WSR 97-14-024




[Filed June 24, 1997, 10:25 a.m.]

Subject of Possible Rule Making: Medical expense plans for the community and technical college system.

Statutes Authorizing the Agency to Adopt Rules on this Subject: Chapter 28B.50 RCW.

Reasons Why Rules on this Subject may be Needed and What They Might Accomplish: The 1997 legislature enacted SHB 2090 to allow authorized college boards (and the state board for its own employees) to provide tax-free medical expense plans. Funding for each eligible employee's medical expense account is from sick leave buyout funds due the employee at retirement. See additional background below.

Other Federal and State Agencies that Regulate this Subject and the Process Coordinating the Rule with These Agencies: The Internal Revenue Code and SHB 2090 permits such payments be placed instead in a medical expense plan for payment of medical insurance premiums and other medical expenses. Payments from such medical expense plans are tax-free. SHB 2090 affects only community and technical college employees (and the state board for its own employees).

Process for Developing New Rule: Meetings with various system groups; normal rule-making process; including filing of CR-101, CR-102, CR-103, etc., giving adequate public notice.

Interested parties can participate in the decision to adopt the new rule and formulation of the proposed rule before publication by contacting Larry Lael, Personnel Director, State Board for Community and Technical Colleges, P.O. Box 42495, Olympia, WA 98504-2495, (360) 753-3661.

June 24, 1997

Claire C. Krueger

Executive Assistant and

Agency Rules Coordinator

Legislature Code Reviser


Washington State Code Reviser's Office