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FORTY-FIFTH DAY

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MORNING SESSION

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Senate Chamber, Olympia, Wednesday, February 25, 2004

      The Senate was called to order at 10:00 a.m. by President Owen. The Secretary called the roll and announced to the President that all Senators were present.

      The Sergeant at Arms Color Guard consisting of Pages Joey Jensen and Dylan Sundstrom presented the Colors. Rabbi Seth Goldstein, of the Temple Beth Hatfiloh, offered the prayer.


MOTION


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


MOTION


      There being no objection, the Senate advanced to the first order of business.


REPORTS OF STANDING COMMITTEES


February 23, 2004

SSB 5319           Prime Sponsor, Committee on Economic Development: Authorizing sales and use tax exemptions for call centers. Revised for 1st Substitute: Providing tax incentives for the construction and maintenance of call centers in distressed areas. Revised for 2nd Substitute: Providing tax incentives for call centers in rural areas of the state. Reported by Committee on Ways & Means

 

MAJORITY recommendation: That Third Substitute Senate Bill No. 5319 be substituted therefor, and the third substitute bill do pass. Signed by Senators Zarelli, Chair; Parlette, Vice Chair; Hewitt, Vice Chair, Capital Budget Chair; Carlson, Doumit, Fraser, Hale, Honeyford, Johnson, Pflug, Prentice, Rasmussen, Roach, Sheahan, B. Sheldon and Winsley.


      Passed to Committee on Rules for second reading.


February 23, 2004

SSB 5423           Prime Sponsor, Committee on Ways & Means: Modifying the taxation of physical fitness services. Reported by Committee on Ways & Means

 

MAJORITY recommendation: Do pass. Signed by Senators Zarelli, Chair; Parlette, Vice Chair; Hewitt, Vice Chair, Capital Budget Chair; Doumit, Hale, Honeyford, Johnson, Pflug, Prentice, Rasmussen, Roach, Sheahan, B. Sheldon and Winsley.


      Passed to Committee on Rules for second reading.


February 23, 2004

SB 6132             Prime Sponsor, Morton: Providing tax incentives for solar energy systems. Reported by Committee on Ways & Means

 

MAJORITY recommendation: That Substitute Senate Bill No. 6132 as recommended by Committee on Natural Resources, Energy & Water be substituted therefor, and the substitute bill do pass. Signed by Senators Zarelli, Chair; Parlette, Vice Chair; Hewitt, Vice Chair, Capital Budget Chair; Carlson, Doumit, Fairley, Fraser, Hale, Honeyford, Johnson, Pflug, Prentice, Rasmussen, Regala, Roach, Sheahan, B. Sheldon and Winsley.


      Passed to Committee on Rules for second reading.


February 23, 2004

SB 6157             Prime Sponsor, T. Sheldon: Exempting from the state public utility tax the sales of electricity to an electrolytic processing business. Reported by Committee on Ways & Means

 

MAJORITY recommendation: That Substitute Senate Bill No. 6157 be substituted therefor, and the substitute bill do pass. Signed by Senators Zarelli, Chair; Parlette, Vice Chair; Hewitt, Vice Chair, Capital Budget Chair; Carlson, Doumit, Hale, Honeyford, Johnson, Pflug, Prentice, Regala, Roach, Sheahan, B. Sheldon and Winsley.


      Passed to Committee on Rules for second reading.


February 24, 2004

SB 6187             Prime Sponsor, Zarelli: Making supplemental operating appropriations. Reported by Committee on Ways & Means

 

MAJORITY recommendation: That Substitute Senate Bill No. 6187 be substituted therefor, and the substitute bill do pass. Signed by Senators Zarelli, Chair; Parlette, Vice Chair; Hewitt, Vice Chair, Capital Budget Chair; Carlson, Hale, Honeyford, Johnson, Pflug, Roach, Sheahan and Winsley.

 

MINORITY recommendation: Do not pass. Signed by Senators Doumit, Fairley, Fraser, Prentice and Regala.


      Passed to Committee on Rules for second reading.


February 23, 2004

SB 6226             Prime Sponsor, Roach: Relating to providing an alternative primary system. Reported by Committee on Ways & Means

 

MAJORITY recommendation: That it be referred without recommendation. Signed by Senators Zarelli, Chair; Parlette, Vice Chair; Hewitt, Vice Chair, Capital Budget Chair; Carlson, Fairley, Fraser, Hale, Honeyford, Johnson, Pflug, Roach and Winsley.


      Passed to Committee on Rules for second reading.


February 23, 2004

SSB 6243           Prime Sponsor, Haugen: Creating the department of archaeology and historic preservation. Reported by Committee on Ways & Means

 

MAJORITY recommendation: That Substitute Senate Bill No. 6243 as recommended by Committee on Government Operations & Elections be substituted therefor, and the substitute bill do pass. Signed by Senators Zarelli, Chair; Parlette, Vice Chair; Hewitt, Vice Chair, Capital Budget Chair; Carlson, Doumit, Fairley, Fraser, Hale, Honeyford, Johnson, Pflug, Prentice, Rasmussen, Roach, Sheahan, B. Sheldon and Winsley.


      Passed to Committee on Rules for second reading.


February 23, 2004

SSB 6304           Prime Sponsor, Brandland: Providing tax relief for aluminum smelters. Reported by Committee on Ways & Means

 

MAJORITY recommendation: That Second Substitute Senate Bill No. 6304 be substituted therefor, and the second substitute bill do pass. Signed by Senators Zarelli, Chair; Parlette, Vice Chair; Hewitt, Vice Chair, Capital Budget Chair; Carlson, Doumit, Fairley, Fraser, Hale, Honeyford, Johnson, Pflug, Prentice, Rasmussen, Regala, Roach, Sheahan, B. Sheldon and Winsley.


      Passed to Committee on Rules for second reading.


February 23, 2004

SSB 6411           Prime Sponsor, Brandland: Reducing hunger. Reported by Committee on Ways & Means

 

MAJORITY recommendation: That Substitute Senate Bill No. 6411 as recommended by Committee on Children & Family Services & Corrections be substituted therefor, and the substitute bill do pass. Signed by Senators Zarelli, Chair; Parlette, Vice Chair; Hewitt, Vice Chair, Capital Budget Chair; Carlson, Doumit, Fairley, Fraser, Hale, Honeyford, Johnson, Pflug, Prentice, Rasmussen, Regala, Roach, B. Sheldon and Winsley.


      Passed to Committee on Rules for second reading.


February 23, 2004

SB 6424             Prime Sponsor, Hewitt: Clarifying the taxation of staffing services. Reported by Committee on Ways & Means

 

MAJORITY recommendation: That Substitute Senate Bill No. 6424 be substituted therefor, and the substitute bill do pass. Signed by Senators Zarelli, Chair; Parlette, Vice Chair; Hewitt, Vice Chair, Capital Budget Chair; Carlson, Doumit, Hale, Honeyford, Johnson, Pflug, Prentice, Rasmussen, Regala, Roach, Sheahan, B. Sheldon and Winsley.


      Passed to Committee on Rules for second reading.


February 23, 2004

SSB 6453           Prime Sponsor, Roach: Enacting a modified blanket primary. Revised for 1st Substitute: Enacting the Qualifying Primary Act. Reported by Committee on Ways & Means

 

MAJORITY recommendation: That it be referred without recommendation. Signed by Senators Zarelli, Chair; Parlette, Vice Chair; Hewitt, Vice Chair, Capital Budget Chair; Carlson, Fairley, Hale, Honeyford, Johnson, Rasmussen, Roach and Winsley.


      Passed to Committee on Rules for second reading.


February 23, 2004

SB 6490             Prime Sponsor, Zarelli: Exempting fuel cells from sales and use taxes. Reported by Committee on Ways & Means

 

MAJORITY recommendation: Do pass. Signed by Senators Zarelli, Chair; Parlette, Vice Chair; Hewitt, Vice Chair, Capital Budget Chair; Carlson, Doumit, Fairley, Fraser, Hale, Honeyford, Johnson, Pflug, Prentice, Rasmussen, Regala, Roach, Sheahan, B. Sheldon and Winsley.


      Passed to Committee on Rules for second reading.


February 23, 2004

SB 6515             Prime Sponsor, Zarelli: Correcting errors in and omissions from chapter 168, Laws of 2003, which implemented portions of the streamlined sales and use tax agreement. Reported by Committee on Ways & Means

 

MAJORITY recommendation: That Substitute Senate Bill No. 6515 be substituted therefor, and the substitute bill do pass. Signed by Senators Zarelli, Chair; Parlette, Vice Chair; Hewitt, Vice Chair, Capital Budget Chair; Carlson, Doumit, Fairley, Fraser, Hale, Honeyford, Johnson, Pflug, Prentice, Rasmussen, Roach, Sheahan, B. Sheldon and Winsley.


