HOUSE BILL REPORT

                 SSB 5698

             As Reported By House Committee On:

            Trade, Economic Development & Housing

Title:  An act relating to assisting companies to adopt ISO-9000 standards.

Brief Description:  Assisting companies to adopt ISO‑9000 quality standards.

Sponsors:  Senate Committee on Trade, Technology & Economic Development (originally sponsored by Senators Bluechel, Skratek, Sheldon, Williams and Erwin).

Brief History:

  Reported by House Committee on:

Trade, Economic Development & Housing, April 1, 1993, DPA.

HOUSE COMMITTEE ON TRADE, ECONOMIC DEVELOPMENT & HOUSING

Majority Report:  Do pass as amended.  Signed by 13 members:  Representatives Wineberry, Chair; Shin, Vice Chair; Forner, Ranking Minority Member; Chandler, Assistant Ranking Minority Member; Campbell; Casada; Conway; Morris; Quall; Schoesler; Springer; Valle; and Wood.

Staff:  Kenny Pittman (786-7392).

Background:  The International Organization for Standardization (ISO) was founded in Geneva in 1946.  ISO's purpose is to promote the development of standardization and related activities in the world with a view of facilitating the international exchange of goods and services and  developing cooperation in the sphere of intellectual, scientific, technological and economic activity.

In 1987, ISO published the ISO-9000 series of quality standards.  These standards, which have gained wide acceptance internationally, are guidelines for the design and development, production, final inspection and testing, installation and servicing of products, processes, or services.  Adoption of these standards will provide a competitive advantage to firms involved in international trade.  Many Washington businesses are not yet aware of ISO-9000 or the certification process.

Summary of Amended Bill:  The Department of Trade and Economic Development (DTED), through the Business Assistance Center, must assist Washington businesses seeking to adopt ISO-9000 quality standards or its American equivalent.  DTED's assistance includes assembling information on those businesses which adopt ISO-9000; assisting businesses wanting to adopt ISO-9000 by helping them locate businesses with expertise in implementing ISO-9000; and maintaining information on Washington businesses which have received ISO certification.

Amended Bill Compared to Substitute Bill:  The amended bill replaces the $30,000 general fund appropriation to the Department of Trade and Economic Development with a null and void clause.

Fiscal Note:  Available.

  Appropriation: Removed.

Effective Date of Amended Bill:  Ninety days after adjournment of session in which bill is passed.  However, the bill is null and void if not funded in the budget.

Testimony For:  The ISO-9000 quality standards are being adopted by European and Asian countries.  These standards are concerned with a company's manufacturing and quality control processes.  Many countries will not let a company bid on a project unless they are ISO certified.  The lack of certification hurts the state's businesses that want to compete in global markets.  The bill would help businesses that want to become ISO certified and would increase their ability to compete in global markets.

Testimony Against:  None.

Witnesses:  Senator Bluechel, prime sponsor (Pro).