Preproposal statement of inquiry was filed as WSR 98-06-052.

Title of Rule: WAC 390-16-200 Encouraging expenditures to avoid contributions--Result.

Purpose: To repeal this rule.

Statutory Authority for Adoption: RCW 42.17.370(1).

Statute Being Implemented: RCW 42.17.020(14), [42.17].080 and [42.17].090.

Summary: The original intent of the rule was to put candidates and political committees on notice that if they advise, counsel or otherwise encourage some other person or entity to make an expenditure, that expenditure is viewed as being made by the candidate or political committee.

Reasons Supporting Proposal: This rule is no longer necessary. The definition of contribution in RCW 42.17.020 (14)(a)(ii) includes the situation described in the rule. The further clarification provided in the rule is not useful and may be misinterpreted by those subject to the campaign disclosure law.

Name of Agency Personnel Responsible for Drafting and Implementation: Vicki Rippie, Public Disclosure Commission, 711 Capitol Way, Room 403, Olympia, (360) 586-4838; and Enforcement: Susan Harris, Public Disclosure Commission, 711 Capitol Way, Room 403, Olympia, (360) 753-1981.

Name of Proponent: Public Disclosure Commission, governmental.

Rule is not necessitated by federal law, federal or state court decision.

Explanation of Rule, its Purpose, and Anticipated Effects: Repeal of this rule is warranted because it is no longer needed.

Proposal Changes the Following Existing Rules: The existing rule is proposed for repeal.

No small business economic impact statement has been prepared under chapter 19.85 RCW. The repeal of this rule does not impact small businesses. By law, if a candidate or political committee collaborates with a small business and that small business makes an expenditure benefitting that candidate or political committee, the small business will have made a contribution to that candidate or political committee.

Section 201, chapter 403, Laws of 1995, does not apply to this rule adoption. The Public Disclosure Commission is not an agency listed in subsection (5)(a)(i) of section 201. Further, the Public Disclosure Commission does not voluntarily make section 201 applicable to this rule adoption pursuant to subsection (5)(a)(ii) of section 201, and to date the Joint Administrative Rules Review Committee has not made section 201 applicable to this rule adoption.

Hearing Location: Second Floor Conference Room, Evergreen Plaza Building, 711 Capitol Way, Olympia, WA, on May 26, 1998, at 9:00 a.m.

Assistance for Persons with Disabilities: Contact Leigh Hirschi-Mehan, by May 25, 1998.

Submit Written Comments to: Vicki Rippie, Public Disclosure Commission, P.O. Box 40908, Olympia, WA 98504-0908, FAX (360) 753-1112, by May 15, 1998.

Date of Intended Adoption: May 26, 1998.

April 7, 1998

Melissa Warheit

Executive Director

The following chapter [section] of the Washington Administrative Code is repealed:

WAC 390-16-200 Encouraging expenditures to avoid contributions--Result.