      Passed to Committee on Rules for second reading.


February 23, 2004

SB 6544             Prime Sponsor, Winsley: Conforming Washington's tax structure to portions of the streamlined sales and use tax agreement not implemented by chapter 168, Laws of 2003. Reported by Committee on Ways & Means

 

MAJORITY recommendation: That Substitute Senate Bill No. 6544 be substituted therefor, and the substitute bill do pass. Signed by Senators Zarelli, Chair; Parlette, Vice Chair; Hewitt, Vice Chair, Capital Budget Chair; Carlson, Doumit, Fairley, Hale, Honeyford, Johnson, Pflug, Prentice, Rasmussen, Roach and Sheahan.

 

MINORITY recommendation: Do not pass. Signed by Senator Regala.


      Passed to Committee on Rules for second reading.


February 23, 2004

SB 6660             Prime Sponsor, Hewitt: Allowing light and power businesses to qualify for the manufacturing machinery and equipment sales and use tax exemption. Revised for 1st Substitute: Providing sales and use tax exemptions for light and power businesses. Reported by Committee on Ways & Means

 

MAJORITY recommendation: That Substitute Senate Bill No. 6660 be substituted therefor, and the substitute bill do pass. Signed by Senators Zarelli, Chair; Parlette, Vice Chair; Hewitt, Vice Chair, Capital Budget Chair; Carlson, Doumit, Hale, Honeyford, Johnson, Pflug, Prentice, Rasmussen, Roach, Sheahan, B. Sheldon and Winsley.


      Passed to Committee on Rules for second reading.


February 23, 2004

SB 6665             Prime Sponsor, Hewitt: Modifying the excise taxation of fruit and vegetable processing and storage. Reported by Committee on Ways & Means

 

MAJORITY recommendation: That Substitute Senate Bill No. 6665 be substituted therefor, and the substitute bill do pass. Signed by Senators Zarelli, Chair; Parlette, Vice Chair; Hewitt, Vice Chair, Capital Budget Chair; Carlson, Doumit, Hale, Honeyford, Johnson, Pflug, Prentice, Rasmussen, Roach, Sheahan, B. Sheldon and Winsley.


      Passed to Committee on Rules for second reading.


February 23, 2004

SB 6689             Prime Sponsor, Hewitt: Providing financial assistance to counties. Reported by Committee on Ways & Means

 

MAJORITY recommendation: That Substitute Senate Bill No. 6689 be substituted therefor, and the substitute bill do pass. Signed by Senators Zarelli, Chair; Parlette, Vice Chair; Hewitt, Vice Chair, Capital Budget Chair; Carlson, Doumit, Fairley, Fraser, Hale, Honeyford, Johnson, Pflug, Prentice, Rasmussen, Roach, Sheahan, B. Sheldon and Winsley.


      Passed to Committee on Rules for second reading.


February 23, 2004

SB 6696             Prime Sponsor, McCaslin: Providing tax deductions and exemptions for postage costs. Reported by Committee on Ways & Means

 

MAJORITY recommendation: That Substitute Senate Bill No. 6696 be substituted therefor, and the substitute bill do pass. Signed by Senators Zarelli, Chair; Parlette, Vice Chair; Hewitt, Vice Chair, Capital Budget Chair; Carlson, Doumit, Fairley, Fraser, Hale, Honeyford, Johnson, Pflug, Prentice, Rasmussen, Regala, Roach, Sheahan, B. Sheldon and Winsley.


      Passed to Committee on Rules for second reading.


February 24, 2004

2SHB 1230        Prime Sponsor, Committee on Fin Inst/Ins: Regulating insurable interests and employer-owned life and disability insurance. Reported by Committee on Financial Services, Insurance & Housing


      MAJORITY recommendation: Do pass. Signed by Senators Benton, Chair; Winsley, Vice Chair; Keiser, Murray, Prentice and Roach.


      Passed to Committee on Rules for second reading.


February 24, 2004

ESHB 1741        Prime Sponsor, Committee on Local Government: Prohibiting discrimination against consumers' choices in housing. Reported by Committee on Financial Services, Insurance & Housing

 

MAJORITY recommendation: Do pass. Signed by Senators Benton, Chair; Winsley, Vice Chair; Berkey, Keiser, Murray, Prentice and Roach.


      Passed to Committee on Rules for second reading.


February 24, 2004

2SHB 1828        Prime Sponsor, Committee on Approp: Requiring that insurance coverage for mental health services be at parity with medical and surgical services. Reported by Committee on Health & Long-Term Care


      MAJORITY recommendation: That it be referred without recommendation. Signed by Senators Deccio, Chair; Winsley, Vice Chair; Brandland, Franklin, Keiser, Parlette and Thibaudeau.


      Passed to Committee on Ways & Means.


February 24, 2004

ESHB 1872        Prime Sponsor, Committee on Fin Inst/Ins: Providing for linked deposit loans for assistive technology. Reported by Committee on Financial Services, Insurance & Housing

 

MAJORITY recommendation: Do pass. Signed by Senators Benton, Chair; Winsley, Vice Chair; Berkey, Keiser, Murray, Prentice and Roach.


      Passed to Committee on Ways & Means.


February 24, 2004

SHB 2298          Prime Sponsor, Committee on Agriculture & Natural Resources: Preventing the spread of animal diseases. Reported by Committee on Agriculture

 

MAJORITY recommendation: Do pass as amended. Signed by Senators Swecker, Chair; Brandland, Vice Chair; Jacobsen, Rasmussen and Sheahan.


      Passed to Committee on Rules for second reading.


February 24, 2004

SHB 2299          Prime Sponsor, Committee on Agriculture & Natural Resources: Establishing a system of animal identification. Reported by Committee on Agriculture

 

MAJORITY recommendation: Do pass as amended. Signed by Senators Swecker, Chair; Brandland, Vice Chair; Jacobsen, Rasmussen and Sheahan.


      Passed to Committee on Rules for second reading.


February 24, 2004

SHB 2300          Prime Sponsor, Committee on Agriculture & Natural Resources: Applying pesticides. Reported by Committee on Agriculture

 

MAJORITY recommendation: Do pass as amended. Signed by Senators Swecker, Chair; Brandland, Vice Chair; Jacobsen, Rasmussen and Sheahan.


      Passed to Committee on Rules for second reading.


February 24, 2004

EHB 2364          Prime Sponsor, Representative Kagi: Regulating homeowner's insurance. Reported by Committee on Financial Services, Insurance & Housing

 

MAJORITY recommendation: Do pass. Signed by Senators Benton, Chair; Winsley, Vice Chair; Berkey, Keiser, Murray, Prentice and Roach.


      Passed to Committee on Rules for second reading.


February 24, 2004

SHB 2366          Prime Sponsor, Committee on Agriculture & Natural Resources: Promoting Washington state agriculture. Reported by Committee on Agriculture

 

MAJORITY recommendation: Do pass. Signed by Senators Swecker, Chair; Brandland, Vice Chair; Jacobsen, Rasmussen and Sheahan.


      Passed to Committee on Rules for second reading.


February 23, 2004

SHB 2455          Prime Sponsor, Committee on Education (H): Providing for financial literacy. Reported by Committee on Financial Services, Insurance & Housing

 

MAJORITY recommendation: Do pass as amended. Signed by Senators Benton, Chair; Winsley, Vice Chair; Berkey, Keiser, Murray, Prentice and Roach.


      Passed to Committee on Rules for second reading.


February 23, 2004

SHB 2457          Prime Sponsor, Committee on Fin Inst/Ins: Allowing title insurance companies to provide a guarantee covering its agents. Reported by Committee on Financial Services, Insurance & Housing

 

MAJORITY recommendation: Do pass. Signed by Senators Benton, Chair; Winsley, Vice Chair; Berkey, Keiser, Murray, Prentice and Roach.


      Passed to Committee on Rules for second reading.


February 24, 2004

SHB 2618          Prime Sponsor, Committee on Agriculture & Natural Resources: Concerning commodity commissions. Reported by Committee on Agriculture

 

MAJORITY recommendation: Do pass. Signed by Senators Swecker, Chair; Brandland, Vice Chair; Jacobsen, Rasmussen and Sheahan.


      Passed to Committee on Rules for second reading.


February 24, 2004

ESHB 2816        Prime Sponsor, Committee on Fin Inst/Ins: Regulating medical malpractice liability insurance policies. Reported by Committee on Financial Services, Insurance & Housing

 

MAJORITY recommendation: Do pass as amended. Signed by Senators Benton, Chair; Winsley, Vice Chair; Berkey, Keiser, Murray, Prentice and Roach.


      Passed to Committee on Rules for second reading.


February 23, 2004

HB 2817            Prime Sponsor, Representative Hatfield: Regulating insurance investments in limited liability companies formed to develop real property. Reported by Committee on Financial Services, Insurance & Housing

 

MAJORITY recommendation: Do pass. Signed by Senators Benton, Chair; Winsley, Vice Chair; Berkey, Keiser, Murray, Prentice and Roach.


