HOUSE BILL REPORT

                  SB 5703

                       As Passed House

                        April 8, 1993

Title:  An act relating to codifying the labor market information and economic analysis responsibilities of the employment security department.

Brief Description:  Codifying the labor market information and economic analysis responsibilities of the employment security department.

Sponsors:  Senators Prentice, Prince, Moore, Amondson and Franklin; by request of Employment Security Department.

Brief History:

  Reported by House Committee on:

Commerce & Labor, April 2, 1993, DP;

Passed House, April 8, 1993, 98-0.

HOUSE COMMITTEE ON COMMERCE & LABOR

Majority Report:  Do pass.  Signed by 8 members:  Representatives Heavey, Chair; Lisk, Ranking Minority Member; Chandler, Assistant Ranking Minority Member; Conway; Horn; King; Springer; and Veloria.

Staff:  Chris Cordes (786-7117).

Background:  The Employment Security Department maintains a comprehensive labor market information system and employment information related to the administration of the unemployment insurance system.  Many of the information programs are required by federal or state law.  For example, the department publishes an annual report to the Legislature and governor that identifies and analyzes industries, the major causes of plant closures, the number of dislocated workers, research from employment wage and benefit history  including wage rates, and five‑year industry and occupational employment projections.

The department is not authorized to charge fees for any of the labor market information services.

Summary of Bill:  The Employment Security Department has the duty to manage and provide oversight of a state-wide comprehensive labor market and occupational supply and demand information system, including development of a five-year employment forecast.  The department must also produce local labor market information packages for counties, with studies and analyses to support employment, training, and job creation programs.  The department's responsibilities will be coordinated with the Office of Financial Management and the Office of the Forecast Council to improve employment estimates and develop economic and occupational forecasts.

The department is authorized to recover actual costs incurred in producing and providing information that is not otherwise funded.  If the information is provided in the public interest, it may be provided at reduced costs.  Public information must be accessible, consistent with statutory requirements for public records copying fees.

Money received for costs is to be deposited in the unemployment compensation administration fund, with expenditures authorized only by appropriation.  Total expenditures are limited to the amount of money collected by the department.

The department may also receive federal funds for labor market information, and cooperate with other agencies to provide statistical research and to study ways to standardize administrative records for improved labor market information products and services.  The department may produce agricultural labor market information to facilitate efficient and effective matching of local agricultural labor supply and demand

Fiscal Note:  Available.

Appropriation:  $100,000 from the unemployment compensation administrative fund.

Effective Date:  The bill contains an emergency clause and takes effect on July 1, 1993.

Testimony For:  The bill clarifies the responsibilities of the Employment Security Department with respect to labor market information.  It also gives the department authority to charge fees for providing labor market information for projects such as private sector economic modeling or information needed to support private law suits.  The bill does not change any confidentiality requirements for the department.

Testimony Against:  None.

Witnesses:  Gary Bodeutsch, Employment Security Department.