5990 AMH APP AMH-2

5990 AMH APP AMH-2

SB 5990 - H COMM AMD ADOPTED AS AMENDED 4/6/95

By Committee on Appropriations

ADOPTED AS AMENDED 4/6/95

Strike everything after the enacting clause and insert the following:

"NEW SECTION. Sec. 1. A new section is added to chapter 41.50 RCW to read as follows:

(1) Except as limited by subsection (3) of this section, the governing body of an employer under chapter 41.32 or 41.40 RCW shall comply with the provisions of subsection (2) of this section prior to executing a contract or collective bargaining agreement with members under chapter 41.32 or 41.40 RCW which provides for:

(a) A cash out of unused annual leave in excess of two hundred forty hours of such leave. "Cash out" for purposes of this subsection means any payment in lieu of an accrual of annual leave or any payment added to regular salary, concurrent with a reduction of annual leave;

(b) A cash out of any other form of leave;

(d) The portion of any payment, including overtime payments, that exceeds twice the regular rate of pay; or

(e) Any other termination or severance payment.

(2) Any governing body entering into a contract, other than a collective bargaining agreement, that includes a compensation provision listed in subsection (1) of this section shall do so only after public notice in compliance with the open public meetings act, chapter 42.30 RCW. This notification requirement may be accomplished as part of the approval process for adopting a contract in whole, and does not require separate or additional open public meetings. At two consecutive public meetings, full disclosure shall be made of the nature of the proposed compensation provision, and the employer's estimate of the excess compensation billings under RCW 41.50.150 that the employing entity would have to pay as a result of the proposed compensation provision. Only after the second of these two public meetings may the governing body adopt the proposed compensation provisions. The employer shall notify the department of its compliance with this section at the time the department bills the employer under RCW 41.40.150 for the pension impact of compensation provisions listed in subsection (1) of this section that are adopted after the effective date of this act.

(3) The requirements of subsection (2) of this section shall not apply to the adoption of a compensation provision listed in subsection (1) of this section if the compensation would not be includable in calculating benefits under chapter 41.32 or 41.40 RCW for the employees covered by the compensation provision."

SB 5990 - H COMM AMD

By Committee on Appropriations

On page 1, line 2 of the title, after "compensation;" strike the remainder of the title and insert "and adding a new section to chapter 41.50 RCW."

EFFECT: Only requires public notice if compensation is used in calculating a retirement benefit under PERS or TRS; only requires one public notice and meeting prior to adoption of one of the listed forms of compensation; eliminates LEOFF employers and members from the reporting requirement.