      Passed to Committee on Rules for second reading.


February 24, 2004

HB 2838            Prime Sponsor, Representative Benson: Regulating capital calls by domestic mutual insurers. Reported by Committee on Financial Services, Insurance & Housing

 

MAJORITY recommendation: Do pass. Signed by Senators Benton, Chair; Winsley, Vice Chair; Berkey, Keiser, Murray, Prentice and Roach.


      Passed to Committee on Rules for second reading.


February 23, 2004

ESHB 2933        Prime Sponsor, Committee on Commerce/Lab: Clarifying collective bargaining processes for individual providers. Reported by Committee on Ways & Means

 

MAJORITY recommendation: Do pass as amended. Signed by Senators Zarelli, Chair; Parlette, Vice Chair; Hewitt, Vice Chair, Capital Budget Chair; Carlson, Doumit, Fairley, Fraser, Hale, Johnson, Pflug, Prentice, Rasmussen, Regala, Roach, Sheahan, B. Sheldon and Winsley.


      Passed to Committee on Rules for second reading.


February 24, 2004

HB 2934            Prime Sponsor, Representative Wallace: Limiting homeowners' associations' restrictions on the display of the flag. Reported by Committee on Financial Services, Insurance & Housing

 

MAJORITY recommendation: Do pass as amended. Signed by Senators Benton, Chair; Winsley, Vice Chair; Berkey, Keiser, Murray, Prentice and Roach.


      Passed to Committee on Rules for second reading.


February 24, 2004

EHB 3036          Prime Sponsor, Representative Hunter: Modifying unclaimed property laws for gift certificates. Reported by Committee on Financial Services, Insurance & Housing

 

MAJORITY recommendation: Do pass. Signed by Senators Benton, Chair; Winsley, Vice Chair; Berkey, Keiser, Murray, Prentice and Roach.


      Passed to Committee on Rules for second reading.


MOTION


      On motion of Senator Esser, all measures listed on the Standing Committee report were referred to the committees as designated with the exception of Engrossed Substitute House Bill No. 1872 which was referred to the Committee on Ways & Means.


MOTIONS


      On motion of Senator Esser, the Senate advanced to the sixth order of business.

      On motion of Senator Esser, all measures remaining on the second and third reading calendar after the cut off were referred to the Senate X-Files with the exception of all Gubernatorial Appointments, Second Substitute Senate Bill No. 6017, Engrossed Senate Bill No. 6063, Senate Bill No. 6290, Senate Bill No. 6710 and Senate Concurrent Resolution No. 8419.


MOTION


      At 10:07 a.m., on motion of Senator Esser, the Senate was declared to be at ease.


      The Senate was called to order at 10:51 a.m. by President Owen.


SECOND READING


     ENGROSSED SUBSTITUTE HOUSE BILL NO. 2933, by House Committee on Commerce & Labor (originally sponsored by Representatives Conway, Cody, Benson, Ormsby, O'Brien, Sullivan, Wood and Morrell)

 

Clarifying collective bargaining processes for individual providers.


      The bill was read the second time.


MOTION


      On motion of Senator Zarelli, the rules were suspended, Engrossed Substitute House Bill No. 2933 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      Senators Zarelli, Prentice, Benton and Keiser spoke in favor of passage of the bill.

      The President declared the question before the Senate to be the final passage of Engrossed Substitute House Bill No. 2933.


ROLL CALL


      The Secretary called the roll on the final passage of Engrossed Substitute House Bill No. 2933 and the bill passed the Senate by the following vote: Yeas, 49; Nays, 0; Absent, 0; Excused, 0.

     Voting yea: Senators Benton, Berkey, Brandland, Brown, Carlson, Deccio, Doumit, Eide, Esser, Fairley, Finkbeiner, Franklin, Fraser, Hale, Hargrove, Haugen, Hewitt, Honeyford, Horn, Jacobsen, Johnson, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, McCaslin, Morton, Mulliken, Murray, Oke, Parlette, Pflug, Poulsen, Prentice, Rasmussen, Regala, Roach, Schmidt, Sheahan, Sheldon, B., Sheldon, T., Shin, Spanel, Stevens, Swecker, Thibaudeau, Winsley and Zarelli - 49.

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 2933, having received the constitutional majority, was declared passed. There being no objection, the title of the bill was ordered to stand as the title of the act.


SECOND READING


     SENATE CONCURRENT RESOLUTION NO. 8419, by Senators Franklin, Deccio, Thibaudeau, Keiser, T. Sheldon, McAuliffe and Kohl-Welles

 

Creating a joint select committee on health disparities.


      The resolution was read the second time.


MOTION


      On motion of Senator Franklin, the rules were suspended, Senate Concurrent Resolution No. 8419 was advanced to third reading, the second reading considered the third and the resolution was placed on final passage.

      Senators Franklin and Deccio spoke in favor of passage of the resolution.

      The President declared the question before the Senate to be the final passage of Senate Concurrent Resolution No. 8419.


ROLL CALL


      The Secretary called the roll on the final passage of Senate Concurrent Resolution No. 8419 and the resolution passed the Senate by the following vote: Yeas, 49; Nays, 0; Absent, 0; Excused, 0.

     Voting yea: Senators Benton, Berkey, Brandland, Brown, Carlson, Deccio, Doumit, Eide, Esser, Fairley, Finkbeiner, Franklin, Fraser, Hale, Hargrove, Haugen, Hewitt, Honeyford, Horn, Jacobsen, Johnson, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, McCaslin, Morton, Mulliken, Murray, Oke, Parlette, Pflug, Poulsen, Prentice, Rasmussen, Regala, Roach, Schmidt, Sheahan, Sheldon, B., Sheldon, T., Shin, Spanel, Stevens, Swecker, Thibaudeau, Winsley and Zarelli - 49.

      SENATE CONCURRENT RESOLUTION NO. 8419, having received the constitutional majority, was declared passed.


INTRODUCTION OF SPECIAL GUESTS


      The President welcomed: “I have the honor to introduce a very distinguished and accomplished group of women from Russian that are visiting with us today. They are shadowing Senator Regala, Senator Rasmussen and Senator Fraser.” The distinguished is with Senator Rasmussen; Larisa A. Luk’yanchuk and Interpreter, Marina Aghavelyan who were seated in the gallery.


INTRODUCTION OF SPECIAL GUEST


      The President welcomed and introduced Emily Carlson who was shadowing Senator Sheldon, B. And was seated in the gallery.


PERSONAL PRIVILEGE


      Senator McCaslin: “A point of personal privilege. Thank you, Mr. President. A local historian has asked to me to read this message to all of you present. This Friday, the 27th, marks one-hundred-fifty years the first territorial legislature convened. Convened in makeshift quarters on the second floor of the Parker-Coulter General Store, I’m sure Senator Fraser know where that is. It’s across the street from the current community center. There were twenty-seven elected members; eighteen in the House and nine in the Counsel. Not all were present at the opening. They have been described as ‘rough hewn frontiersmen.’ They came to Olympia on foot, on horseback and by canoe. There average age was twenty-nine. About half the age of this group today and I don’t know how long they lasted. Much of their time was devoted to discussion of roads and mail service. Their total budget was a couple of thousand dollars, just like today. Most revenue was provided by the federal congress.”

      “Of interest, especially to the Democratic caucus, a bill to allow women to vote failed in the House 8-8 vote. We wouldn’t dare do that today. One ‘no’ vote was from a member who would have voted ‘yes’ but for the fact that he was married to an Indian and she would not have been allowed to vote. Mr. President, I would ask that this be spread upon the Journal and I thank you for your courtesy.”


PERSONAL PRIVILEGE


      Senator Deccio: “What Senator McCaslin said is absolutely correct because I was there.”


SECOND READING


     SENATE BILL NO. 6187, by Senators Zarelli, Prentice and Roach; by request of Governor Locke

 

Making supplemental operating appropriations.


MOTIONS


      On motion of Senator Zarelli, Substitute Senate Bill No. 6187 was substituted for Senate Bill No. 6187 and the substitute bill was placed on second reading and read the second time.


MOTION


      Senator Eide moved that the following amendment by Senators Eide and McAuliffe be adopted:

      On page 2, line 34, decrease the general fund–-state appropriation for fiscal year 2005 by $250,000 and adjust the total accordingly.

      On page 3, after line 2, strike all material down through line 17 on page 4.

      On page 23, line 3, increase the general fund–state appropriation for fiscal year 2004 by $38,000 and the general fund–state appropriation for fiscal year 2005 by $400,000 and adjust the total accordingly.

