House.
ROLL CALL
The Secretary called the roll on the final passage of Senate Bill No. 5731, as amended by the House, and the bill passed the Senate by the following vote: Yeas, 40; Nays, 7; Absent, 0; Excused, 2.
Voting yea: Senators Bauer, Brown, Costa, Eide, Fairley, Finkbeiner, Franklin, Fraser, Gardner, Goings, Hale, Hargrove, Haugen, Honeyford, Horn, Jacobsen, Kline, Kohl-Welles, Long, Loveland, McAuliffe, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Rossi, Sellar, Sheahan, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Thibaudeau, West, Winsley, Wojahn and Zarelli - 40.
Voting nay: Senators Benton, Deccio, Heavey, Hochstatter, Johnson, Roach and Stevens - 7.
Excused: Senators McDonald and Swecker - 2. SENATE BILL NO. 5731, as amended by the House, 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.
MESSAGE FROM THE HOUSE
April 8, 1999
MR. PRESIDENT:
The House has passed ENGROSSED SUBSTITUTE SENATE BILL NO. 5803 with the following amendment(s):
Strike everything after the enacting clause and insert the following:
"NEW SECTION. Sec. 1. The legislature finds that a number of issues have arisen in regard to the dairy nutrient management program that have not been settled without direct legislative involvement. The legislature finds that continued cooperation is needed to resolve issues relating to the dairy nutrient management program.
The legislature intends to further the goal of establishing a reasonable and effective program that provides clear and consistent expectations. The legislature finds that retention of productive dairy farms and maintaining the quality of state waters are of utmost importance to the state.
NEW SECTION. Sec. 2. By January 30, 2000, the department of ecology shall publish and send an informational guide to all registered dairy farms in the state that explains the expectations of the department when conducting an inspection. The guide shall be titled "How to Survive a Dairy Nutrient Inspection."
NEW SECTION. Sec. 3. (1) A dairy nutrient management task force is created. The task force shall be comprised of eleven members, who are appointed as follows:
(a) Two members of the house of representatives, one from each major caucus, appointed by the co-speakers of the house of representatives;
(b) Two members of the senate, one from each major caucus, appointed by the president of the senate;
(c) A representative of the department of ecology, appointed by the director of ecology;
(d) A representative of the state conservation commission, appointed by its executive secretary;
(e) A representative of local conservation districts, appointed by the president of a state-wide association of conservation districts;
(f) Three active dairy farmers, appointed by a state-wide organization representing dairy farmers in the state, who shall be from different regions and different sizes of dairy operations; and
(g) A representative of an environmental interest organization with familiarity and expertise in water quality issues, appointed by agreement of the co-speakers of the house of representatives and the president of the senate.
(2) The task force shall conduct a review of the dairy nutrient management program administered by the department of ecology, the conservation commission, and local conservation districts. The task force shall include but not be limited to examination of the following topics:
(a) Compliance with the deadlines established in chapter 262, Laws of 1998, for the development, implementation, and approval of dairy nutrient management plans, or deadlines established under other state water quality laws;
(b) Better assurance of consistency in interpretations between staff that conduct inspections, and between inspectors and staff that design and approve dairy nutrient management plans;
(c) What constitutes waters of the state for purposes of the dairy nutrient management program;
(d) Clarification of what constitutes a violation, including a review of the federal environmental protection agency guidance manual, and whether there must be an actual discharge and/or exceedance of state water quality standards;
(e) Clarification as to the circumstances under which dairy operations are responsible to control flood waters arising from outside of the dairy operation to prevent mixing with dairy nutrients including flood waters that arise during major flood events;
(f) Clarification of the criteria applicable to dairy operations as to what constitutes a potential to pollute under RCW 90.48.120;
(g) A review of materials provided by state agencies to dairy farmers regarding dairy nutrient management inspections;
(h) Review changes in any standards utilized in the development and approval of dairy nutrient management plans; and
(i) The adequacy of funding to implement the dairy nutrient management program.
(3) By December 10, 1999, the task force shall:
(a) Provide recommendations to the department of ecology, to the conservation commission, and to local conservation districts for improvements in the implementation of the dairy nutrient management program; and
(b) Provide recommendations to the legislature on statutory changes to clarify and improve the operation of various facets of the program.
(4) The task force shall convene as soon as possible upon appointment of its members. The task force shall elect a chair and adopt rules for conducting the business of the task force. Staff support for the task force shall be provided by the department of ecology.
(5) This section expires December 31, 1999."
Correct the title., and the same are herewith transmitted.
DEAN R. FOSTER, Chief Clerk
TIMOTHY A. MARTIN, Chief Clerk
MOTION
On motion of Senator Rasmussen, the Senate concurred in the House amendment to Engrossed Substitute Senate Bill No. 5803.
The President declared the question before the Senate to be the roll call on the final passage of Engrossed Substitute Senate Bill No. 5803, as amended by the House.
ROLL CALL
The Secretary called the roll on the final passage of Engrossed Substitute Senate Bill No. 5803, as amended by the House, and the bill passed the Senate by the following vote: Yeas, 47; Nays, 0; Absent, 0; Excused, 2.
Voting yea: Senators Bauer, Benton, Brown, Costa, Deccio, Eide, Fairley, Finkbeiner, Franklin, Fraser, Gardner, Goings, Hale, Hargrove, Haugen, Heavey, Hochstatter, Honeyford, Horn, Jacobsen, Johnson, Kline, Kohl-Welles, Long, Loveland, McAuliffe, McCaslin, Morton, Oke, Patterson, Prentice, Rasmussen, Roach, Rossi, Sellar, Sheahan, Sheldon, B., Sheldon, T., Shin, Snyder, Spanel, Stevens, Thibaudeau, West, Winsley, Wojahn and Zarelli - 47.
Excused: Senators McDonald and Swecker - 2.
ENGROSSED SUBSTITUTE SENATE BILL NO. 5803, as amended by the House, 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 5:22 p.m., on motion of Senator Betti Sheldon, the Senate adjourned until 9:00 a.m., Thursday, April 22, 1999.
BRAD OWEN, President of the Senate
TONY M. COOK, Secretary of the Senate