      On page 24, after line 12, insert the following:

      "(4) $38,000 of the general fund--state appropriation for fiscal year 2004 and $400,000 of the general fund--state appropriation for fiscal year 2005 are provided solely for costs associated with the establishment of a joint task force on K-12 finance. The task force will study the current common school finance system and develop alternative funding models for that finance system. Some alternative funding models should be within existing total federal, state, and local capital and operating expenditures for public schools. Some of the alternatives may require new or additional funding. The task force shall consist of the following members: four members from the house of representatives, two from each major caucus, appointed by the speaker of the house of representatives; four members from the senate, two from each major caucus, appointed by the president of the senate; the superintendent of public instruction or the superintendent's designee; and the governor or the governor's designee. The task force shall report findings and recommendations to the legislature by October 1, 2006."

      On page 152, line 32, decrease the general fund–state appropriation for fiscal year 2005 by $180,000 and adjust the total accordingly.

      On page 155, beginning on line 1, strike all material down through line 30 and insert the following:

       "(((e) $25,000 of the general fund--state appropriation for fiscal year 2004 and $25,000 of the general fund--state appropriation for fiscal year 2005 are provided solely for the institute for public policy to conduct the evaluation outlined in Substitute Senate Bill No. 5012 (charter schools). If the bill is not enacted by June 30, 2003, the amounts provided in this subsection shall lapse.))"

      Senators Eide and Brown spoke in favor of adoption of the amendment.

      Senators Zarelli, Carlson and Pflug spoke against adoption of the amendment.

      The President declared the question before the Senate to be the adoption of the amendment by Senators Eide and McAuliffe on page 2, line 34 to Substitute Senate Bill No. 6187.

      The motion by Senator Eide failed and the amendment was not adopted by voice vote.


MOTION


      Senator Kline moved that the following amendment by Senator Kline be adopted:

      On page 15, line 5, increase the general fund-state appropriation for fiscal year 2005 by $3,900,000, and adjust the totals accordingly.

      On page 22, after line 34, insert the following:

"(29) $3,900,000 of the general fund--state appropriation for fiscal year 2005 is provided solely for increased civil legal services for the indigent."

      Senators Kline, Thibaudeau, Brown, Prentice and Kohl-Welles spoke in favor of adoption of the amendment.

      Senators Zarelli, Johnson and Honeyford spoke against adoption of the amendment.

      The President declared the question before the Senate to be the adoption of the amendment by Senator Kline on page 15, line 5 to Substitute Senate Bill No. 6187.

      The motion by Senator Kline failed and the amendment was not adopted by voice vote.


MOTION


      Senator Regala moved that the following amendment by Senator Regala be adopted:

      On page 42, line 32, increase the general fund–state appropriation for fiscal year 2005 by $337,000 and adjust the totals accordingly.

      On page 42, line 34, increase the general fund–federal appropriation by $461,000 and adjust the totals accordingly.

      On page 56, line 36, reduce the general fund–state appropriation for fiscal year 2005 by $951,000 and adjust the totals accordingly.

      On page 57, line 1, reduce the general fund–federal appropriation by $747,000 and adjust the totals accordingly.

      On page 59, line 32, increase the general fund–federal appropriation by $9,332,000 and adjust the totals accordingly.

      On page 60, line 2, increase the health services account–state appropriation by $7,694,000 and adjust the totals accordingly.

      On page 64, after line 38, insert the following:

"(22) The department shall not charge premiums for children's Medicaid coverage. Effective April 2004, the department shall charge $20 per child, and no more than $60 per household, for coverage under the State Children's Health Insurance Program.

      On page 65, line 23, reduce the general fund–state appropriation by $559,000 and adjust the totals accordingly.

      On page 65, line 25, reduce the general fund–federal appropriation by $559,000 and adjust the totals accordingly.

      Senators Regala, Franklin, Thibaudeau and Kohl-Welles spoke in favor of adoption of the amendment.

      Senators Zarelli, Parlette and Deccio spoke against adoption of the amendment.

      Senator Sheldon, B. demanded a roll call and the demand was sustained.

      The President declared the question before the Senate to be the adoption of the amendment by Senator Regala on page 42, line 32 to Substitute Senate Bill No. 6187.


ROLL CALL


      The Secretary called the roll on the amendment by Senator Regala, on page 42, line 32 to Substitute Senate Bill No. 6187 and the amendment was not adopted by the following vote: Yeas, 25; Nays, 24; Absent, 0; Excused, 0.

     Voting yea: Senators Berkey, Brown, Carlson, Doumit, Eide, Fairley, Franklin, Fraser, Hargrove, Haugen, Jacobsen, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, Poulsen, Prentice, Rasmussen, Regala, Sheldon, B., Shin, Spanel, Thibaudeau and Winsley - 25.

     Voting nay: Senators Benton, Brandland, Deccio, Esser, Finkbeiner, Hale, Hewitt, Honeyford, Horn, Johnson, McCaslin, Morton, Mulliken, Murray, Oke, Parlette, Pflug, Roach, Schmidt, Sheahan, Sheldon, T., Stevens, Swecker and Zarelli - 24.


EDITORS NOTE: Pursuant to Senate Rule 53, budget amendments require 60% vote to be adopted.


MOTION


      Senator Prentice moved that the following amendment by Senator Prentice be adopted:

      On page 59, line 30, increase the general fund–state appropriation for fiscal year 2005 by $10,000,000 and adjust the totals accordingly.

      On page 59, line 32, increase the general fund–federal appropriation by $10,000,000 and adjust the totals accordingly.

      On page 64, after line 38, insert the following:

"(22) $10,000,000 of the general fund-state appropriation for fiscal year 2005 and $10,000,000 of the general fund–federal appropriation are provided solely to increase payment rates for labor and delivery services.

      On page 67, line 36, increase the health services account–state appropriation by $5,000,000 and adjust the totals accordingly.

      On page 70, after line 7, insert the following:

"(7) $5,000,000 of the health services account–state appropriation is provided solely to increase grants to community medical and dental clinics.

      Senator Prentice spoke in favor of adoption of the amendment.

      Senator Zarelli spoke against adoption of the amendment.

      The President declared the question before the Senate to be the adoption of the amendment by Senator Prentice on page 59, line 30 to Substitute Senate Bill No. 6187.

      The motion by Senator Prentice failed and the amendment was not adopted by voice vote.


MOTION


      Senator Fraser moved that the following amendment by Senator Fraser be adopted:

      On page 82, line 33, decrease the General Fund appropriation by $50,000 and adjust the totals accordingly.

      On page 83, beginning on line 33, strike all material down to and including line 6 on page 84.

      Senators Fraser, Brown and Kline spoke in favor of adoption of the amendment.

      Senator Sheldon, B. demanded a roll call and the demand was sustained.

      Senators Stevens and Sheldon, T. spoke against adoption of the amendment.

      The President declared the question before the Senate to be the adoption of the amendment by Senator Fraser on page 82, line 33 to Substitute Senate Bill No. 6187.

 

ROLL CALL


      The Secretary called the roll on the amendment by Senator Fraser, on page 82, line 33 to Substitute Senate Bill No. 6187 and the amendment was not adopted by the following vote: Yeas, 23; Nays, 26; Absent, 0; Excused, 0.

     Voting yea: Senators Berkey, Brown, Doumit, Eide, Fairley, Franklin, Fraser, Haugen, Jacobsen, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, Poulsen, Prentice, Rasmussen, Regala, Sheldon, B., Shin, Spanel, Thibaudeau and Winsley - 23.

     Voting nay: Senators Benton, Brandland, Carlson, Deccio, Esser, Finkbeiner, Hale, Hargrove, Hewitt, Honeyford, Horn, Johnson, McCaslin, Morton, Mulliken, Murray, Oke, Parlette, Pflug, Roach, Schmidt, Sheahan, Sheldon, T., Stevens, Swecker and Zarelli - 26.


MOTION


      Senator Fraser moved that the following amendment by Senator Fraser be adopted:

      On page 86, line 36, increase the amount by $277,000,

      On page 89, on line 6, strike all of subsection (9) through line 12, and insert the following:

      (9) $436,000 of the state toxics control account–state appropriation is provided solely to (a) implement the mercury chemical action plan; (b) fund rule making to select future chemicals for action implementation of future chemical action plans.

      Senator Fraser spoke in favor of adoption of the amendment.

      Senators Zarelli and Honeyford spoke against adoption of the amendment.

      The President declared the question before the Senate to be the adoption of the amendment by Senator Fraser on page 86, line 36 to Substitute Senate Bill No. 6187.

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


MOTION


      Senator Honeyford moved that the following amendment by Senator Honeyford be adopted:

      On page 86, line 36, strike the appropriation and insert "$59,506,000".

      0n page 89, on line 6, strike all of subsection (9) through line 12, and insert the following: "(9) $238,000 of the state toxics control account – state appropriation is provided solely to (a) implement the mercury chemical action plan; (b) fund rulemaking to select future chemicals for action plans; and (c) provide ongoing funding for development and implementation of future chemical action plans. Any pesticide with a valid registration on or after the effective date of this act issued by the environmental protection agency under the federal insecticide, fungicide and rodenticide act, 7 U.S.C. 136 et seq, or any fertilizer regulated under the Washington fertilizer act, RCW 15.54, shall not be included in a persistent bioaccumulative toxin rulemaking process, list, or chemical action plan undertaken by the department of ecology."


WITHDRAWAL OF AMENDMENT


      Senator Honeyford moved that the amendment be withdrawn.


MOTION


      Senator Carlson objected to the motion by Senator Honeyford to withdraw the amendment.

      The motion by Senator Honeyford carried and the amendment was withdrawn by voice vote.


MOTION


      Senator Kohl-Welles moved that the following amendment by Senators Kohl-Welles and Benton be adopted:

      On page 106, line 10, increase the general fund–state appropriation for fiscal year 2005 by $44,000 and adjust the total accordingly.

      On page 107, after line 8, insert the following:

      "(f) $44,000 of the general fund--state appropriation for fiscal year 2005 is provided solely to implement Substitute Senate Bill No. 6171 (complaints against school employees) or Second Substitute Senate Bill No. 5533 (disclosure of misconduct). If neither bill is enacted by June 30, 2004, the amount in this subsection shall lapse."

      Senators Kohl-Welles and Zarelli spoke in favor of adoption of the amendment.

      The President declared the question before the Senate to be the adoption of the amendment by Senators Kohl-Welles and Benton on page 106, line 10 to Substitute Senate Bill No. 6187.

      The motion by Senator Kohl-Welles carried and the amendment was adopted by voice vote.


MOTION


      Senator McAuliffe moved that the following amendment by Senator McAuliffe be adopted:

      On page 119, line 15, increase the general fund--state appropriation for FY 2005 by $60,248,000 and adjust the total accordingly.

      Adjust internal references, the appropriate formula allocation factors, and salary schedules accordingly.

      On page 121, after line 15, insert the following:

      "(3) Pursuant to the provisions of Initiative Measure No. 732, a total of $60,248,000 is provided solely for a cost of living adjustment for state, federal, and locally funded certificated instructional staff, certificated administrative staff, and classified staff, of 1.6 percent effective on September 1, 2004. The appropriations include associated incremental fringe benefit allocations at rates of 9.04 percent for the 2004-05 school year for certificated staff and 8.75 percent for the 2004-05 school year for classified staff."

      On page 172, after line 20, insert the following:

       "NEW SECTION. Sec. 716. A new section is added to 2003 1st sp.s. c 25 (uncodified) to read as follows:

FOR THE STATE BOARD FOR COMMUNITY AND TECHNICAL COLLEGES–COMPENSATION INCREASES

General Fund–State Appropriation (FY 2005). . . . . . . . .$5,054,000           The appropriation in this section is provided solely for community and technical colleges to provide to academic employees as defined in RCW 28B.52.020 pursuant to the provisions of Initiative Measure No. 732, an average salary increase of 1.6 percent on July 1, 2004."

      Senator McAuliffe spoke in favor of adoption of the amendment.

      Senator Zarelli spoke against adoption of the amendment.

      The President declared the question before the Senate to be the adoption of the amendment by Senator McAuliffe on page 119, line 15 to Substitute Senate Bill No. 6187.

      The motion by Senator McAuliffe failed and the amendment was not adopted by voice vote.


MOTION


      Senator Murray moved that the following amendment by Senators Murray and Doumit be adopted:

      On page 128, line 26, increase the general fund–state appropriation for fiscal year 2005 by $5,917,000 and adjust the total accordingly.

      On page 179, after line 17, insert the following: 

      "Sec. 904. RCW 28A.500.030 and 2003 1st sp.s. c 25 s 912 is amended to read as follows:

      Allocation of state matching funds to eligible districts for local effort assistance shall be determined as follows:

      (1) Funds raised by the district through maintenance and operation levies shall be matched with state funds using the following ratio of state funds to levy funds:

      (a) The difference between the district's twelve percent levy rate and the statewide average twelve percent levy rate; to

      (b) The statewide average twelve percent levy rate.

      (2) The maximum amount of state matching funds for districts eligible for local effort assistance shall be the district's twelve percent levy amount, multiplied by the following percentage:

      (a) The difference between the district's twelve percent levy rate and the statewide average twelve percent levy rate; divided by

      (b) The district's twelve percent levy rate.

      (3) Calendar year 2003 allocations and maximum eligibility under this chapter shall be multiplied by 0.99.

      (4) From January 1, 2004, to ((June 30, 2005)) December 31, 2004, allocations and maximum eligibility under this chapter shall be multiplied by 0.937."

      Senators Murray, Doumit, Zarelli and Carlson spoke in favor of adoption of the amendment.

      The President declared the question before the Senate to be the adoption of the amendment by Senators Murray and Doumit on page 128, line 26 to Substitute Senate Bill No. 6187.

      The motion by Senator Murray carried and the amendment was adopted by voice vote.


MOTION


      Senator Brown moved that the following amendment by Senators McAuliffe and others be adopted:

      On page 140, line 1, increase the general fund-state appropriation for fiscal year 2005 by $7,138,000 and adjust the total accordingly.

      On page 141, line 7, after "year" insert "(A)"

      On page 141, line 7, after "percent" insert "for the 2003-04 school year, and (B) multiplied by 55 percent for the 2004-05 school year"

      Senators Brown spoke in favor of adoption of the amendment.

      Senators Johnson spoke against adoption of the amendment.

      Senator Sheldon, B. demanded a roll call and the demand was sustained.

      The President declared the question before the Senate to be the adoption of the amendment by Senators McAuliffe and others, on page 140, line 1 to Substitute Senate Bill No. 6187.


ROLL CALL


      The Secretary called the roll on the amendment on page 140, line 1 by Senator McAuliffe and others to Substitute Senate Bill No. 6187 and the amendment was not adopted by the following vote: Yeas, 27; Nays, 22; Absent, 0; Excused, 0.

     Voting yea: Senators Benton, Berkey, Brown, Carlson, Doumit, Eide, Fairley, Franklin, Fraser, Hargrove, Haugen, Jacobsen, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, Pflug, Poulsen, Prentice, Rasmussen, Regala, Sheldon, B., Shin, Spanel, Thibaudeau and Winsley - 27.

     Voting nay: Senators Brandland, Deccio, Esser, Finkbeiner, Hale, Hewitt, Honeyford, Horn, Johnson, McCaslin, Morton, Mulliken, Murray, Oke, Parlette, Roach, Schmidt, Sheahan, Sheldon, T., Stevens, Swecker and Zarelli - 22.


EDITORS NOTE: Pursuant to Senate Rule 53, budget amendments require 60% vote to be adopted.


MOTION


      Senator Kohl-Welles moved that the following amendment by Senators Kohl-Welles and Prentice be adopted:

      On page 145, line 34, increase the general fund-state appropriation for fiscal year 2005 by $6,399,000 and correct the total accordingly

      On page 148, line 31, strike "$6,305,000" and insert "(($6,305,000)) $12,704,000"

      On page 148, line 35, strike "and" and insert "((and))

      On page 148, line 36, after "programs" insert ", (v) information technology, (vi) manufacturing, and (vii) energy technology"

      On page 148, line 37, strike "four" and insert "((four)) seven"

      On page 149, line 6, after "fields" strike "by November 1 of each fiscal year" and insert "(("by November 1 of each fiscal year)) at the conclusion of each academic year, as soon as final enrollment data become available,"

      On page 156, line 1, strike "$10,331,000" and insert "$14,260,000" and correct the total accordingly

      On page 156, line 19, strike "$8,035,000" and insert "$11,934,000"

      On page 156, line 21, strike "247" and insert "860"

      Senator Kohl-Welles spoke in favor of adoption of the amendment.

      Senator Zarelli spoke against adoption of the amendment.

      Senator Sheldon, B. demanded a roll call and the demand was sustained.

      Senator Spanel spoke in favor of adoption of the amendment.

      The President declared the question before the Senate to be the adoption of the amendment by Senators Kohl-Welles and Prentice on page 145, line 34 to Substitute Senate Bill No. 6187.


ROLL CALL


      The Secretary called the roll on the amendment on page 145, line 34 by Senators Kohl-Welles and Prentice to Substitute Senate Bill No. 6187 and the amendment was not adopted by the following vote: Yeas, 25; Nays, 24; Absent, 0; Excused, 0.

     Voting yea: Senators Benton, Berkey, Brown, Doumit, Eide, Fairley, Franklin, Fraser, Hargrove, Haugen, Jacobsen, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, Poulsen, Prentice, Rasmussen, Regala, Sheldon, B., Shin, Spanel, Thibaudeau and Winsley - 25.

     Voting nay: Senators Brandland, Carlson, Deccio, Esser, Finkbeiner, Hale, Hewitt, Honeyford, Horn, Johnson, McCaslin, Morton, Mulliken, Murray, Oke, Parlette, Pflug, Roach, Schmidt, Sheahan, Sheldon, T., Stevens, Swecker and Zarelli - 24.


EDITORS NOTE: Pursuant to Senate Rule 53, budget amendments require 60% vote to be adopted.


MOTION


      Senator Fraser moved that the following amendment by Senators Fraser and Doumit be adopted:

      On page 165, after line 2, strike everything through page 166, line 38 and insert the following:

"    Sec. 704. 2003 1st sp.s. c 25 s 709 (uncodified) is amended to read as follows:

FOR THE GOVERNOR--COMPENSATION--INSURANCE BENEFITS

 GOVERNOR||COMPENSATION--INSURANCE BENEFITS

General Fund--State Appropriation (FY 2004). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (($8,243,000))

$8,821,000

General Fund--State Appropriation (FY 2005). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (($38,879,000))

$44,968,000

Dedicated Funds and Accounts Appropriation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (($41,232,000))

$44,119,000

                           TOTAL APPROPRIATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .(($88,354,000))

$97,908,000


      The appropriations in this section are subject to the following conditions and limitations:

      (1) ((The appropriation from dedicated funds and accounts shall be made in the amounts specified and from the dedicated funds and accounts specified in LEAP document 2003-38, a computerized tabulation developed by the legislative evaluation and accountability program committee on June 2, 2003, which is hereby incorporated by reference. The office of financial management shall allocate the moneys appropriated in this section in the amounts specified and to the state agencies specified in LEAP document 2003-38, and adjust appropriation schedules accordingly.

      (2)))(a) The monthly employer funding rate for insurance benefit premiums, public employees' benefits board administration, and the uniform medical plan, shall not exceed $504.89 per eligible employee for fiscal year 2004, and (($592.30)) $600.85 for fiscal year 2005.

      (b) Within the rates in (a) of this subsection, $4.13 per eligible employee shall be included in the employer funding rate for fiscal year 2004, and $2.11 per eligible employee shall be included in the employer funding rate for fiscal year 2005, solely to increase life insurance coverage in accordance with a court approved settlement in Burbage et al. v. State of Washington (Thurston county superior court cause no. 94-2-02560-8).

      (c) In order to achieve the level of funding provided for health benefits, the public employees' benefits board shall require any or all of the following: Employee premium copayments, increases in point-of-service cost sharing, the implementation of managed competition, or make other changes to benefits consistent with RCW 41.05.065.

      (d) The health care authority shall deposit any moneys received on behalf of the uniform medical plan as a result of rebates on prescription drugs, audits of hospitals, subrogation payments, or any other moneys recovered as a result of prior uniform medical plan claims payments, into the public employees' and retirees' insurance account to be used for insurance benefits. Such receipts shall not be used for administrative expenditures.

      (((3))) (2) The health care authority, subject to the approval of the public employees' benefits board, shall provide subsidies for health benefit premiums to eligible retired or disabled public employees and school district employees who are eligible for parts A and B of medicare, pursuant to RCW 41.05.085. From January 1, 2004, through December 31, 2004, the subsidy shall be $102.35. Starting January 1, 2005, the subsidy shall be $116.19 per month.

      (((4))) (3) Technical colleges, school districts, and educational service districts shall remit to the health care authority for deposit into the public employees' and retirees' insurance account established in RCW 41.05.120 the following amounts:

      (a) For each full-time employee, $42.76 per month beginning September 1, 2003, and $49.14 beginning September 1, 2004;

      (b) For each part-time employee who, at the time of the remittance, is employed in an eligible position as defined in RCW 41.32.010 or 41.40.010 and is eligible for employer fringe benefit contributions for basic benefits, $42.76 each month beginning September 1, 2003, and $49.14 beginning September 1, 2004, prorated by the proportion of employer fringe benefit contributions for a full-time employee that the part-time employee receives.

      The remittance requirements specified in this subsection shall not apply to employees of a technical college, school district, or educational service district who purchase insurance benefits through contracts with the health care authority.

      (((5))) (4) The appropriations in this section include amounts sufficient to fund health benefits for ferry workers at the premium levels specified in subsection (2) of this section, consistent with the 2003-2005 transportation appropriations act."

      On page 119, line 15, strike "$122,735,000" and insert "$147,111,000" and adjust the total appropriation accordingly.

      On page 121, on line 25, strike "$117,060,000" and insert "$140,976,000".

      On page 121, on line 29, strike "$570.74" and insert "$600.85".

      Senator Fraser spoke in favor of adoption of the amendment.

      Senator Zarelli spoke against adoption of the amendment.

      Senator Sheldon, B. demanded a roll call and the demand was sustained.

      The President declared the question before the Senate to be the adoption of the amendment by Senators Fraser and Doumit on page 165, after line 2 to Substitute Senate Bill No. 6187.


ROLL CALL


      The Secretary called the roll on the amendment on page 165, after line 2 by Senators Fraser and Doumit to Substitute Senate Bill No. 6187 and the amendment was not adopted by the following vote: Yeas, 26; Nays, 23; Absent, 0; Excused, 0.

     Voting yea: Senators Benton, Berkey, Brown, Carlson, Doumit, Eide, Fairley, Franklin, Fraser, Hargrove, Haugen, Jacobsen, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, Poulsen, Prentice, Rasmussen, Regala, Sheldon, B., Shin, Spanel, Thibaudeau and Winsley - 26.

     Voting nay: Senators Brandland, Deccio, Esser, Finkbeiner, Hale, Hewitt, Honeyford, Horn, Johnson, McCaslin, Morton, Mulliken, Murray, Oke, Parlette, Pflug, Roach, Schmidt, Sheahan, Sheldon, T., Stevens, Swecker and Zarelli - 23.


EDITORS NOTE: Pursuant to Senate Rule 53, budget amendments require 60% vote to be adopted.


MOTION


      Senator Doumit moved that the following amendment by Senators Doumit, Fraser and Franklin be adopted:

      On page 172, after line 20, insert the following:

      "NEW SECTION. Sec. 716. A supplemental malpractice insurance program is established to provide an excess layer of liability coverage for medical malpractice claims in the state.

      (1) The sum of ten million dollars, or as much thereof as may be necessary, is appropriated for the biennium ending June 30, 2005, from the health services account to the department of health to:

      (a) Provide capital and surplus to the supplemental malpractice insurance program; and

      (b) Pay administrative expenses incurred to establish the supplemental malpractice insurance program.

      (2) The insurance commissioner and the secretary of health shall adopt such rules as are necessary to implement the supplemental malpractice insurance program."

      Senators Doumit and Franklin spoke in favor of adoption of the amendment.

      Senator Honeyford spoke against adoption of the amendment.

      The President declared the question before the Senate to be the adoption of the amendment by Senators Doumit, Fraser and Franklin on page 172, after line 20 to Substitute Senate Bill No. 6187.

      The motion by Senator Doumit failed and the amendment was not adopted on a rising vote.


MOTION


      On motion of Senator Zarelli, the rules were suspended, Engrossed Substitute Senate Bill No. 6187 was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      Senators Zarelli spoke in favor of passage of the bill.

      Senator Prentice spoke against passage of the bill.

      The President declared the question before the Senate to be the final passage of Engrossed Substitute Senate Bill No. 6187.


ROLL CALL


      The Secretary called the roll on the final passage of Engrossed Substitute Senate Bill No. 6187 and the bill passed the Senate by the following vote: Yeas, 28; Nays, 21; Absent, 0; Excused, 0.

     Voting yea: Senators Benton, Brandland, Carlson, Deccio, Esser, Finkbeiner, Hale, Hargrove, Hewitt, Honeyford, Horn, Johnson, McCaslin, Morton, Mulliken, Murray, Oke, Parlette, Pflug, Rasmussen, Roach, Schmidt, Sheahan, Sheldon, T., Stevens, Swecker, Winsley and Zarelli - 28.

     Voting nay: Senators Berkey, Brown, Doumit, Eide, Fairley, Franklin, Fraser, Haugen, Jacobsen, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, Poulsen, Prentice, Regala, Sheldon, B., Shin, Spanel and Thibaudeau - 21.

      ENGROSSED SUBSTITUTE SENATE BILL NO. 6187, having received the constitutional majority, was declared passed. There being no objection, the title of the bill was ordered to stand as the title of the act.


MOTION


      On motion of Senator Esser, Engrossed Substitute Senate Bill No. 6187 was immediately transmitted to the House of Representatives.


MOTIONS


      Senator Esser moved that the Senate immediately reconsider the vote by which Engrossed Substitute House Bill No. 2933 pass the Senate.

      Without objection Engrossed Substitute House Bill No. 2933 was reconsidered.

      Senator Esser moved that the rules be suspended and that Engrossed Substitute House Bill No. 2933 was returned to second reading for the purpose of adopting the committee amendment.


MOTION


      Senator Zarelli moved that the committee amendment by the Committee on Ways & Means be adopted:

      Strike everything after the enacting clause and insert the following:

      "Sec. 1. RCW 74.39A.270 and 2002 c 3 s 6 are each amended to read as follows:

      (1) Solely for the purposes of collective bargaining and as expressly limited under subsections (2) and (3) of this section, the ((authority)) governor is the public employer, as defined in chapter 41.56 RCW, of individual providers, who, solely for the purposes of collective bargaining, are public employees((,)) as defined in chapter 41.56 RCW((, of the authority)). To accommodate the role of the state as payor for the community-based services provided under this chapter and to ensure coordination with state employee collective bargaining under chapter 41.80 RCW and the coordination necessary to implement RCW 74.39A.300, the public employer shall be represented for bargaining purposes by the governor or the governor's designee appointed under chapter 41.80 RCW. The governor or governor's designee shall periodically consult with the authority during the collective bargaining process to allow the authority to communicate issues relating to the long-term in-home care services received by consumers.

      (2) Chapter 41.56 RCW governs the ((employment)) collective bargaining relationship between the ((authority)) governor and individual providers, except as otherwise expressly provided in this chapter ((3, Laws of 2002)) and except as follows:

      (a) The only unit appropriate for the purpose of collective bargaining under RCW 41.56.060 is a statewide unit of all individual providers;

      (b) The showing of interest required to request an election under RCW 41.56.060 is ten percent of the unit, and any intervener seeking to appear on the ballot must make the same showing of interest;

      (c) The mediation and interest arbitration provisions of RCW 41.56.430 through 41.56.470 and 41.56.480 apply, except that:

      (i) With respect to commencement of negotiations between the governor and the bargaining representative of individual providers, negotiations shall be commenced by May 1st of any year prior to the year in which an existing collective bargaining agreement expires;

      (ii) With respect to factors to be taken into consideration by an interest arbitration panel, the panel shall consider the financial ability of the state to pay for the compensation and fringe benefit provisions of a collective bargaining agreement; and

      (iii) The decision of the arbitration panel is not binding on the legislature and, if the legislature does not approve the request for funds necessary to implement the compensation and fringe benefit provisions of the arbitrated collective bargaining agreement, is not binding on the authority or the state;

      (d) Individual providers do not have the right to strike; and

      (e) Individual providers who are related to, or family members of, consumers or prospective consumers are not, for that reason, exempt from this chapter ((3, Laws of 2002)) or chapter 41.56 RCW.

      (3) Individual providers who are public employees ((of the authority)) solely for the purposes of collective bargaining under subsection (1) of this section are not, for that reason, employees of the state, its political subdivisions, or an area agency on aging for any purpose. Chapter 41.56 RCW applies only to the governance of the collective bargaining relationship between the employer and individual providers as provided in subsections (1) and (2) of this section.

      (4) Consumers and prospective consumers retain the right to select, hire, supervise the work of, and terminate any individual provider providing services to them. Consumers may elect to receive long-term in-home care services from individual providers who are not referred to them by the authority.

      (5) In implementing and administering this chapter ((3, Laws of 2002)), neither the authority nor any of its contractors may reduce or increase the hours of service for any consumer below or above the amount determined to be necessary under any assessment prepared by the department or an area agency on aging.

      (6) Except as expressly limited in this section and RCW 74.39A.300, the wages, hours, and working conditions of individual providers are determined solely through collective bargaining as provided in this chapter. No agency or department of the state, other than the authority, may establish policies or rules governing the wages or hours of individual providers. However, this subsection does not modify:

      (a) The department's authority to establish a plan of care for each consumer and to determine the hours of care that each consumer is eligible to receive;

      (b) The department's authority to terminate its contracts with individual providers who are not adequately meeting the needs of a particular consumer, or to deny a contract under RCW 74.39A.095(8);

      (c) The consumer's right to assign hours to one or more individual providers selected by the consumer within the maximum hours determined by his or her plan of care;

      (d) The consumer's right to select, hire, terminate, supervise the work of, and determine the conditions of employment for each individual provider providing services to the consumer under this chapter;

      (e) The department's obligation to comply with the federal medicaid statute and regulations and the terms of any community-based waiver granted by the federal department of health and human services and to ensure federal financial participation in the provision of the services; and

      (f) The legislature's right to make programmatic modifications to the delivery of state services under this title, including standards of eligibility of consumers and individual providers participating in the programs under this title, and the nature of services provided. The governor shall not enter into, extend, or renew any agreement under this chapter that does not expressly reserve the legislative rights described in this subsection (6)(f).

      (7)(a) The state, the department, the authority, the area agencies on aging, or their contractors under this chapter ((3, Laws of 2002)) may not be held vicariously or jointly liable for the action or inaction of any individual provider or prospective individual provider, whether or not that individual provider or prospective individual provider was included on the authority's referral registry or referred to a consumer or prospective consumer. The existence of a collective bargaining agreement, the placement of an individual provider on the referral registry, or the development or approval of a plan of care for a consumer who chooses to use the services of an individual provider and the provision of case management services to that consumer, by the department or an area agency on aging, does not constitute a special relationship with the consumer.

      (b) The members of the board are immune from any liability resulting from implementation of this chapter ((3, Laws of 2002)).

      (((7))) (8) Nothing in this section affects the state's responsibility with respect to ((the state payroll system or)) unemployment insurance for individual providers. However, individual providers are not to be considered, as a result of the state assuming this responsibility, employees of the state.

      Sec. 2. RCW 74.39A.300 and 2002 c 3 s 9 are each amended to read as follows:

      (1) Upon meeting the requirements of subsection (2) of this section, the governor must submit, as a part of the proposed biennial or supplemental operating budget submitted to the legislature under RCW 43.88.030, a request for funds necessary to administer chapter 3, Laws of 2002 and to implement ((any)) the compensation and fringe benefits provisions of a collective bargaining agreement entered into under RCW 74.39A.270 or for legislation necessary to implement ((any)) such agreement ((within ten days of the date on which the agreement is ratified or, if the legislature is not in session, within ten days after the next legislative session convenes)).

      (2) A request for funds necessary to implement the compensation and fringe benefits provisions of a collective bargaining agreement entered into under RCW 74.39A.270 shall not be submitted by the governor to the legislature unless such request:

      (a) Has been submitted to the director of financial management by October 1st prior to the legislative session at which the request is to be considered; and

      (b) Has been certified by the director of financial management as being feasible financially for the state or reflects the binding decision of an arbitration panel reached under RCW 74.39A.270(2)(c).

      (3) The legislature must approve or reject the submission of the request for funds as a whole. If the legislature rejects or fails to act on the submission, any such agreement will be reopened solely for the purpose of renegotiating the funds necessary to implement the agreement.

      (((2))) (4) When any increase in individual provider wages or benefits is negotiated or agreed to ((by the authority)), no increase in wages or benefits negotiated or agreed to under this chapter ((3, Laws of 2002)) will take effect unless and until, before its implementation, the department has determined that the increase is consistent with federal law and federal financial participation in the provision of services under Title XIX of the federal social security act.

      (((3))) (5) The governor shall periodically consult with the joint committee on employment relations established by RCW 41.80.010 regarding appropriations necessary to implement the compensation and fringe benefits provisions of any collective bargaining agreement and, upon completion of negotiations, advise the committee on the elements of the agreement and on any legislation necessary to implement such agreement.

      (6) After the expiration date of any collective bargaining agreement entered into under RCW 74.39A.270, all of the terms and conditions specified in any such agreement remain in effect until the effective date of a subsequent agreement, not to exceed one year from the expiration date stated in the agreement, except as provided in RCW 74.39A.270(6)(f).

      (7) If, after the compensation and benefit provisions of an agreement are approved by the legislature, a significant revenue shortfall occurs resulting in reduced appropriations, as declared by proclamation of the governor or by resolution of the legislature, both parties shall immediately enter into collective bargaining for a mutually agreed upon modification of the agreement.

      NEW SECTION. Sec. 3. A new section is added to chapter 41.04 RCW to read as follows:

      Individual providers, as defined in RCW 74.39A.240, are not employees of the state or any of its political subdivisions and are specifically and entirely excluded from all provisions of this title, except as provided in RCW 74.39A.270.

      NEW SECTION. Sec. 4. A new section is added to chapter 43.01 RCW to read as follows:

      RCW 43.01.040 through 43.01.044 do not apply to individual providers under RCW 74.39A.220 through 74.39A.300.

      Sec. 5. RCW 74.39A.901 and 1993 c 508 s 11 are each amended to read as follows:

      If any part of this ((act)) chapter or a collective bargaining agreement under this chapter is found by a court of competent jurisdiction to be in conflict with federal requirements that are a prescribed condition to the allocation of federal funds to the state, the conflicting part of this ((act)) chapter or the agreement is inoperative solely to the extent of the conflict and with respect to the agencies directly affected, and this finding does not affect the operation of the remainder of this ((act)) chapter or the agreement in its application to the agencies concerned. The rules under this ((act)) chapter shall meet federal requirements that are a necessary condition to the receipt of federal funds by the state.

      Sec. 6. RCW 41.56.030 and 2002 c 99 s 2 are each amended to read as follows:

      As used in this chapter:

      (1) "Public employer" means any officer, board, commission, council, or other person or body acting on behalf of any public body governed by this chapter, or any subdivision of such public body. For the purposes of this section, the public employer of district court or superior court employees for wage-related matters is the respective county legislative authority, or person or body acting on behalf of the legislative authority, and the public employer for nonwage-related matters is the judge or judge's designee of the respective district court or superior court.

      (2) "Public employee" means any employee of a public employer except any person (a) elected by popular vote, or (b) appointed to office pursuant to statute, ordinance or resolution for a specified term of office as a member of a multimember board, commission, or committee, whether appointed by the executive head or body of the public employer, or (c) whose duties as deputy, administrative assistant or secretary necessarily imply a confidential relationship to (i) the executive head or body of the applicable bargaining unit, or (ii) any person elected by popular vote, or (iii) any person appointed to office pursuant to statute, ordinance or resolution for a specified term of office as a member of a multimember board, commission, or committee, whether appointed by the executive head or body of the public employer, or (d) who is a court commissioner or a court magistrate of superior court, district court, or a department of a district court organized under chapter 3.46 RCW, or (e) who is a personal assistant to a district court judge, superior court judge, or court commissioner, or (f) excluded from a bargaining unit under RCW 41.56.201(2)(a). For the purpose of (e) of this subsection, no more than one assistant for each judge or commissioner may be excluded from a bargaining unit.

      (3) "Bargaining representative" means any lawful organization which has as one of its primary purposes the representation of employees in their employment relations with employers.

      (4) "Collective bargaining" means the performance of the mutual obligations of the public employer and the exclusive bargaining representative to meet at reasonable times, to confer and negotiate in good faith, and to execute a written agreement with respect to grievance procedures and collective negotiations on personnel matters, including wages, hours and working conditions, which may be peculiar to an appropriate bargaining unit of such public employer, except that by such obligation neither party shall be compelled to agree to a proposal or be required to make a concession unless otherwise provided in this chapter.

      (5) "Commission" means the public employment relations commission.

      (6) "Executive director" means the executive director of the commission.

      (7) "Uniformed personnel" means: (a) Law enforcement officers as defined in RCW 41.26.030 employed by the governing body of any city or town with a population of two thousand five hundred or more and law enforcement officers employed by the governing body of any county with a population of ten thousand or more; (b) correctional employees who are uniformed and nonuniformed, commissioned and noncommissioned security personnel employed in a jail as defined in RCW 70.48.020(5), by a county with a population of seventy thousand or more, and who are trained for and charged with the responsibility of controlling and maintaining custody of inmates in the jail and safeguarding inmates from other inmates; (c) general authority Washington peace officers as defined in RCW 10.93.020 employed by a port district in a county with a population of one million or more; (d) security forces established under RCW 43.52.520; (e) fire fighters as that term is defined in RCW 41.26.030; (f) employees of a port district in a county with a population of one million or more whose duties include crash fire rescue or other fire fighting duties; (g) employees of fire departments of public employers who dispatch exclusively either fire or emergency medical services, or both; or (h) employees in the several classes of advanced life support technicians, as defined in RCW 18.71.200, who are employed by a public employer.

      (8) "Institution of higher education" means the University of Washington, Washington State University, Central Washington University, Eastern Washington University, Western Washington University, The Evergreen State College, and the various state community colleges.

      (9) "Home care quality authority" means the authority under chapter 74.39A RCW.

      (10) "Individual provider" means an individual provider as defined in RCW 74.39A.240(4) who, solely for the purposes of collective bargaining, is ((employed by the home care quality authority)) a public employee as provided in RCW 74.39A.270.

      Sec. 7. RCW 41.56.113 and 2002 c 99 s 1 are each amended to read as follows:

      (1) Upon the written authorization of an individual provider within the bargaining unit and after the certification or recognition of the bargaining unit's exclusive bargaining representative, the state as payor, but not as the employer, shall, subject to subsection (3) of this section, deduct from the payments to an individual provider the monthly amount of dues as certified by the secretary of the exclusive bargaining representative and shall transmit the same to the treasurer of the exclusive bargaining representative.

      (2) If the ((home care quality authority)) governor and the exclusive bargaining representative of a bargaining unit of individual providers enter into a collective bargaining agreement that:

      (a) Includes a union security provision authorized in RCW 41.56.122, the state as payor, but not as the employer, shall, subject to subsection (3) of this section, enforce the agreement by deducting from the payments to bargaining unit members the dues required for membership in the exclusive bargaining representative, or, for nonmembers thereof, a fee equivalent to the dues; or

      (b) Includes requirements for deductions of payments other than the deduction under (a) of this subsection, the state, as payor, but not as the employer, shall, subject to subsection (3) of this section, make such deductions upon written authorization of the individual provider.

      (3)(a) The initial additional costs to the state in making deductions from the payments to individual providers under this section shall be negotiated, agreed upon in advance, and reimbursed to the state by the exclusive bargaining representative.

      (b) The allocation of ongoing additional costs to the state in making deductions from the payments to individual providers under this section shall be an appropriate subject of collective bargaining between the exclusive bargaining representative and the ((home care quality authority)) governor unless prohibited by another statute. If no collective bargaining agreement containing a provision allocating the ongoing additional cost is entered into between the exclusive bargaining representative and the ((home care quality authority)) governor, or if the legislature does not approve funding for the collective bargaining agreement as provided in RCW 74.39A.300, the ongoing additional costs to the state in making deductions from the payments to individual providers under this section shall be negotiated, agreed upon in advance, and reimbursed to the state by the exclusive bargaining representative.

      NEW SECTION. Sec. 8. 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. 9. 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."

      Senators Zarelli and Prentice spoke in favor of the committee amendment.

      The President declared the question before the Senate to be the adoption of the committee amendment by the Committee on Ways & Means to Engrossed Substitute House Bill No. 2933.

      The motion by Senator Zarelli carried and the committee amendment by the Committee on Ways & Means was adopted by voice vote.


      There being no objection, the following title amendment was adopted:

      On page 1, line 2 of the title, after "providers;" strike the remainder of the title and insert "amending RCW 74.39A.270, 74.39A.300, 74.39A.901, 41.56.030, and 41.56.113; adding a new section to chapter 41.04 RCW; adding a new section to chapter 43.01 RCW; and declaring an emergency."


MOTION


      On motion of Senator Zarelli, the rules were suspended, Engrossed Substitute House Bill No. 2933, as amended by the Senate, was advanced to third reading, the second reading considered the third and the bill was placed on final passage.

      Senator Zarelli spoke in favor of passage of the bill as amended by the Senate.

      The President declared the question before the Senate to be the final passage of Engrossed Substitute House Bill No. 2933 as amended by the Senate.


ROLL CALL


      The Secretary called the roll on the final passage of Engrossed Substitute House Bill No. 2933, as amended by the Senate, and the bill passed the Senate by the following vote: Yeas, 48; Nays, 0; Absent, 1; Excused, 0.

     Voting yea: Senators Benton, Berkey, Brandland, Brown, Carlson, Deccio, Doumit, Eide, Esser, Fairley, Finkbeiner, Franklin, Fraser, Hale, Haugen, Hewitt, Honeyford, Horn, Jacobsen, Johnson, Kastama, Keiser, Kline, Kohl-Welles, McAuliffe, McCaslin, Morton, Mulliken, Murray, Oke, Parlette, Pflug, Poulsen, Prentice, Rasmussen, Regala, Roach, Schmidt, Sheahan, Sheldon, B., Sheldon, T., Shin, Spanel, Stevens, Swecker, Thibaudeau, Winsley and Zarelli - 48.

     Absent: Senator Hargrove - 1.

      ENGROSSED SUBSTITUTE HOUSE BILL NO. 2933, as amended by the Senate, having received the constitutional majority, was declared passed. There being no objection, the title of the bill was ordered to stand as the title of the act.


MOTION


      On motion of Senator Esser, Engrossed Substitute House Bill No. 2933 was immediately transmitted to the House of Representatives.


MOTION


      At 1:12 p.m., on motion of Senator Esser, the Senate adjourned until 12:00, noon, Thursday, February 26, 2004.


BRAD OWEN, President of the Senate


MILTON H. DOUMIT, JR., Secretary of the Senate